--- title: "What’s the ROI of Amplitude? " description: "Learn the ROI of Amplitude and delve into other key findings from Forrester’s Total Economic Impact (TEI) study " canonical: "https://amplitude.com/en-us/blog/roi-of-amplitude" --- # What’s the ROI of Amplitude? Learn the ROI of Amplitude and delve into other key findings from Forrester’s Total Economic Impact (TEI) study Source: https://amplitude.com/en-us/blog/roi-of-amplitude --- [Kayli Berlin](/blog/author/kayli-berlin) [Former Analyst Relations Director, Amplitude](/blog/author/kayli-berlin) [](https://www.facebook.com/sharer/sharer.php?u=https%3A%2F%2Famplitude.com%2Fblog%2F%2Fblog%2Froi-of-amplitude)[](https://www.linkedin.com/sharing/share-offsite/?url=https%3A%2F%2Famplitude.com%2Fblog%2F%2Fblog%2Froi-of-amplitude)[](https://twitter.com/intent/tweet?url=https%3A%2F%2Famplitude.com%2Fblog%2F%2Fblog%2Froi-of-amplitude\&text=What%E2%80%99s%20the%20ROI%20of%20Amplitude%3F%20)[](mailto:?subject=Checkout%20this%20Amplitude%20Article\&body=Check%20this%20out%3A%20https%3A%2F%2Famplitude.com%2Fblog%2F%2Fblog%2Froi-of-amplitude) For nearly two decades, we’ve been living in the era of digital transformation. In the first phase, companies gained massive value by digitizing their internal operations. Now, global organizations are focusing on becoming as agile as their digital native counterparts by investing in their products. But changing the DNA of a company to measure, track, and understand the omnichannel customer journey isn’t easy. Most companies know this. According to a survey by Forrester, almost 85% are [planning to invest](https://www.forrester.com/report/the-state-of-future-fit-technology-strategy-2022/RES178109?objectid=RES178109) or are already investing in digital intelligence solutions. However, despite many organizations already having some kind of digital analytics, they're still unable to get the insights they need and are likely considering a new solution. ## What’s the cost-benefit of a digital analytics platform? You can't make decisions based on what is actually happening in your business if your intelligence stack doesn't give you: - A unified source of truth around how customers interact with you - Insights that everyone in your organization can trust and access - The ability to test the features and improvements that most impact growth Enter Amplitude. We give organizations self-serve access to the data they need to unlock the power of their products and guide them every step of the way. But we don't just want you to take our word for it. To help you make an informed decision about the tools you need to build great products, Amplitude commissioned Forrester Consulting to conduct a [Total Economic Impact](https://www.forrester.com/policies/tei/)™ study. The Total Economic Impact™ of Amplitude study will help you understand the full value of partnering with Amplitude beyond just a 217% return on investment (ROI). ## Key takeaways []() - The quantifiable benefits Amplitude delivered to the composite organization over three years: - Incremental profit growth from new customer growth: $1.8M - Incremental profit growth from better monetization of existing customer base $2.1M - Revenue retention from preventing churn: $1.3M - Time savings related to product development and management work: $873.7K - Time savings in addressing ad hoc data requests from other teams: $151.4K - Cost savings related to consolidating the tech stack: $1.6M - Additionally, interviewees for the study shared that using Amplitude created a cultural shift, making the organizations in the study more insights-driven. ## 217% ROI and much more Before using Amplitude, the interviewees noted that the data and metrics they got from their analytics tools were often unreliable. The uncertainty meant they struggled to understand customer trends and journeys within their digital products and experiences. As a result, teams lacked confidence in introducing new features or improving their products. That, in turn, limited their potential for business growth. With Amplitude, organizations could make data-driven decisions, experiment with new features, and grow business. Forrester's analysis found that Amplitude's overall return on investment (ROI) is 217%, with payback in less than six months. Here's a breakdown of those financial benefits and Amplitude's positive influence on company culture. ### Increase revenue Forrester calculated that Amplitude's revenue-related impacts were worth more than $5.2 million to the composite organization over three years. Amplitude impacted revenue in three key ways. #### Acquire new customers The interviewees explained that Amplitude gave their team visibility into how their customers used their products and services. The companies prioritized product features that resonated with users, which helped them attract new customers. #### Improve monetization of existing customer base The organizations could run experiments in Amplitude to find the best ways to improve free to paid conversion and promote upsells and cross-sells. The insights from those experiments allowed them to bring in more revenue from their existing customers. #### Increase retention Amplitude also assisted the interviewees in [churn analysis](https://amplitude.com/blog/churn-prediction). By discovering friction points where users tend to drop off, they could take action to prevent churn and improve retention rates. ### Improve operational efficiency With Amplitude, Forrester estimated the time savings in experimentation and analytics work per year for the organizations in the study was 80-90%. Additionally, Forrester calculated that this streamlining of the tech stack was worth $1.6 million to the composite organization over three years. #### Save time with self-service Before using Amplitude, data scientists and engineers spent a lot of time running analyses and experiments and responding to ad-hoc data requests from the rest of the organization. Amplitude is self-serve, which means that even non-technical members of the organizations could use it to pull data insights, freeing engineers and analysts to work on more interesting, value-add tasks. #### Consolidate the tech stack The interviewees also previously had to work with multiple vendors to get all the functionality that Amplitude offers. Amplitude simplified the organizations’ tech stacks and meant they only had to make one payment. ### Become insights driven Amplitude enabled the organizations to become Insights-Driven Businesses (IDBs)—companies that drive tangible business decisions based on data. Data from Forrester suggests that the most advanced IDBs consistently outpace their competition and deliver faster revenue growth. With the data insights from Amplitude, the organizations knew what they should build in advance, saving time and money. *"More than the actual cost implications, if we build the wrong things, then this can all be a massive waste of time. Amplitude significantly increases the chance we will make the right decisions."—Director of product management at the healthcare product.* The study revealed that Amplitude bolstered data literacy and democratized analytics by making more of the organization comfortable with data work. Additionally, Amplitude acted as a single source of truth for product data, simplifying information management. ## Build better experiences, drive revenue growth The Forrester Study states[ that](https://www.forrester.com/report/the-business-impact-of-digital-experience-technology-is-profitable-growth/RES130501) "better digital cx goes hand in hand with faster revenue growth…particularly in industries where customers have a choice." Amplitude empowers you with the data you need to build excellent digital experiences that delight your customers. Want to see Amplitude in action? [Get a demo](https://analytics.amplitude.com/login/my-demo). *Editor's note: This blog post was originally published on August 29, 2023.* About the author Kayli Berlin Former Analyst Relations Director, Amplitude [More from Kayli](/blog/author/kayli-berlin) Kayli Berlin is Amplitude's former Analyst Relations Director. In this role, she focuses on keeping a pulse on the ever-changing technology markets and ensuring industry analysts are up to speed on all things Amplitude. 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