How do you bridge the gap between user activation and long-term retention?

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In the beginning, we focused heavily on smoothing out our signup flow, and activation rates looked great. But a few weeks in, we realized users were dropping off right after completing onboarding.

Getting users to see the initial value is one thing, but keeping them coming back to perform managing early retention: what onboarding or product changes made the biggest difference in turning initial activation into a daily or weekly habit?

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A daily reward did not bridge it for me. My app gives non subscribers two free credits a day for opening it, plus a bonus on the seventh day in a row. After about five days live: 37 claims, 30 people claimed once and never again, 7 came back for a second day. And of 309 accounts with a song, 29 made a song on a second day and 3 were still making songs a week later. The bonus rewards opening the app, not having a reason to. The reason in my case is the next birthday or holiday someone cares about, with a reminder before it. If your product has no natural next occasion, I would look for one before adding any streak.