What onboarding completion rate is and how to compute it
Onboarding completion rate (OCR) is the share of new users who reach the final step of the
onboarding flow:
OCR = Completed onboarding / Started onboarding × 100%
It is worth tracking two variants: completion of the whole flow and completion up to the
activation point (the first target action — a first purchase, an add to cart, setting
preferences). The second variant often matters more, because it shows value actually being received.
A typical onboarding funnel in an e-commerce app
| Step | Action | Typical drop-off |
|---|---|---|
| 1 | Opened the app, saw the first screen | 10–20% |
| 2 | Registration / sign-in | 20–35% |
| 3 | Choosing interest categories | 10–20% |
| 4 | Granting push permission | 30–50% |
| 5 | First product view | 15–25% |
The largest drop-off is almost always at registration and at the push permission request. Moving the
permission request to a later stage — after the value has been demonstrated — reliably improves OCR.
Onboarding and retention: why this matters
A user who does not complete onboarding has in most cases never reached the aha moment, the
point where the product demonstrates its value. Without it there is no reason to come back.
Tip: look at the correlation between onboarding completion and D7 retention. If the gap is
wide, onboarding failed to communicate the core value, even if the user technically “completed”
every step.
How to optimise it
- Shorten the flow. Every extra step costs conversion. Keep only what is genuinely needed to personalize the first experience.
- Defer the optional. Location access, full registration, push permission — all of these can come after first value, not before.
- Explain the “why”. “Allow notifications to receive notifications” does not work. “Be the first to know when a wishlist item drops in price” does.
- Test with A/B. Onboarding is one of the highest-ROI areas for experimentation: a small improvement at the first stage multiplies through every downstream metric.