The universal objective of product analytics is to continuously track your customers from the moment they discover your product and understand how to optimize the product to have a high conversion to revenue and referral.
Of course, user testing and in-depth qualitative customer interviews are great tools, but they take time (a lot of time!) and resources, and results can be subjective or biased. Product analytics offers unbiased, quantitative research that can help with understanding product usage, progress made so far and, most importantly, uncovering insights for future optimization and growth.
Product analytics can feed information into sales management tools, which sales teams can then use to decide who to talk to and how to talk to them. They’ll already know who is using the product, how they’re using it, and who is ready for an upgrade.
Similarly, your customer success team can greatly benefit from a product-led approach. With the insights gathered from your data as to how customers are interacting with your product, they can proactively identify where your customer may run into problems, so that customers don’t even need to reach out to support for help. You’ll already be one step ahead of them.
|Who’s using it||Product Managers, Marketers, Growth people||Marketers|
|Why are they using it||To understand how customers are interacting with their product and create better experiences for their customers.||To optimize traffic sources / channels and improve ad spending and ROI.|
|Who is being tracked||
Users and accounts: Using a unique identifier to track a user’s behavior across sessions and devices.
Anonymous cookies: De-identified or anonymous session data.
|What is being tracked||Product usage, both front-end and back-end.||Website navigation, front-end only.|
|Examples of tools||
Mixpanel, Amplitude, InnerTrends.
Adobe Analytics, Google Analytics.
Once you’ve defined your customer journey and the most important metrics you should look at, the next logical step is to create a data tracking plan.
💡 A tracking plan can be a collaborative document or an application (like the one we built inside InnerTrends) where you define how you track data in an organization for analytics purposes or any data-led initiatives.
At a high level, the tracking plan contains information on:
Events that pertain to any of the customer journey pillars – acquisition, activation, etc. – what users or accounts perform at each stage;
Event properties that give you the context of the events being tracked.
User and account identifier elements, such as ids, email addresses, etc.
User or account properties that enable segmentation.
The events and properties tracked are clearly defined and documented so that the whole team knows what’s being tracked and how.
The tracking plan becomes tracking documentation for the dev teams, making it very easy for them to deliver an accurate setup.
Try Mixpanel if:
Avoid Mixpanel if:
Try Amplitude if:
Avoid Amplitude if:
Try InnerTrends if:
Avoid InnerTrends if:
💡 Tip: Have a solid data tracking plan in place.