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A Product Manager’s Guide to In-App Messaging

Building Better Applications with Software Analytics

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Leveraging Anonymous Usage Data to Deliver Personal In-App Messages

Engage, Convert & Delight: Software vendors are under constant pressure to deliver more revenue by building better products, faster. The advent of software usage analytics and dynamic in-app messaging is giving vendors insight into their users’ needs and the ability to create contextually relevant engagement throughout the customer lifecycle. Now they are well-positioned to continually improve their products and customer satisfaction.

Usage analytics collects anonymous behavioral and environmental data on software usage, delivering deep insights that help vendors know how the product is being used, which features are adopted, and when and how often it is used. It provides critical data on platform, feature usage, and countless other parameters. Usage analytics provides the context that drives relevant messaging and engagement.

Dynamic in-app messaging is a versatile communications channel that allows vendors to deploy messaging campaigns to multiple, hyper-targeted user segments, while they are engaged with the application. Usage analytics-driven in-app messaging allows vendors to deliver contextually relevant messages to their users and trigger messages based on the behavioral and environmental data gathered. It helps them achieve engagement-driven business goals more quickly by:

  • Providing users guidance during trial evaluation
  • Prompting product and feature adoption
  • Streamlining and enhancing the customer onboarding process
  • Timing upgrade and cross-sell offers for optimal conversion
  • Gathering salient feedback during key use experiences


These actions ultimately help software vendors get to market faster, with better products, and generate greater revenue through a deeper understanding of their users.

Insight

Context Is King: Contextually relevant means delivering the right message to the right user at the right time in the user’s journey while the user is engaged with the application itself.

Change the rules of engagement

How Contextual In-App Messaging Improves Performance

Drive Adoption of Key Features

If you’ve poured development resources into a killer feature, but a user segment hasn’t discovered it or isn’t taking full advantage, you now have the ability to directly influence these users’ behavior. Deploy targeted, contextually relevant messages at the precise time in the workflow that the unused feature would deliver the highest value. These in-the-moment prompts show users the usefulness of your software, building adoption and satisfaction.

In-App Messaging Outperforms Email

  • Increase in click rate: 9.7×
  • Increase in product upgrades: 1.5×
  • Increase in webinar attendance: 4.5×

Increase Conversion Rates

Successful marketing campaigns have the right offer, timing and targeting. Usage analytics enables software vendors to identify (and segment) the profiles of users most likely to convert on an up-sell offer, and then present calls to action to those profiles through in-app messages when they are actually engaged in the application and getting value. You can A/B test different messages and once you determine a winner, set it up to always trigger once users meet that certain criteria. 

This methodology can also be used to cross-sell. If you have a suite of tools and can tell from user behavior that they are regularly completing a specific workflow, you can present a cross-sell offer that educates and leads them to an opportunity to convert.

Retain Customers and Increase Adoption

Knowing where users are dropping off or getting hung up in your application is helpful. But when you’re able to intercept them and influence their behavior with timely reengagement campaigns, you can generate more revenue, more quickly. 

For instance, if a user segment consistently performs a specific workflow, and then doesn’t use those functions again, you can create dynamic messaging based on the context of this interaction. Your message could quantify the value that the workflow provides over the course of a year, encouraging users to explore untapped functionality and derive more benefits from your software.

Benefits across your organization

Empower Teams to Engage Users More Effectively

Data-driven in-app messaging is a flexible tool that can be leveraged across an organization to help meet a variety of business objectives. Different teams can target the right user segments at the right time with specific content.

Product Managers

Better Product Roadmaps & Feature Adoption

 

To gain valuable insight into what matters most to users, product managers can use contextual in-app messaging to conduct targeted surveys or collect feature feedback inline with actively engaged users. This can help find answers to specific workflow questions and product design queries more effectively than other feedback-gathering tactics, since in-app messages are delivered while users are actively engaged with the exact features you want their opinions on. 

