Data Analytics & APIs
There's an explosion of developers building mobile and web apps. There's also an explosion in APIs as enterprises adopt API strategies to open up access to their back-end systems to enable developers. As a result, more transactions flow from end users and developers to enterprises increasing reach, revenue, and profit for enterprises.
In this short video, I talk about how to think about analytics as a peer of your APIs and the role analytics plays in having your API strategy succeed.
Every enterprise expects to see increasing rate of transactions (sales, subscriptions, etc.) over time. API-delivered transactions are going to contribute an increasingly larger fraction to this top or bottom line.
For an enterprise that is early in its API journey, a small fraction of total transactions come from APIs.
For an enterprise in a later stage of its API program, APIs contribute a much larger fraction of the total transactions. For all these companies, analytics on APIs benefit many constituents including developers, API managers, operations teams, and business managers.
For the early adopters - the companies embarking on their API journey - analytics optimize the business of APIs. IT and API metrics like throughput, availability, latency, errors etc. all help improve your APIs which results in an increased rate in the growth of your API strategy.
For the seasoned enterprises, analytics become even more important to optimize the business of the enterprise. Leveraging business-level analytics on APIs -- which products are purchased, which are tagged as favorite, which API resources are most used, etc. -- the enterprises in which APIs already contribute a high fraction of transactions will also see an uptick in the rate and relative contribution of API business to the bottom line.
Irrespective of the phase or size of your API program, your business will benefit from analytics.