What is product intelligence?
Understanding what product intelligence is and how it works is key to improving your product development processes. This enables you to make better products and improve customer satisfaction for overall success.
Read on to discover the answer to the question, “What is product intelligence, and how does it impact business success?”
How does product intelligence work?
Product intelligence focuses on using customer data to inform product decisions. It helps businesses effectively tailor product development processes to their target audience. This results in enhanced product performance and customer satisfaction.
Here are some of the key product intelligence measures.
Research & data collection
The product intelligence process relies on in-depth research and product analytics tools. These are used to collect product intelligence data, including customer feedback and key product metrics.
Product intelligence data analysis
Consumer and product data analysis is conducted to examine both how and why customers interact with and experience certain products. This facilitates a better understanding of consumers for enhanced business intelligence.
Informed decisions
Comprehensive insights about customer behaviour enable you to effectively make informed product decisions. These decisions relate to multiple product development phases, including product design, development and marketing.
Benefits of product intelligence
Product intelligence solutions offer numerous benefits for any business. These revolve around product research and development teams and involve a shift towards consumer-centric product development.
Here is an overview of how product intelligence and business success go hand-in-hand.
Gaining valuable consumer insights
Product intelligence involves gathering robust quantitative and qualitative data about your consumers. This is achieved via product analytics, focus groups, customer interviews and more.
Robust customer data provides valuable insights into your consumers’ wants, needs and expectations. This enables you to gain a deeper and more comprehensive understanding of your target consumers.
Tracking product development metrics
Product intelligence tools are also ideal for measuring product development metrics. Sometimes called product key performance indicators (KPIs), these metrics can help monitor product performance and quality.
For example, churn rates provide insight into both customer engagement and customer retention. This product usage data is useful for identifying shortcomings in your product development process that may otherwise be overlooked.
Data-driven product development
Reliable user behaviour and product analytics data provide valuable insights into how users interact with and perceive your product. Product managers can use this knowledge to guide an innovative product development strategy.
This process helps create targeted and intuitive products that better align with consumers’ needs and deliver a more satisfactory customer journey.
Increased business & customer success
Enhanced product development can help improve customer satisfaction and customer experience. This, in turn, will result in a higher customer lifetime value (the total profit earned from a single customer) and an increased business ROI (return on investment) for overall success.
Features of A Good Product Intelligence Tool
The effectiveness of your product intelligence solutions depends upon the tools you use to develop them. When choosing a product intelligence tool for your business, these are a few things you should consider.
Data reliability
To make effective data-driven decisions about your product development process, you need to have robust insights from reliable customer data platforms. Several factors influence the reliability of your data, including your sample groups and research methodologies.
Representative sample groups
It is essential to have a sample group that is representative of your target audience. Without this, the consumer intelligence data you collect will not provide valuable insights for your product development process.
When you sign up with Vypr, you gain access to our proprietary Vypr Community, which consists of over 75,000 vetted members. To ensure data reliability, we conduct rigorous consumer profiling and validation testing and remove users with low integrity scores. This enables you to effectively inform your product development with insight you know you can trust.
Comprehensive research methodologies
Customer research and product development are closely linked. Comprehensive research methodologies are essential for reliable product data and enable product designers and developers to make informed decisions. The most reliable consumer insight can only be achieved through a combination of qualitative and quantitative research methods.
Modern product intelligence innovation has also led to an increased focus on consumer behaviour data. By gathering behavioural data, businesses can better understand the reasons behind consumers’ actions.
At Vypr, our qualitative and quantitative research is backed by behavioural science. Our intelligence platform tests rapid, System 1 responses to gain a more accurate representation of buying behaviour.
Agile product development
Agile innovation is a way to accommodate the ever-evolving nature of market and consumer trends. An agile approach, such as the one facilitated by Vypr, involves testing your product throughout the entire development process.
This enables you to consistently validate your decision-making at all stages of product development. An agile methodology also increases overall efficiency, helping to facilitate a lean product development life cycle that avoids costly changes during later stages.
Make better decisions with Vypr’s product intelligence solution
Vypr is the world’s leading product intelligence platform that enables businesses to understand changing consumer behaviour through fast, cost-effective consumer insight.
You no longer have to wonder, “What is product intelligence?” Sign up with Vypr to start reaping the benefits of robust product intelligence data backed by behavioural science.
Better products start with Vypr. Try free now.