Digital Performance Management

Digital Performance Management

User Replay
14th February 2017

It’s no secret that businesses will differentiate themselves through customer experience as digital transformation continues to take hold.

While marketing teams are credited with customer experience success; technology infrastructure and operations teams are responsible for the back end. Technology performance and availability will always be critical; therefore CIOs and CTOs must broaden the range of their responsibility to truly impact business outcomes.

Traditional application performance management (APM) is no longer enough—digital performance management (DPM) has become the key to aligning infrastructure and operations with business goals.

Why Application Performance Management Disappoints for Customer Experience

The infrastructure and operations story has always been the same. You implement your APM solution to ensure that key software is performing properly and remains available.

When tickets come to you with a problem, you dig into the technical defects and work to resolve them as quickly as possible. Because uptime and performance have become an expectation (not a luxury), infrastructure and operations have traditionally been viewed as a cost center.

A business can save a lot of money by guaranteeing uptime—but that doesn’t contribute to revenue recognition. According to Forrester, there are 3 main reasons why APM has been holding companies back in this regard:

  • Operations Data Silos: As marketers and eCommerce leaders work to improve the customer experience by delivering the right content and offers at the right times, performance metrics are collected separately. You know applications are running smoothly, but APM can’t tell you how or what is actively affecting click through rates, revenue generation, or customer lifetime value.
  • The Business Impact of Performance Is Unclear: Your ability to maintain application performance is not directly correlated with application value. Applications are built to support sales or deliver content and engage customers, not to ensure performance. Performance is a factor. But if you can’t directly correlate its relationship to sales or customer satisfaction, APM can’t be credited with direct revenue impact.
  • Failure to Align with Business Needs: As digital transformation continues at a rapid pace, successful companies will be those that prioritize the customer. If you don’t know what customers want at every stage of their engagement with an application, performance in and of itself won’t be of value.

To address these APM shortcomings, infrastructure and operations teams must evolve toward what Forrester is calling digital performance management.

What Is Digital Performance Management, Exactly?

Forrester defines DPM as optimizing customer experience and business KPIs through comprehensive performance monitoring and analysis of technology, application, and business metrics.

But what does that really mean?

Digital performance management is a more comprehensive vision that brings application performance management from its low-level focus to a broader business perspective by including the customer and business context. In order to drive business value you must align or integrate APM with a customer experience analytics solution that provides insight into the interaction between the customer and the application.

Contact us today and learn why UserReplay is the only customer analytics solution vendor partnering with APM vendors to deliver a more comprehensive DPM vision that drives real business value.

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