The Impact of Customer-Facing Apps on Customer Retention

Apps Business April 7, 2023

The Impact of Customer Facing Apps on Customer Retention

It's been a little over a decade since the launch of the App Store. The rising demand from consumers and their high expectations have created a competition that is driving the change in the business world. Global economy has grown and technology is rapidly advancing, consumers have more information readily available and they are more empowered than ever before.

This results in consumers expecting high-quality products and services. They are not afraid to switch services in case their unique needs are not met.

Value enhancement growing


The immense rise in e-commerce businesses and social media marketing, any business can enter the mobile app market easily. This creates a challenging atmosphere for all businesses, big or small alike. Because of this, it has become necessary for businesses to keep innovating and updating their services according to the needs of the consumers.

3 Things Apps Do That Enhance Customer Retention

Apps can provide a personalized and convenient experience for customers, allowing them to easily access information, products, and services from a business. Moreover, apps can help businesses collect and analyze customer data, enabling them to tailor their offerings and improve the customer experience.

Improved customer engagement

Online retail experience was on the rise already when Covid-19 boosted the online shopping growth. Shopping has become digitized. Brands all around are looking for ways to set themselves apart from their competitors. Gartner shares how mobile apps are the most effective way a business can establish themselves amongst competition.

Explore 7 essential metrics for customer success

Some of the ways mobile apps are improving customer experience are:

More Personalized

Apps can offer a personalized experience for customers by allowing them to set preferences and receive targeted recommendations based on their behavior and past interactions with the app. Mobile apps can bring personalization and convenience to their users through browsing and purchase history, demographics, and other data points.

More predictive suggestions

Mobile apps can improve customer engagement through predictive suggestions by using data analytics and machine learning algorithms to recommend products or services to customers that are tailored to their needs and preferences.

Predictive suggestions can increase customer retention by providing relevant recommendations that keep customers engaged with the app and the brand. Which can lead to better revenue.

More proactive approach

Mobile apps can help businesses to anticipate the needs and preferences of their customers, and provide proactive recommendations and solutions.They can send notifications to customers to keep them updated on new products, promotions, or other updates from the business.

These notifications can be triggered based on customer behavior or preferences, and can help to keep customers engaged and informed.

Apps can use geolocation technology to provide proactive recommendations to customers based on their location. For example, a retail app can suggest nearby stores or products based on the customer's location.

Increased brand awareness

While building an app for your brand, you would want to focus on promoting your brand by aiming for top notch customer experience. In order to do so an app should be able to present your brand's design, logo, slogans and identity. Consider what converts potential buyers into your customers and what is the value that your app is bringing to the users involved and make sure you have enough offers and incentives for the customers to return.

Mobile apps can be a powerful tool to bring brand awareness. Here are some ways they establish your brands:

Increased exposure

By offering an app in popular app stores, businesses can increase their exposure to potential customers. Users can find and download the app, even if they haven't heard of the brand before.

Access a brand’s services via mobile

A mobile app offers constant visibility of the brand on the user's device. This constant presence helps to keep the brand at the top of the user's mind.

Build audience and loyalty

An app can provide easy access to product information, customer reviews, and other important information about the brand, which can help to build trust and credibility with potential customers. A well-designed mobile app can provide an exceptional customer experience, which can help to build brand loyalty and increase positive word-of-mouth marketing.

Learn about the 3 components of customer loyalty.

More efficient marketing

Marketing through mobile apps can be an effective strategy for businesses looking to reach and engage with customers. Customer-facing apps can enhance more efficient marketing for businesses in several ways. Here are some ways in which customer-facing apps can help businesses to improve their marketing efforts:

Understanding customer journey and behavior

Mobile apps can understand customer journey and behavior by collecting and analyzing data on user interactions within the app. Mobile apps have the option for users to set preferences at the start, based on this information apps can customize their service to each customer.

Another way for your customers to contact you

Mobile apps can also use in-app messaging to communicate with customers in real-time. This can help businesses to provide personalized recommendations and support, which can improve customer satisfaction and loyalty.

Increased sales

Mobile apps can feature in-app promotions and discounts to encourage customers to make a purchase. This can help to increase the likelihood of a sale and encourage repeat purchases. Mobile apps can also allow customers to share their purchases on social media, which can help to increase brand awareness and drive sales. Loyalty programs are another way that can reward customers for making purchases and engaging with the app.

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In recent years, consumers downloaded 255 billion mobile apps to their devices, more than 80 percent from 140.7 billion app downloads in 2016. - Statista

Mobile apps can be a powerful tool for businesses to enhance customer engagement, build brand awareness, and create more efficient marketing campaigns. By leveraging data analytics, machine learning, and other advanced technologies, businesses can create mobile apps that meet the evolving needs and expectations of their customers, while also standing out in a crowded market. In conclusion, businesses that are able to adapt to rising consumer expectations and increasing competition will be better positioned to succeed in the long term.

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Written By

A technology veteran, investor and serial entrepreneur, Mohan has developed services for clients including Singapore’s leading advertising companies, fans of Bollywood movies and companies that need mobile apps.

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