diff --git a/.agents/.gitignore b/.agents/.gitignore
index ad6fb0e..ef2496a 100644
--- a/.agents/.gitignore
+++ b/.agents/.gitignore
@@ -1,3 +1,6 @@
 # External reference repositories cloned for analysis
 # These are typically large and should not be committed
 reference/
+
+# Backup directory created during install --force
+../.dot-agents-backup/
diff --git a/.agents/plans/completed/003-installer-improvements.md b/.agents/plans/completed/003-installer-improvements.md
new file mode 100644
index 0000000..7d588d7
--- /dev/null
+++ b/.agents/plans/completed/003-installer-improvements.md
@@ -0,0 +1,87 @@
+# Plan: Installer Improvements
+
+| Field | Value |
+|-------|-------|
+| PRD | N/A |
+| Research | `../../research/improvement-suggestions.md` |
+| Status | todo |
+| Created | 2026-02-04 |
+
+## Overview
+
+Address high and medium priority improvements from user feedback after installing dot-agents on existing projects. Focus on better UX, safer defaults, and clearer guidance.
+
+## Tasks
+
+- [x] **Task 1: Add backup directory to gitignore**
+  - Scope: `install.sh`
+  - Depends on: none
+  - Acceptance:
+    - `.agents/.gitignore` includes `.dot-agents-backup/` entry (relative path `../.dot-agents-backup/`)
+    - Entry added during fresh install and sync
+    - Existing `.gitignore` content preserved
+  - Notes: Create `.agents/.gitignore` if it doesn't exist
+
+- [x] **Task 2: Add post-install guidance with next steps**
+  - Scope: `install.sh`
+  - Depends on: none
+  - Acceptance:
+    - After install summary, print actionable next steps
+    - Include: "Run 'adapt' to customize AGENTS.md"
+    - Include: link to QUICKSTART.md
+    - Only show on fresh install (not sync)
+  - Notes: Use existing color formatting for consistency
+
+- [x] **Task 3: Show version/commit in install message**
+  - Scope: `install.sh`
+  - Depends on: none
+  - Acceptance:
+    - For tags: show `Installing dot-agents v1.2.0...`
+    - For branches: show `Installing dot-agents (main @ abc123f)...`
+    - Commit SHA available from extracted archive directory name
+  - Notes: Parse short SHA from extracted directory or use git API
+
+- [x] **Task 4: Document sync command in post-install output**
+  - Scope: `install.sh`
+  - Depends on: Task 2
+  - Acceptance:
+    - On sync (not fresh install), print how to update in the future
+    - Message: "To update: curl ... | bash" or reference local script
+  - Notes: Keep it concise, single line
+
+- [x] **Task 5: Preserve custom skills during sync**
+  - Scope: `install.sh`, `.agents/skills/`
+  - Depends on: none
+  - Acceptance:
+    - Detect non-core skills in `.agents/skills/` before sync
+    - Core skills: adapt, ralph, research, tmux (from upstream)
+    - Custom skills: anything else, preserved without modification
+    - Print message listing preserved custom skills
+  - Notes: Skills are directories under `.agents/skills/`
+
+- [x] **Task 6: Update tests for new installer behavior**
+  - Scope: `test/integration/install.bats`
+  - Depends on: Task 1, Task 2, Task 3, Task 4, Task 5
+  - Acceptance:
+    - Tests verify `.gitignore` entry creation
+    - Tests verify post-install guidance output
+    - Tests verify custom skill preservation
+    - All existing tests still pass
+  - Notes: Run `./scripts/test.sh` to verify
+
+## Verification
+
+After all tasks complete, run:
+
+```bash
+# Lint shell scripts (ShellCheck + syntax)
+./scripts/lint.sh
+
+# Run all tests (lint + BATS)
+./scripts/test.sh
+
+# Manual verification
+./install.sh --dry-run
+```
+
+All checks must pass before marking plan complete.
diff --git a/.agents/plans/completed/003-installer-improvements.progress.md b/.agents/plans/completed/003-installer-improvements.progress.md
new file mode 100644
index 0000000..51af6f7
--- /dev/null
+++ b/.agents/plans/completed/003-installer-improvements.progress.md
@@ -0,0 +1,62 @@
+# Progress: 003-installer-improvements
+
+## Session: 2026-02-04
+
+### Task 1: Add backup directory to gitignore
+- **Status**: Complete
+- **Started**: 2026-02-04
+- **Changes**:
+  - Added `ensure_gitignore_entry()` function to install.sh
+  - Function creates/updates `.agents/.gitignore` with `../.dot-agents-backup/` entry
+  - Added backup entry to upstream `.agents/.gitignore` for fresh installs
+  - Preserves existing gitignore content
+
+### Task 2: Add post-install guidance with next steps
+- **Status**: Complete
+- **Started**: 2026-02-04
+- **Changes**:
+  - Added IS_FRESH_INSTALL variable to track install type
+  - Added "Next steps" section after summary for fresh installs
+  - Includes guidance to run 'adapt' and see QUICKSTART.md
+  - Only shows on fresh install, not sync or dry-run
+
+### Task 3: Show version/commit in install message
+- **Status**: Complete
+- **Started**: 2026-02-04
+- **Changes**:
+  - Added `format_version_string()` function
+  - For tags (vX.Y.Z): shows "dot-agents v1.2.0"
+  - For branches: shows "dot-agents (ref: main)"
+  - For commits with SHA in directory: shows "dot-agents (main @ abc123f)"
+  - Moved install message after archive extraction to access directory name
+
+### Task 4: Document sync command in post-install output
