A Complete Guide to Product Adoption in 2022
Do you know why there are so many options for every product and why our natural impulse is to choose the one that appears to be less of a hassle? This is mainly due to the fact that the User Experience of these products does not impress us much. And for users to have their "Aha" moment with the product, an appealing UX is a must.
As rightly said by Des Traynor, the Co-founder of Intercom, “There’s a big difference between making a simple product & making a product simple.”
So how does one create a product that users actually use and love in their day-to-day lives?
That's where an effective product adoption strategy comes into play. For example, if we look at Apple, the company draws out excellent, attention-grabbing product adoption stages to woo their target audience. There's a reason why every iPhone user enthusiastically waits for the next update or the latest release. Apple knows how to strike user attention, grab their interest, and provide them with valuable products.
But, how can you implement a stellar product adoption strategy to turn your product window shoppers into loyal customers?
Understanding Product Adoption and Its Lifecycle
Product adoption is the process by which end-users adopt or come to use a product. The user journey from initial interest to the active and intentional product use is referred to as the product adoption stages.
When a user moves from trialing a product to investing in it as a solution, it is said to have been "adopted." Sometimes, this adoption is because of marketing blitzes that push people to try something new, but often it's something about the product that draws users in.
So why is it so essential to SaaS startups?
SaaS startups, in particular, are well-versed with the concept of effective product adoption metrics. As they continue to suffer from low retention rates, and customers who do not return after signing up, they are continually seeking a strategy to keep their users for a long time to boost customer lifetime value.
Any effort to improve the product adoption process can boost trial users' average lifetime value and conversion rate to subscribers and free users to paying customers. But how do we analyze and evaluate how good our product adoption framework is?
How do you measure Product Adoption?
Product adoption metrics allow you to identify the behaviors that best predict long-term value, create and test product improvements that encourage those behaviors, and evaluate the effectiveness of each change to boost your product adoption rates.
These metrics analyze user behavior in your product and provide information that will help you develop a successful product adoption process.
1. Time to Value
The time it takes for a consumer to attain the "Aha!" moment and begin experiencing value from your product is known as time-to-value. In other words, the time they start considering your product as their holy grail or go-to solution and decide to stick with your product.
The faster you can reduce time-to-value, the more likely your product will be adopted. This enhances and streamlines your onboarding process and directs users to their "Aha!" moment with your product.
2. Adoption Rate
One of the most important product adoption metrics, the adoption rate, is the ratio of new users to total users, whether for a product or a feature.
For instance, if you added 9 new members this month and had 100 total users: Your adoption rate is 9/100 times 100, which equals 9%. It can be calculated on a daily, weekly, monthly, or yearly basis.
3. Time to First Key Action
The average time it takes for a new customer to learn how to use an existing product or for an existing customer to use a new feature for the first time.
4. Customer Lifetime Value
Customer lifetime value is exactly what it sounds like: the value (in terms of money) that a customer delivers throughout their time of association.
In other words, it's the average amount they'll end up paying you. This is, without a doubt, essential. A higher client lifetime value indicates that your customers stay with you longer and give you more money as a result.
5. Feature Adoption Rate
The feature adoption rate is exactly what it sounds like: the percentage of consumers who use your product's features, significantly accelerating your product adoption rates.
Since so much of the value of your product is hidden in its features, this measure is a good indicator of how much value users are obtaining or leaving untapped. It's also worth remembering that moving customers from "Basic" to "Pro" is all about increasing feature usage.
Even if your product's features aren't extremely obscure, users may have trouble recognizing them. This is where incorporating some feature discovery might help a lot.
What makes the perfect Product Adoption Strategy?
If I had to describe the perfect Product Adoption Strategy in one line, I’d say an adoption plan that excites, intrigues, and impresses your audience to try their hands on your product upon its release is the PERFECT product adoption framework plan.
So how can you achieve it?
Simple. By ensuring that you answer all their queries about your product.
1. Purpose: Answer their why
Why should people choose your product over the dozens of alternatives available in the market? What value does your product provide? What distinguishes it from the rest? How can it change your user’s life or solve their issues? If your users see the value of your product, they are more likely to try you out.
2. Use: Is it worth the investment?
Is your product more cost-effective than that of your competitor? Or, is it even worth the price you are quoting? How does it simplify their work? How does it boost productivity and drive improved results? If you prove your value, your users will always stick with you.
3. Compatibility: Is it a perfect fit for me?
Is your product in tune with your target market? Does it suit their business or personal objectives? Your product should be appropriate for your target market's lifestyle and bigger goals.
4. Ease: Analyzing the product complexity
Is your product simple and convenient to use? It should not be difficult for users to crack your product. Ensure a hassle-free and easy experience for your customers.
5. Trial: Should I really purchase the premium version?
How long will users be able to try your product? What additional value does the premium version provide? You could extend your free trial period to make them hooked to your product, which could later translate to higher conversions.
6. Market Buzz: Does your audience even know about your product?
Do you think your target audience is aware of you? Are you present where your audience is? Creating a market hubbub with your product excites the audience and keeps them interested in your product.
Top 5 Ways to Improve Your Product Adoption Strategy Like Never Before
If you've been paying close attention, you've probably already identified some of your product's adoption gaps. Consistency, testing, and openness to setbacks are all required for growth hacking your product adoption process. Here are some tried-and-true tactics for increasing adoption and helping every one of your users—from new signups to seasoned veterans—get the most out of your product.