 

Product Managers will also find value in reaching out to user segments that have never discovered or used a particular feature to find out why they are not using it. With this insight, you can make sure that users that match this profile are prompted to explore that feature and surface educational messages on how that feature may benefit their work, thus providing more value to users and more product ROI to your company.

Marketing & Sales

Customer Acquisition, Retention, & Loyalty

 

Marketing teams can deploy data-driven in-app messaging during a trial period or freemium use that focuses on high-value functionality, turning prospects into paying customers more quickly. Sales teams can improve customer retention by timing offers with periods of increased key-feature activity, overtly referencing the features used most.

 

In the cases of sunsetting a legacy feature, rebranding or refreshing application design, or even changing the name of features or functionality, a well-timed, contextually relevant message can raise awareness of these changes to the most relevant user segments. Because they’re delivered in the application while your product is front of mind, you have increased engagement compared to other communication channels.

Software Developers

Higher Quality Software Development

 

Usage analytics gives developers unprecedented visibility into how their product is being used, by real users, in real time. By pairing in-app feedback surveys with usage analytics, development teams have a proven method to gain clarity on if a feature they’d like to sunset is considered a “must-have” by devoted users. Teams can get quick, inline input during beta testing from the users most qualified to provide it without having to rely on an external bug tracking system.

 

In the case of new builds to tackle bug fixes, support can proactively reach out to only those users who are directly affected and point them to the remedy. This can save significant development time by pushing users to the latest version and limiting the need to support older code bases, as well as promoting technical advancements to users who will recognize and appreciate the improvements.

Compliance Managers

Increased License Compliance

 

Reaching license abusers, sharers, overusers or pirates “in the act” eliminates any ambiguity of usage. Users may not even know they are using unlicensed or pirated software, and an in-app message from the vendor can educate them and put them on the path to compliance. This is equally effective for those customers who are using more features than what they’ve purchased.

 

As with the organization’s other teams, compliance managers can automate an engagement campaign to deploy precisely when users are engaged in high value functions, increasing efficacy of conversion offers.

Better Customer Experience, Better Business Results

Through careful in-app messages based on insights gleaned from usage analytics, software providers can improve user experience by tweaking messaging content and timing.

Acquire

  • Deploy in-app messaging during trial periods and freemium usage that introduces key features based on user segments
  • Time offers to specific users to coincide with lack of activity or signals of weakening interest
  • Offer pre-sale assistance during evaluation, building user confidence and affinity
  • Reach high-risk trial user segments who do not convert within a specific timeframe

Onboard

  • Accelerate the learning curve by presenting instructive in-app messages at the most relevant times
  • Guide new users to high-value features
  • Increase the value of each touch—send relevant messages by targeting by geographical region, days since installation, hours of software usage, feature usage, software edition, build or version, license type or status, OS platform, hardware architecture details or any other custom properties

Educate

  • Educate users on how to get more value from key features
  • Investigate why users aren’t deploying time-saving features to understand if product revisions are worth implementing
  • Shape an intuitive user experience with streamlined beta testing
  • Tailor messages to user proficiency, offering quick-start tips for those using basic functions, and introducing advanced features to power users

Upgrade & Retain

  • Inform user segments of new versions and software updates
  • Cross sell valuable modules by understanding user workflow
  • Supplement expiry and renewal notices or sales calls with messages directly to users
  • Track behavior and assess trends that indicate high use, then leverage that intelligence to reinforce paid license value

Support

  • “Rescue” users dropping out of set-up wizards by knowing who needs handholding and when
  • Proactively protect users by alerting them to specific bug fixes, software updates and patches
  • Demonstrate an inherent understanding of user needs without asking time-consuming qualifying questions, such as region, license type, OS details, etc. since these parameters have already been identified by usage analytics
  • Prioritize feature requests and suggestions with contextually relevant messaging

Delight

  • Collect valuable feedback during development, building better features that can yield increased Net Promoter Score (NPS)
  • Request specific feedback from users who indicate low satisfaction on NPS to address product issues with high impact
  • Connect with users quickly by posing relevant questions in context of their actions

COMPARING ENGAGEMENT CHANNELS

When assessing the value of any resource, it’s important to consider how it stacks up against competing approaches. Below are strengths and weaknesses of common engagement channels. Data-driven in-app messaging and other engagement methods are not mutually exclusive, and can often work in tandem for even better results.

