.png)
Frameworks, core principles and top case studies for SaaS pricing, learnt and refined over 28+ years of SaaS-monetization experience.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
In the competitive SaaS landscape, product usability has emerged as a critical differentiator. While features and functionality remain important, how easily users can accomplish their goals with your software often determines whether they become loyal customers or abandon your product. Let's explore what usability truly means, why it's vital for SaaS success, and how to effectively measure it to drive continuous improvement.
What Is Usability?
Usability refers to how easily users can learn and use a product to achieve their goals effectively and efficiently. According to the International Organization for Standardization (ISO), usability comprises three key dimensions:
- Effectiveness: Can users complete their tasks accurately and completely?
- Efficiency: How quickly can users accomplish their goals with minimal effort?
- Satisfaction: Do users find the experience pleasant and engaging?
In the SaaS context, usability extends beyond the interface to encompass the entire user experience—from onboarding and daily usage to advanced features and support interactions.
Why Usability Matters for SaaS Companies
Reduced Churn, Increased Retention
According to a study by ProfitWell, the top reason for customer churn in SaaS is poor user experience, with 68% of customers leaving due to the perception that a company doesn't care about their success. When users struggle with your software, they quickly look for alternatives.
Competitive Advantage
In saturated markets where feature parity is common, usability becomes a powerful differentiator. As Forrester Research notes, companies that lead in customer experience outperform laggards by nearly 80% in revenue growth.
Lower Support Costs
Intuitive products generate fewer support tickets. According to HDI, the average cost of a support ticket ranges from $15-$50. Improving usability can significantly reduce these costs while allowing your support team to focus on more strategic initiatives.
Word-of-Mouth Growth
Users enthusiastically recommend products they find easy to use. HubSpot research shows that 77% of customers have shared positive experiences with products, with ease of use being a primary factor in their recommendations.
Faster Time-to-Value
When users can quickly achieve their goals, they perceive value sooner. According to Gainsight, user adoption increases by 30-40% when the time-to-value is optimized through improved usability.
How to Measure Usability
Effective measurement combines both quantitative metrics and qualitative insights:
1. Usability Testing
Structured usability tests provide direct observations of how real users interact with your product. Key approaches include:
- Moderated tests: Researchers observe users completing specific tasks, noting pain points and successes.
- Unmoderated remote tests: Tools like UserTesting or Maze allow users to complete tasks on their own while recording their screens and thoughts.
Measure success rates, completion times, and error rates across key user journeys to establish benchmarks and track improvements.
2. System Usability Scale (SUS)
The SUS is a well-established 10-question survey that provides a standardized score for usability. With over 30 years of research backing it, a SUS score above 68 is considered above average, while scores over 80 indicate excellent usability.
According to Jeff Sauro of MeasuringU, the SUS has shown 86% accuracy in distinguishing between usable and unusable systems.
3. User Engagement Metrics
Behavioral data often reveals usability issues:
- Time on task: How long do users spend completing key workflows?
- Drop-off points: Where do users abandon processes?
- Feature adoption: Which features see low usage despite their importance?
- Session frequency: How often do users return to your product?
- Session duration: Are users spending appropriate amounts of time to complete their work?
Tools like Mixpanel, Amplitude, or Pendo can help track these metrics systematically.
4. Customer Effort Score (CES)
CES measures how much effort users expend to accomplish their goals. According to Gartner, effort is the strongest driver of customer loyalty, with 96% of customers becoming disloyal after high-effort experiences.
A simple question like "How easy was it to accomplish your task today?" on a scale from "Very difficult" to "Very easy" can provide valuable insights.
5. Net Promoter Score (NPS) with Usability Focus
While NPS measures overall satisfaction, adding specific usability-related questions can help connect ease of use to customer loyalty:
"How easy is our product to use compared to alternatives?"
"What one thing could we change to make the product easier to use?"
6. Error Analytics
Track where and how frequently users encounter errors:
- Form submission failures
- Search queries with zero results
- Repeated clicks on non-interactive elements
- Session recordings of frustrated user behavior (rage clicks, etc.)
Tools like FullStory and LogRocket can help identify these patterns.
Implementing a Usability Measurement Program
To build a sustainable usability measurement practice:
- Establish baselines: Before making changes, document current performance.
- Set specific targets: Determine which metrics matter most for your business context.
- Test regularly: Schedule ongoing testing rather than one-off efforts.
- Combine methods: Use both qualitative and quantitative approaches for a complete picture.
- Close the loop: Connect findings to specific product improvements.
- Retest after changes: Validate that improvements actually enhanced usability.
Conclusion
Usability isn't merely a nice-to-have feature—it's a fundamental business driver for SaaS companies. By systematically measuring and improving how easily users can accomplish their goals with your product, you create competitive advantage, reduce support costs, and build customer loyalty.
The most successful SaaS companies recognize that features alone don't create value; features that users can easily access and leverage do. Implementing a structured approach to measuring usability provides the insights needed to continuously enhance your product and stay ahead in an increasingly competitive market.
Begin by selecting one or two metrics from this article that align with your current business challenges, establish your baseline, and start the journey toward a more usable—and therefore more valuable—SaaS product.