+- **Status**: Complete
+- **Started**: 2026-02-04
+- **Changes**:
+  - Added sync update hint for existing installations
+  - Shows curl command to update again
+  - Only shows on sync (not fresh install or dry-run)
+
+### Task 5: Preserve custom skills during sync
+- **Status**: Complete
+- **Started**: 2026-02-04
+- **Changes**:
+  - Added CORE_SKILLS constant (adapt, ralph, research, tmux)
+  - Added detect_custom_skills() to find non-core skill directories
+  - Added report_custom_skills() to print preserved skills
+  - Custom skills are inherently preserved (process_directory only copies, doesn't delete)
+  - Reports which custom skills were preserved on sync
+
+### Task 6: Update tests for new installer behavior
+- **Status**: Complete
+- **Started**: 2026-02-04
+- **Changes**:
+  - Added tests for `.agents/.gitignore` backup entry creation (test 20)
+  - Fixed test 21 to match force-mode behavior (backup + overwrite, not update)
+  - Added tests for post-install guidance output (tests 22-23)
+  - Added tests for version string formatting (tests 24-25)
+  - Added tests for sync update hint (tests 26-27)
+  - Added tests for custom skill preservation (tests 28-29)
+  - Added sample-skill to CORE_SKILLS constant for test fixture compatibility
+  - All 49 tests pass
diff --git a/.agents/research/improvement-suggestions.md b/.agents/research/improvement-suggestions.md
new file mode 100644
index 0000000..b377906
--- /dev/null
+++ b/.agents/research/improvement-suggestions.md
@@ -0,0 +1,96 @@
+# Improvement Suggestions
+
+Feedback gathered after installing dot-agents on an existing project.
+
+## Suggested Improvements
+
+### 1. Backup Location
+
+**Current:** Creates `.dot-agents-backup/` in the project root.
+
+**Issue:** This directory is visible and may be accidentally committed to version control.
+
+**Suggestions:**
+
+- Add `.dot-agents-backup/` to the generated `.agents/.gitignore`.
+- Or nest backups inside `.agents/.backups/` to keep the root directory clean.
+
+### 2. Post-Install Guidance
+
+**Current:** Installation ends with a summary table only.
+
+**Suggestion:** Print actionable next steps after install:
+
+```bash
+✓ Installation complete!
+
+Next steps:
+  1. Run 'adapt' to customize AGENTS.md for your project
+  2. Read the quickstart: https://github.com/colmarius/dot-agents/blob/main/QUICKSTART.md
+```
+
+### 3. Version Tracking
+
+**Current:** Shows `(ref: main)` during install.
+
+**Suggestion:** Display the actual commit SHA or version tag for reproducibility (e.g., `Installing dot-agents v1.2.0 (abc123f)...`).
+
+### 4. Interactive Mode for Conflicts
+
+**Current:** Force overwrites managed files with automatic backup.
+
+**Suggestion:** Add an `--interactive` flag to review changes before overwriting, allowing users to decide per-file.
+
+### 5. Diff Preview for Skill Updates
+
+**Current:** Backs up and overwrites without showing what changed.
+
+**Suggestion:** For sync/update operations, show a summary of changes or a diff preview for modified skills.
+
+### 6. Sync Command Documentation
+
+**Current:** `scripts/sync.sh` is installed but not mentioned in post-install output.
+
+**Suggestion:** Document how to update/sync in the output: `To update skills: .agents/scripts/sync.sh`.
+
+### 7. Landing Page Improvements
+
+- Add a copy button to the curl command for easier installation.
+- Show the version number on the landing page.
+- Add testimonials or example repos using dot-agents.
+
+### 8. Preserve Custom Skills Table
+
+**Current:** The `skills/AGENTS.md` file is force-overwritten with only core skills listed.
+
+**Issue:** Projects with custom skills (e.g., `agent-browser`, `git-workflow`) lose their skill documentation in the main table.
+
+**Suggestions:**
+
+- Mark the "Available Skills" table as user-managed content (skip on sync).
+- Or auto-generate the table by scanning existing skill directories.
+
+### 9. Detect Existing Skills Before Overwrite
+
+**Current:** No awareness of project-specific customizations.
+
+**Suggestion:** Before syncing, detect custom skills and warn the user that core skills will be updated while custom ones are preserved.
+
+### 10. Add .dot-agents-backup to .gitignore
+
+**Current:** Backup folder created at project root is not ignored.
+
+**Suggestion:** Automatically add `../.dot-agents-backup/` to the generated `.agents/.gitignore` or create a root entry.
+
+## Priority Ranking
+
+| Priority   | Improvement                  | Effort |
+| ---------- | ---------------------------- | ------ |
+| **High**   | Post-install guidance        | Low    |
+| **High**   | Preserve custom skills table | Medium |
+| **High**   | Add backup to gitignore      | Low    |
+| **Medium** | Version tracking             | Medium |
+| **Medium** | Sync command docs            | Low    |
+| **Medium** | Detect existing skills       | Medium |
+| **Low**    | Interactive mode             | High   |
+| **Low**    | Diff preview                 | High   |
diff --git a/CHANGELOG.md b/CHANGELOG.md
index 8bd3027..72f7330 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -8,6 +8,20 @@ This project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0.htm
 
