What is the DAU/MAU Ratio?
The Daily Active Users to Monthly Active Users (DAU/MAU) ratio is a key metric for measuring the "stickiness" of your product, which is a leading indicator of customer churn. It shows what percentage of your monthly users engage with your product on a daily basis. A higher ratio indicates that your product is valuable and has become a regular part of your users' routine.
How Stickiness Relates to Churn
Product stickiness is a powerful antidote to customer churn. When users are highly engaged and find daily value in your product, they are far less likely to churn. A low or declining DAU/MAU ratio can be an early warning sign that users are losing interest, which often precedes an increase in your churn rate. Tracking this ratio helps you gauge user engagement long before they consider canceling.
How to Use This Tool
- Daily Active Users (DAU): Enter the number of unique users who logged in or performed a key action on a specific day.
- Monthly Active Users (MAU): Input the number of unique users over the last 30 days.
Benefits of Tracking DAU/MAU
- Measure User Engagement: Get a clear, quantifiable measure of how compelling your product is.
- Predict Future Churn: Use it as a leading indicator to identify potential issues before they impact revenue.
- Validate Product Changes: See if new features or updates increase daily usage and stickiness.
- Benchmark Performance: Compare your ratio to industry standards (e.g., 20% is often considered good, while 50%+ is world-class for consumer apps).