Issue 7 of Google Analytics
So, we have arrived at the endgame.
Why do you have a website? It shouldn't be such a difficult question. It costs time and money to both develop and maintain it. So why do you?
So users can visit it and fulfill your goals of course! If you've made it this far, you should by now realize that there are some implications to be found in the data contained in Google Analytics that might be beneficial for your business; insights that might be shaped, conclusions that can be drawn which will in the end impact the way you do business and marketing. And it all begins and ends here, with your Goals.
Google defines digital analytics thusly:
"Digital analytics is the analysis of qualitative and quantitative data from your business and the competition to drive a continual improvement of the online experience that your customers and potential customers have which translates to your desired outcomes (both online and offline)."
This means that central to digital analytics and Google Analytics in particular is working with your business objectives and how they translate into digital Goals. These goals can be defined and measured in Google Analytics using a range of methods, and assigned monetary values enabling you to measure your ROI from the investments you've made in media and traffic. To once again quote Google:
"In the online world, there are five common business objectives:
- For ecommerce sites, an obvious objective is selling products or services.
- For lead generation sites, the goal is to collect user information for sales teams to connect with potential leads.
- For content publishers, the goal is to encourage engagement and frequent visitation.
- For online informational or support sites, helping users find the information they need at the right time is of primary importance.
- For branding, the main objective is to drive awareness, engagement and loyalty."
Companies usually work with something called micro and macro goals on their website. A macro goal is typically when a customer buys something. Within B2B services, a macro goal could also be to fill out a contact form. A micro goal is one or more steps your potential costumer is taking towards becoming a paying customer. It could for example be signing up for a newsletter or downloading a PDF or viewing a video. The process of fulfilling one or more of your defined goals is known as a "Conversion".
Again, goals are manually defined, and there's a slew of them you can create using the standard implementation of Google Analytics. However, for measuring conversions based on events, you naturally require the aforementioned event tracking.
Goals can also be assigned monetary values, which is a requirement for measuring your ROI or MROI. These values can be calculated in a number of ways, but for argument's sake, let's say that an interested user, whom we can safely assume has interacted with your brand and understands your message, ought to have some value. Or what about the user who's viewed your latest commercial on the website? You spent good money making that commercial, and you're paying to have it shown on youtube, so there ought to be some value in a user viewing it, not just a neverending list of expenditures, right?
When you've created one or more Goals, you can see how many were fulfilled on a specific page or from a specific source/medium under the other sections of Google Analytics. If you've assigned them values, you can also see how much value said page or source/medium is generating for you!
In the case of E-commerce, there's also functionality for tracking specific purchases, so you can ensure that you're making real money from your online store. Again, this requires some love from a web developer and a product database or an excel file.
It's also possible to the see which channels contributed at different steps to a specific conversion or product purchase using the Multi-channel Funnels and Attribution sections.
Let's learn how to get started with doing analysis!