Methods to unlock hidden potential for your startup through analytics
Today I wanted to talk about how user-behavior metrics, such as mixpanel, can really help augment your goals for a startup even if it’s already very popular.
Let’s say you’re already generating tons of traffic, you’re converting users well, and you’re seeing your week over week values increase by a single-digit percent. That’s awesome but it may not be good enough, perhaps you have untapped potential.
So, to give you a real example, one of our clients was seeing very good engagement and a nice double digit number with their retention noted by mixpanel’s cohort analysis. Cohort Analysis, very simply, can tell you what percentage of your users come back the 1,2,3, etc days after their first visit. We offer this to all our clients on mixpanel and consider it to be very valuable for any startup. Back to the point, so it seems our client was doing pretty well, they were seeing some marginal success and they were plugging away at other things but what I noticed is that their cohorts were showing a significant drop from day 2 to day 3, meaning we could reasonably assume that most of their users might be getting bored after the second day.
I think this is a reasonble case and in another example one of my own personal sites I use mixpanel on was showing that more users showed up 2-3 days later than 1 day later. I think quirks like these really help you understand what’s going on so that you can refine and tune your application/website. I was speaking to some friends and I realized, in some cases, user-behavior metrics can start to come up with the next feature ideas for you. Certainly something I noticed while working at Slide, many decisions we ended up making were mostly a cause of what metrics told us and I don’t think Slide is the only business that thinks this way.
In the case of my client, I came up with an idea where they could edit their user flows so that on the second day of a user viewing their application, they literally push a call to action in front of them as a means to re-engage the user possibly with fresh content that will keep them coming back another two days. Perhaps an overlay to view something else. In the case of my own website, I realized I should probably change the index landing page to something different–tailored to a re-visiting person who has already seen the initial front-page and understands my website’s value.
These are small examples of how you can unlock hidden potential as you continue to iterate and fine tune your application, sometimes it could be the difference of seeing 10% conversions to 30-40%. I think a lot people don’t see the value until they plug in and investigate the results and trends themselves.You don’t have to take my word for it, check out the article regarding the $300 milion button. We want to help you find out things like this earlier rather than later.
Understanding what your users are doing is really key if you want to beat your competition especially. Work smarter, not harder.