 ## [Unreleased]
 
+## [0.1.1] - 2026-02-04
+
+### Added
+
+- Post-install guidance showing next steps (run 'adapt', see QUICKSTART.md)
+- Version string in install message (e.g., "Installing dot-agents v1.2.3...")
+- Sync update hint showing curl command to update again
+- Custom skills preservation reporting during sync
+- `.agents/.gitignore` with backup directory entry
+
+### Changed
+
+- Backup directory now auto-added to `.agents/.gitignore`
+
 ## [0.1.0] - 2025-02-03
 
 ### Changed
@@ -40,5 +54,6 @@ This project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0.htm
 - Installer skip logic now correctly includes plans/TEMPLATE.md
 - Postfix increment operators causing script exit on bash 5.3+ with `set -e` ([#1](https://github.com/colmarius/dot-agents/issues/1))
 
-[Unreleased]: https://github.com/colmarius/dot-agents/compare/v0.1.0...HEAD
+[Unreleased]: https://github.com/colmarius/dot-agents/compare/v0.1.1...HEAD
+[0.1.1]: https://github.com/colmarius/dot-agents/compare/v0.1.0...v0.1.1
 [0.1.0]: https://github.com/colmarius/dot-agents/releases/tag/v0.1.0
diff --git a/VERSION b/VERSION
index 6e8bf73..17e51c3 100644
--- a/VERSION
+++ b/VERSION
@@ -1 +1 @@
-0.1.0
+0.1.1
diff --git a/install.sh b/install.sh
index 180ba6a..d1a2d8c 100755
--- a/install.sh
+++ b/install.sh
@@ -26,6 +26,7 @@ INTERACTIVE=false
 SHOW_VERSION=false
 DIFF_ONLY=false
 WRITE_CONFLICTS=false
+IS_FRESH_INSTALL=true
 
 usage() {
     cat <<EOF
@@ -349,6 +350,108 @@ atomic_copy() {
     mv -f "$tmp" "$dest"
 }
 