Dynamic In-App Messaging

Benefits

  • 100% deliverability
  • 100% visibility
  • Contextually relevant to user’s environment, behavior, license, etc.
  • Robust filtering and segmentation allows granular targeting
  • Drives specific user behavior

Requires

  • Analytics framework to inform usage context and targeting
  • Messaging framework

Telephone Calls & Outreach from Sales

Benefits

  • High-touch impact is valuable for enterprise products
  • Highly effective at creating personal relationships
  • Conversation can lead to unexpected, yet valuable feedback
     

Requires

  • Significant resources to scale
  • Continually updated contact information
  • Manually gathering knowledge of users’ behavior within product
  • Disrupting users from their work

Email

Benefits

  • Inexpensive and universally available
  • Can be automated and integrated with marketing frameworks
  • Can be informed and targeted with software usage analytics
  • Available outside of application usage
     

Requires

  • Careful planning to avoid triggering SPAM filters
  • Continually undated contact information
  • Compliance with GDPR and other regulatory requirements

Messages Hardcoded within Product

Benefits

  • High level of visibility when user is in product environment
     

Requires

  • New build for updating message content, limited-time offers or issues only affecting a narrow user segment
  • New build to run temporary or experimental campaigns, since once a build has been deployed, hardcoded messages cannot be updated
  • Predicting all use cases upfront to avoid “one-size-fits-all” messaging
  • Integrated tracking framework to measure effectiveness

Traditional Surveys

Benefits

  • Qualitative and quantitative feedback from users
  • Relatively inexpensive
     

Requires

  • Additional baseline questions about OS, platform, hardware, etc.
  • Ability to target specific user populations to obtain the most qualified responses
  • Long lead times to deploy and implement
  • Continually updated contact information

CHOOSING THE RIGHT TYPE OF IN-APP MESSAGING

For Critical Issues, Use an Aggressive Pop-Up Window

Important Software Update
We’ve made improvements and fixed a few bugs.


Your License Expires Soon
Renew today for uninterrupted use.


Your Trial Has Ended
Please activate your license.


Upgrade to the Full Suite, Save 15%
Hurry, this offer is valid for 24 hours.


Beta Feedback Needed
Would you prefer if we placed this function here?

For Reminders and Time-sensitive Messaging, Use a Discreet Balloon Pop-Up

Survey Reminder
We count on power users’ feedback to improve features.


New Version Available!
Explore new features for better productivity.


Do You Use This Shortcut?
Try this streamlined workflow to save time.


Power User? Check Out Our New Webinar
This helpful training will take your skills further.


Need Help Managing Reports?
This quick video will show you how.

For News, use a General Messaging Area inside the Application

We’ve Added Powerful New Features
Explore the new tools.


The Log-in Function Has Been Improved
See the update next time you sign in.


Enhanced Search Function
You can now search transactions by user, account or amount.


Save Time & Effort
Streamline this workflow in 2 quick steps.

COMPARING ENGAGEMENT CHANNELS

Best Practices

  1. Identify
    Identify target audience by leveraging usage analytics to segment and define message recipients.
  2. Create Campaign
    Devise messaging, setting trigger and delivery criteria and set campaign KPIs.
  3. Deploy Campaign
    Set caps, filters, and other parameters. Message to the right person at the right time—being careful not to overuse messaging. Manage campaigns through a central organizing dashboard.
  4. Monitor Response
    Pay attention to changes in user activity, to determine if the campaign is spurring the desired behavior.
  5. Optimize
    To get maximum campaign value/ROI, tweak campaign criteria or messaging with A/B testing.
  6. Follow Through
    Plan follow-up campaigns or take action on results, so this effort is not a one-off.

