Three years ago, 70 percent of application teams embedded some form of analytics in their applications. Today that number is over 90 percent, according to the 2017 State of Embedded Analytics Report.
This jump indicates more than just a growing popularity of embedded analytics. As more and more software applications embed business intelligence—often for free—it means other applications have to keep up. There’s a big difference between giving your customers basic dashboards and reports (which are essentially the bare minimum by now) versus embedding sophisticated analytics capabilities that can set your application apart from the competition, reduce customer churn, and offer upsell opportunities for your current customers.
I recently wrote a blog for Mind the Product on this topic: Using Embedded Analytics to Drive Revenue. In it, I outlined five considerations for software companies that want to drive revenue with their embedded analytics:
Product managers who are considering whether to embed analytics in their applications, or to enhance the analytics they already offer, need to think carefully about the features that interest their customers. Successful embedded analytics projects are not just appealing depictions of data. They must generate insights and actions.
What features and capabilities will wow customers and differentiate your application from the competition? You can read about all five of them in detail in the blog post, but here they are in brief:
- Consider the Overall User Experience
- Integrate Workflow Features
- Enable Action with Write-Back Capabilities
- Reduce Security Friction Points
- Embed Self-Service Analytics
Even if you add all of these sophisticated analytics features to your embedded BI, it doesn’t mean you can skip the basics: interactive dashboards, reports, and data visualizations. The trick is to layer in these modern capabilities on top of the table stakes offerings. By offering beautiful embedded dashboards and reports along with capabilities such as embedded self-service, integrated security, and workflow and write-back functions, product teams can create a compelling value proposition based on analytics capabilities.
Another tip: Don’t stop at considering what your customers may want. You should also have discussions with your development team to see what features they may need in order to keep up with future user demands. An analytics platform that supports capabilities like extensible elements, a high-performance data store, adaptive security, and a rapid development environment can go a long way toward making your analytic application scalable for current and future needs.
As I summarized for Mind the Product:
In the competitive software world, customers are always ripe for churn. Embedded analytics offers product teams an opportunity to differentiate their applications, win over new customers, and keep their current ones.