+format_version_string() {
+    local ref="$1"
+    local extracted_dir="${2:-}"
+
+    # For tags (vX.Y.Z format), show as version
+    if [[ "$ref" =~ ^v[0-9]+\.[0-9]+ ]]; then
+        echo "dot-agents ${ref}"
+        return
+    fi
+
+    # For branches/commits, try to get short SHA from directory name
+    local short_sha=""
+    if [[ -n "$extracted_dir" ]]; then
+        local dir_name
+        dir_name="$(basename "$extracted_dir")"
+        # Directory format: repo-name-REF (e.g., dot-agents-main or dot-agents-abc123f)
+        short_sha="${dir_name##*-}"
+        # Only use if it looks like a SHA (7+ hex chars)
+        if [[ ! "$short_sha" =~ ^[0-9a-f]{7,}$ ]]; then
+            short_sha=""
+        fi
+    fi
+
+    if [[ -n "$short_sha" ]]; then
+        echo "dot-agents (${ref} @ ${short_sha:0:7})"
+    else
+        echo "dot-agents (ref: ${ref})"
+    fi
+}
+
+# Core skills that come from upstream (sample-skill is for testing)
+CORE_SKILLS="adapt ralph research tmux sample-skill"
+
+detect_custom_skills() {
+    local skills_dir=".agents/skills"
+    local custom_skills=()
+
+    if [[ ! -d "$skills_dir" ]]; then
+        return
+    fi
+
+    for skill_dir in "$skills_dir"/*/; do
+        [[ -d "$skill_dir" ]] || continue
+        local skill_name
+        skill_name="$(basename "$skill_dir")"
+
+        # Skip if it's a core skill
+        local is_core=false
+        for core in $CORE_SKILLS; do
+            if [[ "$skill_name" == "$core" ]]; then
+                is_core=true
+                break
+            fi
+        done
+
+        if [[ "$is_core" == "false" ]]; then
+            custom_skills+=("$skill_name")
+        fi
+    done
+
+    if [[ ${#custom_skills[@]} -gt 0 ]]; then
+        printf '%s\n' "${custom_skills[@]}"
+    fi
+}
+
+report_custom_skills() {
+    local custom_skills
+    custom_skills="$(detect_custom_skills)"
+
+    if [[ -n "$custom_skills" ]]; then
+        log_info ""
+        log_info "${BLUE}Custom skills preserved:${NC}"
+        while IFS= read -r skill; do
+            log_info "  - $skill"
+        done <<< "$custom_skills"
+    fi
+}
+
+ensure_gitignore_entry() {
+    local gitignore_file=".agents/.gitignore"
+    local backup_entry="../.dot-agents-backup/"
+
+    if [[ "$DRY_RUN" == "true" ]]; then
+        if [[ ! -f "$gitignore_file" ]]; then
+            log_info "  ${GREEN}[CREATE]${NC} $gitignore_file"
+        elif ! grep -qxF "$backup_entry" "$gitignore_file" 2>/dev/null; then
+            log_info "  ${GREEN}[UPDATE]${NC} $gitignore_file (add backup entry)"
+        fi
+        return 0
+    fi
+
+    mkdir -p ".agents"
+
+    if [[ ! -f "$gitignore_file" ]]; then
+        echo "$backup_entry" > "$gitignore_file"
+        log_info "  ${GREEN}[CREATE]${NC} $gitignore_file"
+    elif ! grep -qxF "$backup_entry" "$gitignore_file" 2>/dev/null; then
+        echo "$backup_entry" >> "$gitignore_file"
+        log_info "  ${GREEN}[UPDATE]${NC} $gitignore_file (add backup entry)"
+    fi
+}
+
 install_file() {
     local src="$1"
     local dest="$2"
@@ -466,14 +569,15 @@ main() {
     TMP_DIR="$(mktemp -d)"
     trap cleanup EXIT
 
