The Importance of Data Optimization for a Successful Product-led Growth Strategy

It is common knowledge among various digital players, that acquiring customers/users is not an easy thing. Not yet taking care customer to come back and continue to use your business products.

Currently, there is a trend of implementing product-led growth strategy (PLG). strategy that booming starting in 2020, many parties began to notice when they revealed that the key to growth for the business actually started through the product itself which must provide a pleasant experience and overcome pain points user.

So, how does this strategy actually work?

Data is the key to strategy success product-led growth

Good business decisions, including the consideration of releasing new product features or improving existing products, are certainly not based on guesswork, previous experience or personal assumptions.

Strategy success product-led growth based on how the company is able to monitor and analyze date users, from behavior to engagement each customer. From here, in the future the company can certainly evaluate service products so that later they are able to offer services product experience the good one.

The above data can be obtained by the company directly by doing the following: tracking pada website or your business application. Starting from identifying who often and rarely visits and what they do. Evaluating this data helps determine which demographic groups are and are not interested in feature A, for example, or which channels are found to be more widely used and generate revenue.

The large volume of data obtained every day makes it difficult to choose and analyze which data is a priority. Processing data also takes time. In fact, data is needed fast every day to see business growth.

Amplitude is here as a pioneer digital optimization system

With the development of increasingly advanced technology, nowadays there are many digital optimization platform which offers product analysis data for digital companies in a practical and comprehensive manner. One example is Amplitude. The company, which has pocketed a total funding of US$186 million, offers various kinds of support for the convenience of obtaining and analyzing data for the success of its strategy. product-led growth.

Call it by providing one dashboards which already combines all data from various channels, data for A/B testing and experiment with the results of data analysis real-time, make and test predictions to get the best recommendations, and provide customer behavior insights.

Amplitude also helps provide data on which products can carry customer retention, this is very important because customer retention can add ltimetime value (LTV) from customer able to cover the initial costs for the marketing.

Julio Bermudez, Amplitude vice president for Asia Pacific and Latin America, said, “Companies that are growing fast in the digital product services sector are no longer competing in the global marketplace. marketing which one is better, but competing with product experience" he explained.

He added that the existence of a digital optimization system helps build better products so that they can offer experience so that it can become a competitive advantage.

“If you want to make loyal users, giving discounts or coupons is not enough, but build it up experience better," he added.

In Indonesia alone, HappyFresh and Traveloka have used the services provided by Amplitude.

Digital product development and strategy implementation product-led growth (PLG)

Coupled with the emergence of the pandemic, consumers are now spending more time online. Overall, the digital industry has seen a steady increase in activity since the pandemic. Amplitude product report 2021 stated, daily active users (DAUs) of digital products increased by 54% from 2020 to 2021.

Still from the same report, Amplitude also revealed digital products that will soar and become a "hot trend" globally. Among these are recruiter platforms, web browser extensions for languages ​​and platform support collaboration working remotely.

In Asia-Pacific itself, Amplitude lists 5 Next Hottest Products, one of which comes from Indonesia, namely platform crypto, Pintu, which in the span of 13 months experienced a growth of 1236% monthly active users (MAUs). Don't miss it too recruiter platform from Singapore who is popular in his homeland, Glints. All these data are taken from the growth matrix year-over-year on monthly active users.

From the given data Amplitude From this, it can be seen that businesses that tend to succeed in market competition are those that adopt a strategy that prioritizes product growth. Understanding consumer behavior trends in the digital age is only half the way. The next step is to optimize the digital system into your business strategy.

Disclosure: This article is powered by Amplitude