Weekly Active Users is a metric that measures the number of unique users who engage with a particular product or service within a given week.
But how is WAU different from MAU & DAU? 🤔
WAU (Weekly Active Users), MAU (Monthly Active Users) & DAU (Daily Active Users) are metrics used to measure the number of active users on a platform. The primary difference between the three is the time period over which the metric is calculated.
To measure WAU (Weekly Active Users), you need to count the number of unique users who have engaged with your app or website within a seven-day period.
Here is a 4-step framework to measure WAU ⬇️
Identify the time period you want to measure (usually seven days).
Define what constitutes an active user for your app or website. For example, an active user might be someone who has logged in, posted content, or made a purchase.
Use analytics tools to track user activity and identify unique users who have engaged with your app or website within the specified time period.
Calculate the number of unique users who engaged with your app or website within the specified time period. This is your WAU.
Once you have your WAU data, you can use it to track user engagement over time, identify trends, and make informed decisions about product development and marketing strategies.
What are some products where WAU is important? 🏁
Food & grocery apps like Swiggy, Zomato, Zepto etc
What are some metrics that affects WAU?
✅ Daily Active Users (DAU)
Sometimes products with a natural weekly usage frequency can benefit from a higher DAU. CRED is a good example that gamifies the whole app to increase DAU. By increasing DAU, CRED is on top of the user’s mind, thereby increasing WAU.
✅ Number of new users acquired
This metric refers to the count of users who have signed up for your app. It includes the number of app downloads, sign-ups, and users who have completed the onboarding process.
✅ Total churn rate
There are two types of churn - revenue and usage. It's important to track both as they provide a complete understanding of user behavior. Revenue churn pertains to the number of users who cancel their subscriptions, while usage churn refers to those who stop using your app. Usually, usage churn leads to revenue churn eventually.
✅ Customer lifetime value (CLTV)
Customer Lifetime Value (CLTV) This metric calculates the total revenue generated by a customer throughout their relationship with your company. If your monthly active user (MAU) count is high, you'll likely have a higher CLTV in the future.
✅ Net promoter score (NPS):
NPS measures customer satisfaction and loyalty. It helps identify areas for improvement and determine how likely users are to recommend your app. A high NPS score means your app has better market appeal and higher MAUs, which eventually leads to healthy revenue.
✅ Net retention rate
Net Retention Rate shows the count of new users you have been able to retain over a specified period, such as a day, week, or month. The retention rate is highly dependent on the product type, usage frequency, and job-to-be-done of the product.
P.S: If you loved reading about this growth metric, you will find this list of 23 growth metrics incredibly helpful 💪🏼