Should You Reward Users for Updating Your App?

There is no easy way of getting users to update an app. Even if the new version includes important improvements, many users put off updating because they don’t see an immediate reason. One way to address this is to communicate within the app and offer users a small reward or advantage for installing the latest version. This method can be effective, but it also changes how users think about updates.
Pros:
- The number of app updates can be increased by providing users with a clear reason to take action.
- Helps users abandon older versions that may have bugs, security issues, or obsolete features.
- Makes the update message more appealing than a simple ‘New version available’ notification.
- It can speed adoption of new features and improve consistency across users.
- It conveys the value of the new release, not just that an update is available.
From a product point of view, it is particularly useful when encouraging users to upgrade to the latest version has real operational value, since supporting fewer older versions can make development, testing, customer support, and the introduction of new features easier. Nevertheless, consider the behavioral consequences of introducing a reward into the update process.
Cons:
- Users may rely on incentives and start expecting a reward in every future update.
- If incentives are given frequently, then they will lose their perceived value and end up costing a lot over time.
- People who have already updated but haven’t received the incentive might feel they were treated unfairly.
- A reward may lead users to update even if they don’t know whether the new version is actually beneficial.
- Too many update prompts or overly aggressive incentives can create friction and erode trust in the product.
In my opinion, incentives work best to speed up updates rather than as the primary reason users update. The updated version should still offer clear benefits—such as improved performance, useful new features, better security, or a significantly enhanced user experience. If users update only because they are being rewarded, the incentive may address the symptom rather than the fundamental issue with the product’s communication.