Powering In-App Messaging with Usage Analytics

  • 100% delivery rate and visibility
  • Intelligent timing
  • Quick deployment

Next Steps

Build In-House or Buy?

In-app messaging is a powerful tool, when integrated with runtime usage analytics. But to do its job well, in-app messaging relies on several factors, including:

  • Efficiently collecting and processing massive amounts of usage analytics data
  • Ability to analyze changes in behavior due to in-app messaging
  • Storing data in the background without affecting UX
  • A carefully designed client side that works in harmony with the product’s UX, allowing messages to feel native to the platform
  • Handling cases where the user is offline or disconnected, without losing valuable usage data
  • Dashboard to allow analytics and in-app messaging to be used throughout the organization.

For these reasons, many software vendors choose to purchase a combined analytics and messaging solution, rather than using inhouse resources to build a custom platform. By purchasing a product that’s been specifically developed to collect valuable, targeted user data and leverage it for dynamic customer engagement, vendors are assured that they will get usable data, and a way to use it efficiently across the organization.

A Proven Method to Build User Engagement

Dynamic in-app messaging helps build better communication between a software vendor and its users, creating strong brand affinity and improved software products. Its data-driven nature allows for relevant, customized messaging, segmented by explicit behavior and environment. 

Lastly, if you have a usage analytics platform with in-application messaging capabilities, after your initial SDK implementation, it doesn’t require additional coding or a developer’s resources. You can generate messages through an online wizard for marketing campaigns, triggered by user behavior or business rules, or as one-offs for specific user sets.

REVENERA USAGE INTELLIGENCE

Better Software Begins with Better Data

Revenera Usage Intelligence provides valuable insight into product and customer usage patterns to help you make data-driven decisions that foster user engagement and accelerate adoption. This powerful solution helps you understand user activity and conversions after your product is downloaded by gathering intelligence on what platforms and architectures the software is running, which features are used or ignored, and how usage and churn trends vary by user segment. 

Our advanced analytics engine provides valuable insight via a powerful dashboard—with the ability to drill-down into reports that answer specific product questions. When you combine this insight with the solution’s in-app messaging functionality, ReachOut™, you will achieve greater user engagement with benefits for the entire organization. 

With actionable insights at your fingertips, you’re empowered to shape your product strategy, roadmaps, packaging, and pricing models based on real-world facts. Best of all, Usage Intelligence integrates into your application development process quickly and easily for rapid ROI.

Frequently Asked Questions (FAQs)

In-app messaging refers to communications delivered directly within a software application, targeting users while they are actively engaged. These messages can guide, educate, or prompt users, enhancing their experience and driving desired behaviors.

Usage analytics collects data on user behavior and environment, allowing vendors to deliver contextually relevant messages. This ensures communications are timely, targeted, and more likely to achieve engagement goals.

Dynamic in-app messaging enables precise targeting, increased engagement, and higher conversion rates. It helps vendors guide users through onboarding, promote feature adoption, and gather valuable feedback for product improvement.

By identifying user segments most likely to convert and delivering tailored offers at optimal moments, in-app messaging boosts conversion rates. A/B testing different messages further refines effectiveness.

Aggressive pop-up windows are ideal for critical issues like software updates, license expirations, or trial endings. These ensure users see and act on important information immediately.

In-app messages can accelerate onboarding by presenting instructive content at relevant times, guiding new users to high-value features, and increasing the value of each interaction.

Yes, timely and relevant in-app messages can re-engage users, encourage feature exploration, and address issues before they lead to churn, ultimately improving retention rates.

It educates users on key features, offers quick-start tips, and introduces advanced functionalities to power users, ensuring everyone gets the most value from the software.

Effectiveness is measured by monitoring user activity changes, conversion rates, engagement metrics, and feedback collected through the messages. A/B testing helps optimize campaigns.

Many vendors choose to buy combined analytics and messaging platforms for efficiency and reliability. These solutions are designed to collect targeted data and enable dynamic engagement across the organization.

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