There are many metrics to track app performance throughout the user lifecycle, but Lifetime Value (LTV) may be the most extensive, following the user’s journey from day one to when they uninstall the app.
Being able to track LTV is important for properly budgeting customer acquisition costs, as they will be able to factor in the average amount of revenue per customer and identify if an ad or retargeting campaign is worth the price.
It can also provide a clearer estimate of an apps quarterly or annual revenue, which is again useful for budgeting and other cost-based decisions.
There are many ways to estimate LTV, one of the more common is to take the average revenue per user over several instances, such as one month, three months and one year and look at the retention rate of the app over that time.
From there, accurate LTV judgements can be made, as the vast majority of revenue for apps comes in the first year of a user downloading their app. For businesses with long-term subscribers, LTV rates can be found again from retention rate after two years or more.
We have collected data and statistics on LTV app rates. Read on below to find out more.
LTV App Rates Key Statistics
- Games have the lowest LTV rate across app categories, at $2.55
- iOS has a higher LTV rate than Google Play across all app categories
- Average LTV rate for games is $2.93, with US users spending the most
- Travel has the highest LTV rate, at $80.49
LTV App Rates
Games have a much lower average LTV rate than other categories, due to the large portion of people unwilling to pay for microtransactions.
LTV app rates by category 2023 ($)
LTV Game Rates
iOS has a higher LTV rate for games, at $2.93. The United States has the highest LTV by country, at $2.96.
LTV game rates by platform 2023 ($)
LTV game rates by country 2023 ($)
LTV Shopping App Rates
There’s a $10 difference in LTV between the two platforms on shopping apps. The US again has the highest LTV by country.
LTV shopping app rates by platform 2023 ($)
LTV shopping app rates by country 2023 ($)
LTV Travel App Rates
There’s an even larger gap for LTV rates on travel apps by country, with the US at over $130, over $50 more than the UK.
