What is Product Analytics and Why Does it Matter?
In a world ever more reliant on the internet and eCommerce, more businesses use being online as a means of generating income. But how do you know if your online presence is successful in enticing consumers to part with their money? Are you making sales from being online? This is where product analytics can help. By producing interactions that discover your consumer’s habits, you can better equip yourself to meet their needs online.
What is Product Analytics?
Product analytics allow businesses to assess the performance of the digital experiences they provide using a vigorous set of tools. Such as how consumers interact with a product or service. As the specialists at Woopra product analytics know, you can use this data show the habits of your consumers. Including how they use your app or navigate your website.
Whenever Software as a Service (SaaS) is used as a product or a vehicle to sell goods, anyone that uses it leaves a digital footprint of their actions. This enables you to look at every individual consumer interaction within your business. This can be an extremely useful tool for your business because it charts how your product or service fits in the lives of people. It can also chart their value, their use, and their limitations.
You should consider product analytics a vital component of modern product management. This is because most current SaaS, including apps and websites, are simply unable to produce reports with detail about their user’s digital footprints. The data they produce is not formatted properly and can be inconsistent and thus is often referred to as “unstructured”. This is where product analytics comes in as it can collate all the unstructured data from SaaS into one organized perspective.
Why Do Product Analytics Matter?
When building a product or service, a lot of thought goes into it, but the purpose of it must ultimately be because there is some kind of demand. If there is no demand, then how will you make any profit?
You determine whether there is a demand by conducting research. Perhaps by conducting surveys or interviews, to obtain the data. This data may include potential challenges as well as validation of what the business has done or proposes to do.
When the product or service is being sold, use any data concerning consumer habits against the original purpose of research. This data is known as behavioral data. It provides evidence of how consumers interact with the business’s product or service. This is useful to discover what works, what requires more attention to work, and what needs replacing. This makes data concerning product usage and overall consumer experience vital.
More and more people are working online and delving into the world of eCommerce. To set yourself apart, understand the needs of your consumers. Make their online experience with you a positive one that will encourage them to keep returning to you. Use the information product analytics produces to respond to and predict the ever-changing requirements of your consumers. This will set you apart from your competitors, making you a market force to be reckoned with.