Businesses using product intelligence see stronger growth
One of the side effects of the pandemic has been to accelerate digital transformation efforts, but a lack of good product intelligence means many companies don't have the proper tools in place to understand and act on customer data.
New research from product intelligence platform Amplitude shows that 97 percent of businesses say improving the digital experience for users is a priority, but 71 percent say they don't know exactly where to start when it comes to understanding their users' behavior and 38 percent don't know what to do to improve their digital experience.
Yet businesses using product intelligence solutions are 5.5 times more likely to see over 25 percent revenue growth year on year. Having C-level product leadership also matters as those businesses were 6.5 times more likely to grow by 25 percent or more in the previous year.
"Customers are forming new habits every minute, and when every interaction counts, instinct no longer cuts it," says Spenser Skates, CEO of Amplitude. "Digital is the defining competitive edge and our research shows a clear connection between business performance and a data-driven understanding of the user experience. Companies can no longer see digital as an option -- it's make-or-break for survival."
Among the issues highlighted are that 69 percent of businesses don't know where to start when it comes to retaining customers on digital platforms. In addition 69 percent of teams are waiting a few days to a full week to get responses to simple data questions with 59 percent of organizations saying that if their product teams can't access behavioral data immediately, they move forward based on instinct, rather than evidence.
Teams are being forced to make critical product decisions based on best guesses with 77 percent of product teams relying on best practice and instinct rather than product intelligence solutions and behavioral data. Only 20 percent of product teams say they have access to a behavioral data tool that is easy to use.
The full report is available from the Amplitude site.