Adoption Metrics

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Part
01

Adoption Metrics

This report provides an overview on adoption metrics. Part (A) consists of strategies for improving adoption rates for products. Part (B) provides insights into techniques for measuring adoption rates.

Part (A): This section provides insight into best practices for enabling better adoption of new systems, processes or tools. The word "product" is used as a catchall for these terms.

Identify the Superiority of the Product

  • Initial adoption rates improve when customers are made aware of deficiencies in their current product, according to Graham Ó Maonaigh, Senior Growth Marketing Manager with Intercom.
  • Once the flaws of the old product are identified, the capabilities of the new product can be highlighted.
  • Customers are more prepared to make the change to a new product when their attachment to their current product has been removed.
  • Some customers are more willing to part with their old product when they have the perception that "everyone else" is switching or has already switched.
  • Guru used this practice on its homepage to illustrate how tasks and queries were more difficult to manage before it was adopted by the user.

Increase the Value of the Product

  • Customers who are made aware of the added value of their product think more highly of it, even if the added value is perception only.
  • An example of adding the perception of value is Amazon Prime, which touts itself as having free shipping but also requires an annual membership.
  • The "aha" moment comes when the customer feels comfortable moving away from their old product and simultaneously recognizes the value they are receiving from the new product.
  • An example of an "aha" moment comes from using the group messaging feature on WhatsApp. This experience helps users see the inferiority of their former product (text SMS) and the value of the new product's potential. Making "aha" moments reachable early in the interaction improves user adoption.
  • Customers value familiarity. Software or products that have familiar transition animations, navigation systems, and progress bars are more readily adopted.
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Part (B): This section provides insights around the topic of adopting new systems, processes and tools.

Insights on Measuring Product Adoption

  • Adoption rates can be monitored by measuring product access. This can be done by measuring the number of daily product logins against the number of licenses purchased, according to Business 2 Community.
  • Another method of measuring adoption is calculating the average time spent with the product. This can be accomplished by dividing the time spent logged in to the product by the number of logins over any desired timeframe.
  • Alternatively, the adoption rates of individual features can be measured by dividing the number of times a feature is accessed by the number of logins over any given timeframe.
  • A fourth metric for measuring adoption rates is calculating the "time-to-first", meaning how long it takes users to find a key action or function after they've logged in.
  • Calculating the percentage of users that access a key action or function at any point during their experience with the app is another way to assess current and future adoption rates.
  • Usage levels of key features can generate false positives if it is the only metric considered. Instead, satisfaction, proficiency, and usage should all be considered to anticipate future usage.
  • Once metrics have been identified and goals have been set, a simple spreadsheet can provide the necessary tracking for adoption rates and goals.
Sources
Sources

Quotes
  • "With the right marketing and product tactics, you can make all four of those forces work in your favor. You can do that – and increase product adoption as a result – by doing the following:"
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  • "Guru image"
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  • "The mere perception of value is value itself. Amazon’s famous Prime membership program offsets it’s allegedly “free” shipping with an annual membership free, but the positive perception around its shipping policy has attracted over 80 million members."
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  • "One of the simplest to master is a measure of product access. By measuring the number of daily product logins against the number of licenses purchased by a customer, you can accurately determine how often they are using the product."
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  • "There are 3 metrics to calculate product adoption rates, therefore help you measure the success of a new product."
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  • "Usage numbers are tracked internally, and will include metrics like number of users, usage times, login frequency, which features they use and how often, and so on. Usage is a great metric to keep an eye on, but be careful of the false positive element. Sometimes, customers will use the product heavily right up to the time they leave, so keeping an eye on your customer is critical, even if usage levels are good."
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  • "Like with most analytics strategies, you need to have a solid foundation and structured process. This is where a tracking plan comes in handy. A simple spreadsheet should do the job of gathering in one place all available information about events and actions performed within your product."