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You asked

Why do users activate but not adopt the product?

Users start using the product but don’t stick with it.

Symptom

At 4.8%, the mobile conversion rate is up 22% month over month following a round of signup flow optimization.

Cause

The mechanism is a boundary mismatch between what conversion measures and what retention requires.

Impact

When acquisition cost is divided only by total signups, CAC appears controlled.

Full diagnostic context

Users start using the product but don’t stick with it.

At 4.8%, the mobile conversion rate is up 22% month over month following a round of signup flow optimization.

The mechanism is a boundary mismatch between what conversion measures and what retention requires.

When acquisition cost is divided only by total signups, CAC appears controlled.