Source of the article, Mr. Kangxi, author: Mr. Kangxi 。
What is CLV? Product makers must understand this word.
CLV is customer lifetime value, also called customer lifecycle value. It is the abbreviation of Customer Lifetime Value, which means the total value that users can create for you in this life.
Generally speaking, it means:
Making money from users is not very powerful;
It is powerful to earn a lifetime's money from the same user.
This is CLV, user lifetime value. (Of course, CLV also includes the indirect value created for you by users.) Knowing CLV, you will know how important the user retention rate is.
If users just come and run away, what is the lifelong value?
Therefore, we can't help thinking about one question: What kind of products can make user retention rate higher?
Today, the master came to talk with you about this.
I
There is a high level of product : Make products a habit of users.
When the product enters the user's "habit range", the product will gain continuous vitality, and the user retention rate should not be worried.
WeChat has achieved this.
Last year, WeChat released a "2017 WeChat Data Report", which showed that in September 2017, there were 900 million active users on WeChat, and WeChat users sent 38 billion messages a day, up 25% year on year. Now WeChat has become a habit of users.
How can we make products become a habit of users like WeChat?
I found an answer from behavioral science. Cognitive psychologists believe that habit is actually an "unconscious behavior generated by situational cues".
This sentence gives me a guess: Scene+hint=habit formation?
In order to verify the correctness of this conjecture, I spent hundreds of hours browsing a large number of domestic and foreign materials. Especially in the field of behavioral psychology, which mainly studies the scientific secrets behind human behavior.
And I highly recommend that everyone should learn some behavioral psychology. Because in this way, you can better understand the psychology of users.
In future articles, I will often talk about this with you.
So, let's return to the topic of product habits. How can we make products become users' habits?
I recommend 3 Model 。
II
The first model: Fogg behavior model (also called FBM model)
This model is named after behavior scientist BJ Fogg, who is also the founder of Stanford Behavior Design Laboratory.
The first step in shaping user habits is to let users move.
How to drive user behavior?
Fogg believes that there are three driving factors behind all human behaviors, which are indispensable if people want to take action.
This is the FBM model: behavior=motivation+capability+trigger.
There are three necessary conditions for an action to take place:
First, full motivation;
Second, the ability to complete this behavior;
Third, the trigger for people to take action.
How to understand this model? Let's take a look at Fogg's story.
Imagine a scenario:
Your mobile phone rings, but you don't answer it. Why?
1. Maybe it's because the phone is in the bag, and you haven't found it for a while. At this time, you have no ability to answer the phone, which leads to blocked action. In other words, your ability is limited.
2. Maybe you think the other person is a telemarketer and doesn't want to answer. Inadequate motivation causes you to turn a deaf ear to incoming calls.
3. It is also possible that the incoming call is very important, and you can reach the phone, but the phone ring tone is set to mute. At this time, even if you have a strong motivation and can easily connect the phone, you still do not connect, because you never hear the phone ring. This means that the trigger does not appear.
Therefore, if we want users to do something, we need to consider and design three action elements in the product:
Give users a reasonable motivation, reduce their ability barriers, and set effective triggers.
This is the core mechanism of Fogg's behavior model.
The above is the first model for creating product habits: Fogg behavior model - to make users have habits, let users change their behavior first.
III
The second model: the Hook Model.
The author of the addiction model is Nir Eyal, who has written a book, the Chinese version of which is Addiction: Four Product Logics for Users to Develop Use Habits.
In the addiction model, Nir divides the process of habit building into four stages: Trigger, action, variable reward and input.
The first stage: trigger users to use your product, which is called "trigger".
The second stage: action. Action should have both motivation and ability. If there is motivation, the user's ability should be sufficient to complete the action. (This is the same as the Fogg behavior model)
The third stage: give users variable rewards. The so-called variable reward means that the reward should be unpredictable.
The fourth stage: let users make more and more "investment" in products. The more users get close to the product, the greater the sunk cost, and the more inseparable it is.
Through the "input" of users, the next "trigger" may be generated, thus starting a positive cycle, and you will become addicted.
This is Nir's addiction model.
On the basis of Fogg's behavior model, he added more addictive elements, forming a positive cycle, allowing the product to guide users to repeatedly use behavior, and finally form habits.
The above is the second model of creating product habits: Addiction model - habit cultivation is to make the user's behavior continue to cycle and repeat.
IV
The third model: the game octagonal model.
Why are games so addictive?
This shows that there must be many addictive elements behind game design.
Game design attaches great importance to human behavior motivation. It is people-oriented design rather than function centered design.
So I found a good model from the perspective of gamification—— Game oriented octagonal model.
The proposer is Yu kai Chou, a gamification expert. He spent ten years studying games and finally found the reason why people like to play games, It is basically inseparable from the eight core driving forces:
1) Epic meaning and call. The player thinks he is doing something bigger than himself, or he is "chosen" to do something.
2) Development and achievements. The design focuses on creating "challenges", where players develop skills and eventually overcome challenges.
3) Enhance creativity and feedback. Users have to figure out and try different combinations repeatedly during the creation process.
4) Ownership and property. When a player feels ownership, he naturally wants to have better and more of his own things.
5) Social impact and relevance. This drive integrates all the social elements that drive people, including guidance, acceptance, social reaction, companionship, competition and jealousy.
6) Lack and impatience. This is the motivation to get something, because you can't have it.
7) Unpredictability and curiosity. If you don't know what will happen, your brain will participate in it, and you often think of it.
8) Loss and avoidance. This core driving force is based on avoiding negative events. If they do not take immediate action, they will lose.
These eight core driving forces constitute the gamification design framework.
Because it is designed to be octagonal, and each side represents a core driver, this model is called "octagonal model".
The above is the third model for creating product habits: the game oriented octagonal model - insight into the core driving force to enhance the internal attractiveness of the product.
V
Talents belong to a few, and routines belong to all—— Master Kangxi
Finally, let's summarize today's contents:
1) What is CLV?
CLV is the customer lifetime value, which refers to the total value that users can create for you in this lifetime. Once you understand CLV, you will know the importance of user retention rate.
2) What kind of products can make user retention rate higher?
There is a high level of product realm: let products become a habit of users.
3) How to make products become users' habits?
I recommend three models to you:
Fogg behavior model: behavior=motivation+ability+trigger.
Addiction model: trigger action variable reward input.
Gamification octagonal model: 8 core driving forces=mission+achievement+creation+ownership+social interaction+scarcity+unknown+escape.
VI
Three things you can do today.
Today's talk is about the model of triggering action, so we might as well apply what we have learned and practice it deliberately.
Recommend three things you can do today——
First thing: search. Find out what elements have been used in your product.
The second thing: thinking. Think about which model is more suitable for your product.
The third thing: design. Imagine what you would do if you redesigned your product.
