How to improve user benefits and create value for users in Japan
Discover how three Japanese developers created value for their users and hear insights from their businesses
Discover insights from three Japanese developer case studies, including development techniques, new features, and how these can create value for your app users.
Japan provides a unique environment for mobile apps and games developers. Many people can get access to 4G carriers with stable and strong signals both in and out their home, schools, and on trains with their smartphones. Trains are one of the most efficient and convenient ways of transport in large cities like the Greater Tokyo Area, Osaka and Fukuoka. In everyday life, except in the latest special circumstances, people board a train, and use their smartphones between 10 minutes up to 1 hour and a half almost every day. Typically, Japanese people expect high-quality and reliable services and are able to instantly compare quality against other services. Therefore developers who want to grow their apps and games business in Japan, need to consider adapting apps and services to the high-quality standards that Japanese users expect.
In this post I will share case studies from three Japanese developers that have demonstrated the innovation and knowledge in leading their business to growth.
MatchingAgent
MatchingAgent is the creator of the Japanese dating app tapple, it has 5 million members and made over 200 million matches. They have aggressive business goals to maximize the Lifetime Value (LTV) of subscribers, such as multiple planned and executed experiments using Google Play subscription offers, Firebase Remote Config, and Firebase A/B Testing.
Efforts to increase LTV had been underway since the service launch almost 5 years ago. For MatchingAgent, LTV has three components:
- Subscription registration rate
- Subscription continuation rate
- One-time paid or option subscription plan rate
Of these, MatchingAgent started by focusing on maximizing the subscription registration rate. In 2017 MatchingAgent realized they needed a broader strategy so they ran discount campaigns on the paid subscription plans (three-month, six-month, and annual) that saw a 20% increase in subscriptions. MatchingAgent also launched pay-per-use options, which doubled sales.
In 2018, a new premium option plan (new subscription) was launched. In parallel, MatchingAgent ran a number of tests to determine the optimal point in the user’s journey to promote the paid plan. MatchingAgent also ran time-limited subscription discount promotions. To support these activities, the paid plan landing page was optimized.
In 2019, MatchingAgent continued to look at landing page optimization, running a 7-day A/B test for subscribers using Firebase. In particular, they were interested in improvements in the conversion rate and Average Revenue Per Paying User (ARPPU).
The changes MatchingAgent have made since 2017 achieved an approximately 30% increase in LTV.
LIFULL
LIFULL Co., Ltd. offers a property database service in Japan and 57 other countries through their website and app, LIFULL HOME’S. They wondered whether adding dark theme support would improve user conversion and retention, the test results indicated an improvement of over 10% in user retention for Dark theme users. They started to develop their app for testing with the Android API, the preview mode in Android Studio to implement tests quickly. In addition, to validate the usability of their app in Dark theme, the designers at LIFULL used the color tool from the material design resources. After they launched, 21% of new registered users chose to use Dark theme.
Users who use the LIFULL HOME’s app regularly throughout the year also often use it at night, a fact revealed as a result of the analysis. In the nine months following launch, LIFULL found some issues. The main issue was that the number of people using Dark theme at night was lower than the number of people giving the app permission to switch themes. LIFULL provided users who started the app at night the option to switch to the Dark theme. However, those people who used the app from daytime through to nighttime weren’t given the option to choose the Dark theme.
LIFULL solved these issues by adding a pop-up message to switch from Light to Dark theme for night use that displayed during the daytime. This change increased the use of Dark theme, with existing and new users using the app more.
mikan
mikan is a Japanese startup, they have created a series of over 15 learning apps. When they launched in 2014, their first English vocabulary learning app achieved over 100,000 downloads in just three days. However, sustaining growth and attaining their business goals through monetization has been a challenge for them. They decided to start A/B testing on Android using Firebase Remote Config to find the price and subscription period that appealed most to their users.
Originally, mikan provided only a monthly subscription. With the goal of improving annual recurring revenue, mikan tested three subscription plans: monthly, semi-annual, and annual.
Using the features of Google Play Billing and Firebase, mikan created their tests in just 2 weeks. Also, their users did not need to download any new features through Google Play, as Firebase Remote Config enabled mikan to change the app’s UI and UX easily without changing the app code.
mikan also modified the subscription page. Rather than explaining the benefits of the subscription, the new subscription page focused on giving users the option to select one of the subscription plans.
Before launching the test, expectations for the annual plan were low because of its cost when compared to the monthly plan price. The test saw the most attractive prices for users and the duration of their subscriptions shows that over eight months, over 70% of users choose a one-year plan, which is a stable source of income.
Final thoughts
Hopefully the insights shared above highlight the importance of continuous app improvement to the success of your business, by expanding your monetization strategy and delivering user benefits after launching the app. Google Play has continued to support the growth of subscription offerings through developer tools and updated developer’s policies. There is also a range of tried and tested tools to help you run tests that help to optimize all aspects of your subscription lifecycle. Find out more here.
What do you think?
Do you have thoughts on improving user benefits? Let us know in the comments below or tweet using #AskPlayDev and we’ll reply from @GooglePlayDev, where we regularly share news and tips on how to be successful on Google Play.