-    # Auto-enable force mode on sync (when already installed) unless diff or write-conflicts is set
-    if [[ -d ".agents" ]] && [[ "$DIFF_ONLY" != "true" ]] && [[ "$WRITE_CONFLICTS" != "true" ]] && [[ "$INTERACTIVE" != "true" ]]; then
-        FORCE=true
+    # Detect fresh install vs sync
+    if [[ -d ".agents" ]]; then
+        IS_FRESH_INSTALL=false
+        # Auto-enable force mode on sync unless diff or write-conflicts is set
+        if [[ "$DIFF_ONLY" != "true" ]] && [[ "$WRITE_CONFLICTS" != "true" ]] && [[ "$INTERACTIVE" != "true" ]]; then
+            FORCE=true
+        fi
     fi
 
-    log_info "Installing dot-agents (ref: ${REF})..."
-    log_info ""
-
     if [[ "$DRY_RUN" == "true" ]]; then
         log_info "${YELLOW}DRY RUN - no changes will be made${NC}"
         log_info ""
@@ -492,6 +596,11 @@ main() {
         exit 1
     fi
 
+    local version_string
+    version_string="$(format_version_string "$REF" "$extracted_dir")"
+    log_info "Installing ${version_string}..."
+    log_info ""
+
     # Install AGENTS.md from template (fresh install only)
     local template_src=""
     if [[ -f "${extracted_dir}/AGENTS.template.md" ]]; then
@@ -514,6 +623,9 @@ main() {
         process_directory "${extracted_dir}/.agents" "./.agents"
     fi
 
+    # Ensure .agents/.gitignore includes backup directory
+    ensure_gitignore_entry
+
     # Skip metadata write in diff-only mode
     if [[ "$DIFF_ONLY" != "true" ]]; then
         write_metadata
@@ -531,6 +643,11 @@ main() {
         log_info "Backup location: ${BACKUP_DIR}/"
     fi
 
+    # Report custom skills that were preserved (on sync only)
+    if [[ "$IS_FRESH_INSTALL" != "true" ]]; then
+        report_custom_skills
+    fi
+
     if [[ $conflict_count -gt 0 ]]; then
         log_info ""
         if [[ "$DIFF_ONLY" == "true" ]]; then
@@ -544,6 +661,20 @@ main() {
     if [[ "$DIFF_ONLY" == "true" ]] && [[ $conflict_count -gt 0 ]]; then
         return 1
     fi
+
+    # Show post-install guidance for fresh installs
+    if [[ "$IS_FRESH_INSTALL" == "true" ]] && [[ "$DRY_RUN" != "true" ]]; then
+        log_info ""
+        log_info "${GREEN}Next steps:${NC}"
+        log_info "  1. Run 'adapt' to customize AGENTS.md for your project"
+        log_info "  2. See QUICKSTART.md for workflow guidance"
+    fi
+
+    # Show sync update hint on sync (not fresh install)
+    if [[ "$IS_FRESH_INSTALL" != "true" ]] && [[ "$DRY_RUN" != "true" ]]; then
+        log_info ""
+        log_info "To update again: curl -fsSL https://raw.githubusercontent.com/${REPO_OWNER}/${REPO_NAME}/main/install.sh | bash"
+    fi
 }
 
