Of course, all of this starts with a great product. So how can you build a product that people love? The hero in this story is product analysis, which provides insights that inform and back your product decisions, enabling you to lead a product team with confidence. These in-product reports reveal how well your time and energy investments are paying off. When you do product analysis right, it can help you build a world-class product experience for your customers.
If you aspire to be a data-driven product manager or leader, read on. Here are the five essential product-analysis approaches that you can use for better decision-making and roadmapping.
1. Adoption Analysis
Whether you want to examine new launches or existing features, adoption analysis shows how each feature of your product is paying off in revenues. Since higher adoption rates lead to higher retention, it’s important to examine how well your adoption efforts are paying off. Nearly 60% of SaaS leaders say customer renewals are a high priority, so understanding adoption is essential.
Adoption analysis shows you which users are embracing and adopting your product’s features. What’s more, it reveals which features they’re adopting and which they’re not. Adoption analysis also makes it easy to see what customer segments or user groups are not adopting your product—and you can use that information to create a plan to drive higher adoption.
2. Retention Analysis
Retention is critical because recurring revenue models rely on long-term customers for a product to survive and thrive in the marketplace. Many users walk away from a product after using it just once. For example, users abandon one in four mobile apps after just one use. Retention analysis can change that.
With retention analysis, you can see which features are reducing churn and increasing long-term growth. For example, by setting up a baseline and monitoring your product’s features over time, it’s easy to identify how your product—and the strategic moves you make—create long-term, durable growth. You can also map out expected time-to-value (TTV). From there, you’ll have the foundation to back and measure decisions that accelerate adoption, usage, and conversions. Finally, you can base all of your retention-roadmap decisions on data. That means you’ll see how features or enhancements are turning into long-term, product-led growth. Plus, you can use that proof to secure even more support from stakeholders.