Business Metrics

What is Engagement?

Definition

The frequency and depth of a subscriber's interaction with a service, used as a key predictor of retention and expansion.

Understanding Engagement

Engagement metrics tell subscription businesses how actively users interact with their product. Common engagement metrics include daily/monthly active users (DAU/MAU), session frequency and duration, feature adoption rates, and usage depth. High engagement correlates strongly with retention — users who regularly use a product are far less likely to cancel.

This is why services send usage reminders, new feature announcements, and activity digests. For consumers, monitoring your own engagement helps identify subscriptions to cancel. If you haven't logged into a service in 30+ days, it's likely not worth the cost.

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