The problem with retention, IMO, is not about downloads and pretty areas.
Its about meeting people and finding pretty avatars -to talk to-.
People log into SL and the most common questions you get seem to be:
1. What can I do now?
2. How do I make myself look the way I want?
3. Where can I meet other people?
#3 comes with a subtext of "...other people who look interesting to talk to..." For many newbies (hint: the menfolk), its more important that the -OTHER- people look sexy... For others (hint: the womenfolk), its important that -EVERYBODY- look sexy. :D
#1 is sort of Linden Realms, but is more "what can I do -with- other people?", but is also half the time phrased as "How can I get a job?"
- People want the group content. This is why MMOs like Champions Online failed - poor group content at launch. Its why 1st person shooters were the early hits in online gaming: PvP is all about group play. Its why the top traffic spots in SL are the clubs and roleplay, not the art builds and solo-games.
LR's is a concept piece to test tools, but the Lindens themselves have noted that the purpose is to test tools they plan to hand over to the makers of group-oriented-games: roleplay and breedables.
#2 was solved in viewer 3. I just tell people now to click the icon on the left of the screen that looks like 2 people standing next to each other, and then the learn about having fun before coming back to 'shopping' for more.
That said, the newbie style challenge:
http://juicybomb.com/2011/11/04/newbie-style-challenge-ii/
- is probably going to be a new part of the 'detailed version' of my #2 answer.