Tip #1: Make your product interactive and simple
Often, products are designed with a User Experience that incorporates and answers all of your customer questions regarding the product. However, they might become perplexed as they build the product adoption lifecycle. Interactive and simple-to-use tooltips and guided walkthroughs are a terrific way to assist your users.
Gyde.ai offers interactive tooltips and guided walkthroughs, designed primarily for complex and sophisticated products, allowing users to interact actively with the product's multiple touchpoints. It assists customers in gaining a deeper understanding of the product's features, characteristics, and other aspects and prompts them to take action.
Tip #2: Have a solid product support team
No matter how well you fix your product, there will always be flaws and pain points for your users. So how can you avoid friction in the product adoption curve?
By being available to users whenever they have an unsatisfactory experience or require support. With a solid product support team, you can help your customers navigate through the product flaws and have a high-quality product experience.
Make sure that reaching out to product support is simple and easy to find on your user interface for a smooth customer experience.
Tip #3: Implement in-app marketing tactics
Your users may or may not open an email or notice a social media update. But what about the product they use every day? In-app messaging has a lot of visibility and may be deployed strategically and at the right moment to promote your upcoming releases or latest product updates.
Notifications, changelogs, tooltips, interactive walkthroughs, modals, and signup screen advertising are all examples of in-app marketing. These interactive channels enhance user onboarding, feature adoption, user feedback, and product announcements when utilized as a part of a great in-app marketing strategy and greatly improve your product adoption lifecycle.
Tip #4: Create product advocates and continue to improve
Creating product advocates is another strategy to increase growth. These supporters could come from a variety of niches and be able to help you spread the word about your product and its possibilities.
They can also be turned into champions that assist other users with their problems with the product. Advocates, in general, will have in-depth knowledge of the product and will be able to answer questions from their circle as well as on community platforms such as forums, social media, and so on, assisting you in spreading the word about your product.
Tip #5: New feature releases must come with a bang!
Drop those emails, run those ads and campaign like there’s no tomorrow. Your product’s new features must be released with a big bang. Interact, educate, drive curiosity and build a solid market presence with compelling marketing tactics to draw your target audience’s attention.
Create a personal relationship with your audience, show them that you care about them, and listen to what they want. These personal interactions are an excellent way to understand your users’ requirements and come up with solutions that they just cannot say no to.
Is it really worth giving a shot?
So, is an elaborate and well-crafted product adoption strategy really worth it in 2022? Well, you can decide for yourself.
Here are the top 3 benefits you can enjoy with an efficient product adoption framework and strategy in place:
1. Quicker, hassle-free onboarding
Gone are the days when customer onboarding was a hassle. With an effective product adoption strategy, you can assist your customers in quicker and seamless product onboarding. Still haven’t found your perfect onboarding solution? Look no further. Gyde.ai is your one-stop solution for all your smooth application experience & onboarding needs.
2. Fewer customer tickets & minimized support costs
You can save big bucks on support and complaint resolution with streamlined product adoption stages. This can help you break free from long ticket queues and focus on more value-oriented aspects of your business.
3. Improved customer satisfaction & more referrals
A happy customer means a successful business. When your customers are hooked to your product and revisit you from time to time, you know you're doing something right. This also translates to more referrals, recommendations, and sales. When people believe in your product, they stay committed to you in the long run.
Calling the Final Product Adoption Shots
A successful product adoption strategy involves a high level of consumer focus––a lot of listening and adapting. Getting a grip on the product adoption curve can have a significant impact on your business.
It's not magic to turn window shoppers into devoted, paying clients, and there's a lot you can do to accelerate adoption. Knowing when, why, and how your customers embrace your product might change your perspective on product life cycles. You'll be better prepared to adjust to any unforeseen changes if you plan ahead for each point of the curve.
Product adoption is the ultimate test of a digital product. Users will continue with a product if they believe it is worth their money and time. Sticky products result in improved customer retention, reduced acquisition costs, and a higher client lifetime value—all of which lead to profit and growth.
Teams in all sectors may benefit from this information by implementing a product adoption lifecycle and strategy that aligns users' goals with the company's goals and ensures the product's long-term success.
With the current product development trends, it will not be wrong to assume that 2022 is all set to witness a massive explosion in stunning product releases along with creative, persuasive, and unforgettable product adoption strategies.
If you are looking for a seamless product adoption solution to quickly onboard customers and skyrocket your business, Gyde.ai is the way to go. Drop us a line, and we’ll help take your product to new heights.
Frequently Asked Questions
1. What does Product Adoption mean?
Product adoption is one of the most important business goals. If your product is adopted, you build a customer base and a strong market presence. Product adoption marks the shift from being unknown and foreign to becoming used, welcomed and loved by the users.
2. What is the product adoption life cycle?
Product Adoption Lifecycle is the sequence in which users consume/adopt your product. It begins when you launch and ends when you stop. Understanding this cycle might help you predict how people will use the product. This aids in the development of an appropriate product roadmap and leads to product success.
3. What are the five stages of the product adoption process?
The 5 stages of the product adoption process are product awareness, product interest, product evaluation, product trial, and product adoption. Each of these stages aims to create audience awareness, establish a strong market presence, and provide top value to the target customers.
4. Why is product adoption important?
Product adoption is essential because users who completely accept your product are more likely to continue with it. Adoption leads to increased retention and lower churn, resulting in more constant and predictable revenue over time. An effective product adoption strategy ensures that your business keeps running by continually providing top-notch value and resolving customer issues.