Community Tip: Formulas with business impact - Mixpanel
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Community Tip: Formulas with business impact

This community tip will demonstrate the simple yet powerful insights and calculations you can perform with Mixpanel’s Formulas report.

The Formulas report performs time-series analysis across events and their properties. This not only eliminates the need for you to export your data into Excel, but also allows you to share data across your company to examine instantly with Bookmarks.

Let’s take a look at some examples of how Formulas can help you answer the questions that will drive key business decisions:

Which games will encourage users to make in-app purchases?

The question we’re trying to answer here is the efficacy of games to encourage users to make an in-app purchase. In the graph below, the green line shows the total number of games played against the total number of in-app purchases. It is very well possible that certain types of games encourage your users to make in-app purchases with fewer games played than others.

Mobile Gaming – Which games will encourage users to make in-app purchases

With Formulas, you can easily create another ratio that specifies the type of games played as a property of the event ‘Game Played’, and divide those games against the total number of in-app purchases. By bookmarking it and comparing it against the aggregate ratio, you can see below that Game Type A (represented by the blue line) is more encouraging of users to make in-app purchases! With this in mind, you can alter the games users play from the beginning to take on characteristics similar to that of Game Type A to drive in-app purchases.

Mobile Gaming Second Illustration

Which ad partnerships drive users to accomplish desired business goals?

Formulas are also great for determining at a glance the overall success or failure of an entire project over time. Autodesk, a world leader in 3D design software, used Formulas to track and compare the impact native ad partnerships had on one of their product verticals, Pixlr. They determined that the ultimate key performance indicator (KPI) would be a ratio comparing the final step, ‘Saving/Sharing of an Image’, against the first step, ‘Home Screen Impressions’, of a conversion funnel. By comparing the KPIs of different ad campaigns over time, they were able to not only gauge each campaign’s effectiveness at organically converting users, but also derive insights on the design of ad campaigns moving forward.

For more on how Autodesk leveraged Mixpanel to make data driven decisions, check out our office hours with them below!

Two-sided market places – Does Supply meet Demand?

Formulas can also help you monitor crucial metrics that allow you to act swiftly in response to unpredictable market forces.

As the host of a two-sided market place, it is important to be aware of the shifting behavior of your users. By dividing specific categories of ‘Search’ results against the total number of search events, you can see the shift in the types of products prospective buyers are interested in over time. In the graph below, the ‘Search’ events with search results of ‘Housewares’ and ‘Furniture’ as properties are added together, and divided against all ‘Search’ events to give us a sense of user interest in Home Furnishing items.

Two-sided Marketplace

What if we wanted to go a step further and see if our buyers are ultimately being sold the products that they really wanted? If you tracked an ‘Item Posted’ event with the property ‘Item Type’, which represented the types of products your suppliers were posting on the site, you could then divide a ‘Purchased’ event (with the same property ‘Item Type’) by the ‘Item Posted’ event to see whether or not the products supplied and demanded match. Say for example if the ratio is below 1 for the ‘Item Type’ : ‘Accessories’, you can then investigate further whether or not the accessories posted on your site do not fit the preferences of your buyers, and if so, act to acquire more accessory suppliers that do fit the demand!

Formulas is a simple-to-use yet effective tool that allows you to monitor the relationship between crucial metrics in your app.

If you have any questions on how Formulas can best serve you, please don’t hesitate to write into support@mixpanel.com to speak with someone smart, quickly.

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