Digital analytics is an important part of your online marketing strategy. It is impossible to have an effective digital marketing plan without a sound use of digital analytics. So, what is digital analytics? Basically, it is the way data is collected, measured, analysed and visualized. This data is used to understand visitor and user behaviour on your website, app, and mobile sites.
Further, it helps you optimise your conversion rate so that visitors don’t leave your website without taking a specific action. In other words, digital analytics is an important tool for improving your bottom line.
Also, it is a great way to delve right into the details of user behaviour. Digital analytics will help you know what brings your visitors to your site, and what frustrates them. You can also find out at what point leave without taking action. Simply put, it is a fantastic way to get control of your business. As Peter Drucker says, you can’t manage what you can’t measure.
In this article, we will examine just why digital analytics is so important to your business and how you can use it to improve your conversion rate.
Using Data to Analyse Your Strengths and Weaknesses
Now, if you’ve been relying on guesswork to know what your strengths and weaknesses are, it’s time to step up. Digital analytics takes away the guesswork and leaves you with cold, hard facts. Facts you can act upon and see actual results.
Most business owners have moved past thinking that if you build it, they will come. It is common knowledge that simply having a website out there does not mean that you will get visitors. As a savvy business owner, you know this. Interestingly, lots of businesses stop with getting people onto their site and don’t go past that. What digital analytics does is help you understand why your visitors are not taking certain actions on your site. It helps you know what you can do better and what you should not be doing at all.
Thankfully, there are several tools you can use to analyse quantitative and qualitative data. Some, like Google Analytics, help you to measure your results which makes optimisation possible.
Digital Analytics is Important for Strategic Decision Making
Digital analytics paves the way for predictive analytics so you can make informed decisions. We mentioned that it takes away the guesswork, and conjecture leads to assumptions that may or may not be true. With digital analytics, you are working based on facts. You know what your customer likes, their demography and even location. This is an important factor in determining who your target customer really is.
Again, digital analytics is customer-centric. Meaning that your customer is at the centre of your decision-making process. This means that you are consistently dedicated to finetuning your website to create a great user experience for your customers.
Conversion Rate Optimisation (CRO)
Although we have already mentioned how important digital analytics is to CRO, it bears repeating. If you have been wondering why your visitors are not converting, the answer might lie in your digital analytics. You can’t have any real growth in business unless you can measure it. And that’s what digital analytics helps you to do. Think of it as the footprints your visitors leave on your website. Footprints which are essential for CRO and for measuring your growth.
Of course, you need to have something to use in measuring your growth, a standard of some sort. Basic key performance indicators (KPIs) have to do with your conversion rate. How well your website is converting or not will have to do with your KPIs.
Therefore, what you’re measuring could be the number of visitors that come to your site, how long they stay and whether they buy your product. Again, conversion on your website does not necessarily have to end with a purchase. It could be sign-ups to your newsletter or asking for more information. As long as they are in line with your business objectives, this could be of immense benefit to your business.
Effective Digital Analytics Saves Time and Cost
In a nutshell, you take away the guesswork, you also take away the needless time and cost spent on trying to figure out what the problem is. Using qualitative and quantitative analysis means that you know exactly what the problem is and can focus on how to solve it.
Your marketing campaigns can be strategic and streamlined to appeal to your true target customer. Also, you can further optimise your website to appeal to that customer thereby saving time and cost.
In conclusion, there is no point in having an online presence if it does not affect your bottom line. Every form of marketing is for only one purpose, to bring in new customers. Digital analytics helps you collect and analyse data so that your website does exactly what it was set up to do. If you would like to find out more about how to use digital analytics to improve your conversion rate optimisation, contact us today. We are always happy to hear from you.