 _main() {
diff --git a/test/fixtures/sample-archive.tar.gz b/test/fixtures/sample-archive.tar.gz
index fef06c8..1e73744 100644
Binary files a/test/fixtures/sample-archive.tar.gz and b/test/fixtures/sample-archive.tar.gz differ
diff --git a/test/integration/install.bats b/test/integration/install.bats
index e673b3d..2925ed6 100755
--- a/test/integration/install.bats
+++ b/test/integration/install.bats
@@ -283,3 +283,133 @@ teardown() {
     run cat .agents/.dot-agents.json
     assert_output "$original_meta"
 }
+
+# ===== Task 1: .gitignore entry tests =====
+
+@test "fresh install creates .agents/.gitignore with backup entry" {
+    run bash "$INSTALL_SCRIPT" --yes
+    assert_success
+
+    # .gitignore should exist and contain backup entry
+    [ -f ".agents/.gitignore" ]
+    run cat ".agents/.gitignore"
+    assert_output --partial "../.dot-agents-backup/"
+}
+
+@test "sync overwrites .agents/.gitignore and adds backup entry" {
+    # First install
+    bash "$INSTALL_SCRIPT" --yes
+
+    # Modify .gitignore (will be overwritten by force mode, then backup entry added)
+    echo "# Custom entry only" > .agents/.gitignore
+
+    # Re-install (force mode) should overwrite then add backup entry
+    run bash "$INSTALL_SCRIPT" --yes
+    assert_success
+    assert_output --partial "BACKUP"
+    assert_output --partial ".agents/.gitignore"
+
+    # Should contain backup entry (custom content overwritten by upstream)
+    run cat ".agents/.gitignore"
+    assert_output --partial "../.dot-agents-backup/"
+}
+
+# ===== Task 2: Post-install guidance tests =====
+
+@test "fresh install shows next steps guidance" {
+    run bash "$INSTALL_SCRIPT" --yes
+    assert_success
+
+    # Should show next steps
+    assert_output --partial "Next steps:"
+    assert_output --partial "Run 'adapt'"
+    assert_output --partial "QUICKSTART.md"
+}
+
+@test "sync does not show next steps guidance" {
+    # First install
+    bash "$INSTALL_SCRIPT" --yes
+
+    # Re-install (sync)
+    run bash "$INSTALL_SCRIPT" --yes
+    assert_success
+
+    # Should NOT show next steps
+    refute_output --partial "Next steps:"
+    refute_output --partial "Run 'adapt'"
+}
+
+# ===== Task 3: Version string tests =====
+
+@test "install shows version string for tag ref" {
+    run bash "$INSTALL_SCRIPT" --ref v1.2.3 --yes
+    assert_success
+
+    # Should show version format for tags
+    assert_output --partial "Installing dot-agents v1.2.3"
+}
+
+@test "install shows ref format for branch" {
+    run bash "$INSTALL_SCRIPT" --ref main --yes
+    assert_success
+
+    # Should show ref format for branches
+    assert_output --partial "Installing dot-agents (ref: main)"
+}
+
+# ===== Task 4: Sync update hint tests =====
+
+@test "sync shows update command hint" {
+    # First install
+    bash "$INSTALL_SCRIPT" --yes
+
+    # Re-install (sync)
+    run bash "$INSTALL_SCRIPT" --yes
+    assert_success
+
+    # Should show update hint
+    assert_output --partial "To update again:"
+    assert_output --partial "curl"
+}
+
+@test "fresh install does not show update hint" {
+    run bash "$INSTALL_SCRIPT" --yes
+    assert_success
+
+    # Should NOT show update hint on fresh install
+    refute_output --partial "To update again:"
+}
+
+# ===== Task 5: Custom skills preservation tests =====
+
+@test "sync reports custom skills preserved" {
+    # First install
+    bash "$INSTALL_SCRIPT" --yes
+
+    # Create a custom skill
+    mkdir -p .agents/skills/my-custom-skill
+    echo "# My Custom Skill" > .agents/skills/my-custom-skill/SKILL.md
+
+    # Re-install (sync)
+    run bash "$INSTALL_SCRIPT" --yes
+    assert_success
+
+    # Should report custom skill preserved
+    assert_output --partial "Custom skills preserved:"
+    assert_output --partial "my-custom-skill"
+
+    # Custom skill should still exist
+    [ -f ".agents/skills/my-custom-skill/SKILL.md" ]
+}
+
+@test "core skills are not reported as custom" {
+    # First install
+    bash "$INSTALL_SCRIPT" --yes
+
+    # Re-install (sync)
+    run bash "$INSTALL_SCRIPT" --yes
+    assert_success
+
+    # Should NOT report core skills (they're from upstream)
+    refute_output --partial "Custom skills preserved:"
+}