Measuring Feature Adoption

When it comes to SaaS Products, product managers typically have product adoption as one of their top KPIs to track; especially when launching a new product. The logic is pretty simple, improving product adoption means higher retention, lower churn and move revenue.

When it comes to SaaS Products, product managers typically have product adoption as one of their top KPIs to track; especially when launching a new product. The logic is pretty simple, improving product adoption means higher retention, lower churn and move revenue.

However, once a product is launched we continue to release new features to keep that product adoption going, but we fail to realize that we also need to track feature adoption.

Both these key metrics indicate how well your product is received by your customers. The product adoption metric tells you the percentage of active users, while the feature adoption metric tells you the reason why people continue to engage with your product.

So when you launch a new feature, looking at this individual metric will tell you if the its driving your overall product adoption to go up or not.

Feature adoption is measured in percentage (%) as:
(# of users of a feature / total # of active users) x 100 = feature adoption %

Getting insight into what features users find the most valuable will also inform your team o how to position your product as well as help you with any product decisions you make.

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Jamie Larson
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