Mobile & Web App Glossary for Founders

App Analytics in App Development: KPIs, Tools & Success Strategies

Written by Akash Shakya | Jun 30, 2025 3:12:39 AM

App analytics is the process of tracking what users do in your app — how they interact with it, where they drop off, what they tap, and how often they return. It helps you understand real user behavior so you can improve features and make smarter decisions.

Why It Matters

Why Founders Should Care About This Term:

  • Data-Driven Decisions: Lets you build based on evidence, not guesses.
  • Improves UX: Identifies friction points where users struggle.
  • Boosts Retention: Helps you understand and fix why users churn.
  • Supports Monetisation: Reveals what actions lead to revenue.
  • Informs Product Strategy: Tracks usage trends to prioritise future features.

Use This Term When...

  • Planning your MVP and deciding what to track
  • Running A/B tests to evaluate user flow changes
  • Reporting to stakeholders or investors on app performance
  • Identifying key user journeys or drop-off points
  • Planning onboarding, feature updates, or retention strategies

Real-World Example 

In one of our projects, we integrated App Analytics to track user behavior, feature engagement, and retention rates. This helped the client make informed decisions about future updates and improve overall user satisfaction.

 Founder Insight 

Don’t just track downloads. The real insights come from what users do after they open the app. Track actions that tie directly to value — like completed signups, purchases, or shares.

Key Metrics / Concepts

  • DAU/WAU/MAU – Daily, Weekly, Monthly Active Users
  • Retention Rate – Measures how many users return after their first visit
  • Funnel Analysis – Tracks user progress toward a goal (e.g., signup or purchase)
  • Session Length – How long users stay in the app
  • Event Tracking – Logs actions like taps, swipes, or purchases

Tools & Technologies

  • Firebase Analytics – Free and comprehensive analytics tool for mobile
  • Mixpanel – Advanced event-based tracking and user segmentation
  • Amplitude – Great for product-led growth and cohort analysis

What’s Next / Future Trends

AI is starting to automate insights — recommending features, detecting anomalies, and predicting churn. Expect more no-code dashboards, deeper real-time data, and privacy-first tracking due to evolving data regulations.

Related Terms

  • A/B Testing – Often guided by insights from app analytics
  • Churn Rate – Analytics helps identify why users stop using your app
  • User Journey – The full path a user takes inside your app
  • Retention Curve – Graphs that show how many users stay over time
  • Attribution Tracking – Tracks where users come from

Helpful Videos / Articles / Pages

Understanding App Analytics Using Google Analytics and Other Tools

EBPearls: Mobile App Monitoring, Analytics, and Improvement


Call to Action 

Want help setting up analytics for your app? Book a discovery call with our team — we’ll help you turn data into growth.