What is the average time interval between a user's initial and subsequent transactions on Axelar?

What is the average duration between transactions for users within the Axelar?

Sojourner or Habitant

To gain meaningful insights into user retention across Axelar ecosystem, we first filtered out wallets with over 10,000 transactions to eliminate bots and contracts. This distinction allowed us to focus on genuine user activity.

• Sojourners Dominate the Landscape Upon analyzing the cumulative count of new wallets based on their active duration, a distinctive trend emerges. The chart reveals a substantial drop in new users from those online for two days to those online for 5 or more days (45k → 25k). This indicates that a significant portion of users could be characterized as "sojourners," engaging with the platform briefly before moving on.

• Short-Term Engagement: Majority Exit Within 2 Days Zooming in on users active for more than 50 days, we notice a stark decline to around 2.8k. This emphasizes that a considerable number of users tend to be short-term participants, leaving the ecosystem after a day or two of initial engagement. The distinction between sojourners and habitants becomes clearer as the active duration increases.

Identifying New Active Users

In the subsequent analysis, we specifically targeted new users—those transacting on Axelar ecosystem for the first time. To be considered 'new active users,' individuals had to have an active duration of at least 7 days and a last active duration of 7 days or less.

• Declining Trend in New Active Users The charts illustrate a concerning trend in the count of new active users over time. Out of 73.2k individuals, only 7.8k qualify as new active users. This suggests a diminishing interest or acquisition of new users on the ecosystem, emphasizing the need for strategies to enhance user onboarding and engagement.

Insights and Implications

User Dynamics: The distinction between sojourners and habitants highlights the transient nature of a significant user base. Strategies to convert short-term engagement into long-term commitment are critical.

Retention Challenges: The decline in new active users signals potential challenges in user retention. Addressing the factors contributing to this decline is crucial for sustaining and growing the user base.

Strategic Imperative: To revitalize user acquisition, focusing on optimizing onboarding processes and fostering continuous engagement is imperative. Understanding the user journey and implementing targeted interventions can make a significant impact.

Recommendations

Enhance Onboarding Experience: Streamlining the onboarding process can improve initial user engagement and increase the likelihood of users transitioning from sojourners to habitants.

Retention Campaigns: Implement targeted campaigns to re-engage short-term users and encourage prolonged interaction with the ecosystem.

Data-Driven Iterations: Regularly analyze user behavior data to identify patterns and iteratively refine strategies for user retention and acquisition.

Conclusion

The analysis underscores the importance of not only acquiring new users but also retaining and nurturing their engagement over time. By understanding user behavior patterns and implementing strategic initiatives, the Axelar ecosystem can navigate challenges and foster a more robust and committed user community.