Behavioural Analytics

The practise of gathering and studying data from user actions on a website, app, or other digital product is known as behavioural analytics.In order to acquire insights, it focuses on monitoring, classifying, analysing, and measuring user actions across time. Basically, it’s about understanding what consumers do and how they react. Companies can utilise this data to analyse how people interacted with the digital experience and decide how to improve digital products in coming days. 

Some of the User Behaviour examples for Behavioural Analytics

·        Create a profile / account

·        filling & submitting a form

·        Playing music

·        Playing music

·        Subscribe membership etc.

The goal of behavioural analytics is to provide answers to issues like:

·        Customer shopping frequency 

·        Count of touchpoints before they purchase 

·        Where do friction spots occur during the purchasing process

·        Which products and features they prefer

·        How do people react to your customer service, sales, and marketing initiatives

With the knowledge of consumer behaviour when using the product or digital assets, it is possible to develop the most effective strategies for:

·        Enhancing acquisition

·        Increasing conversions

·        Growing engagement

·        Maximising retention

The purpose of behavioural analytics is to provide necessary knowledge and tools to decide the robust strategies that will benefit the business. If the key factors influencing the consumers at every point of the customer journey is not known, improving high-value metrics like retention, conversion, and engagement will be a daunting task. It is not a long-term solution to rely solely on questionnaires, reviews, surveys, and customer feedback. Consumers’ actions speak volumes more than their words do, and delivering crucial metrics like customer lifetime value (CLV) requires an understanding of how they are corelated with the digital experience. Understanding how processes, machinery, and even macroeconomic trends interact and dynamically change can help us better identify operational risks and possibilities. Companies obtain a more nuanced, thorough, and precise picture of where markets are headed when combined with extensive consumer behaviour analytics. Their ability to make proactive investments and take advantage of the finest possibilities is greatly increased by this.

Different types of Behavioural Analysis:

·        A/B Testing: A/B testing will demonstrate clearly which of the several solutions you provide is more effective for clients. This method is ideal, for instance, for evaluating the efficacy of landing pages, PPC advertisements, email sequences, and notices of new features.

·        Funnel Analysis: Every step a consumer makes on the way to conversion offers the chance for growth or decline. Each stage of the client journey can be analysed using funnel analysis, which enables to address failure factors and/or validate successful practices.

·        Segmentation: By comparing distinct user groups and their patterns of behaviour over time, segmentation enables to spot trends and patterns. The most useful features of the product can be found if thecustomers can be segmented according to their activities / purchase pattern.

·        Heatmaps:The website’s hot spots are all the locations where visitors frequently click. On the other side, cold zones signify places with little or no activity. With this information, the company may pinpoint the page parts that the visitors use most frequently and concentrate on improving them for better outcomes.

·        Session Recordings:To observe user activity in the product, employ session recording technologies. It’s also an excellent technique to detect and eliminate software bugs for better user experience.

Some real-time application of Behavioural Analytics in different domains:

·        E-commerce firms specifically test scenarios and monitor every click to learn why customers leave “the funnel” before finishing the checkout process or abandon their shopping carts.

·        Retailers closely monitor consumer movements across channels, including when, where, how often, and for what types of transactions customers utilise different channels, as well as how they react to email campaigns, smartphone coupons, and even television advertisements.

·        Financial services companies use behavioural analysis to spot suspicious and abnormal behaviour patterns to improve their anti-fraud capabilities. They also use demographic information and traffic patterns to link to client profiles to choose the best locations for operational branches.

Conclusion: As the consumers will know they can rely on the product and services, continuous efforts to improve the product and user experience will have a significant impact on creating and maintaining a community of loyal customers.

Steve Jobs said: ‘’Get closer than ever to your customer. So close that you tell them what they need well before they realize it themselves”