Product Analytics Software Overview
What is Product Analytics Software?
Product analytics software is used to measure and report how people interact with web and software applications, or other products. Use cases include product training and onboarding, customer feedback collection, and learning to understand customer retention and churn to guide product development.
Product analytics software’s monitoring capabilities are greater than heatmap and session recording tools. While they can collect clicks and views and generate reports from these, leading product tools also capture customer sentiment and produce more detailed customer journey information, as well as customer and behavioral segmentation.
Product Analytics Software Features & Capabilities
The following features are common in product analytics software. Many are distinct to this category of software, while some features overlap with related categories such as digital adoption or BI tools.
Automated user interaction data capture
Analyze data in real-time, or using historical data
Individual or group user activity timeline
Behavior based user segmentation
User data based segmentation (e.g. job title, device, geography)
Analytics linking customer behavior to KPIs
Analytics linking customer behavior to churn
Attribution, linking customer source to behavior & retention
Non-linear customer journey analytics
Touchpoint analytics (i.e. learn how touchpoints influence customer outcomes)
Product engagement scoring (alternately customer engagement scoring)
Data history retention
Data export, or data warehouse integration
Retention and churn reporting, churn rate calculation
Graphical layout of product plan or roadmap
Codeless interaction with data and analytics
Data labeling, virtual events (i.e. perform analytics with virtual data, safely)
Customer feedback collection
Customer guidance, similar to that seen in digital adoption tools
Types of Product Analytics Software
Product Analytics tools can be obtained through vendors providing Customer Success and Customer Experience (CX) platforms and suites, like Gainsight or UserIQ, or that provide analytics along with interactive customer guidance and feedback collection (Pendo). For product teams and developers that want a strictly analytic package, there are focused solution (e.g. Heap, Amplitude). Finally, for products in the development phase or for low traffic applications, many leading vendors offer free forever plans (Heap, Woopra, Amplitude), that may also include customer support.