Digital analytics is the process of gathering and evaluating product data from different digital marketing sources to create better marketing strategies and tactics. The best example of companies using digital analytics marketing is Netflix and Amazon.
Nowadays, most companies are realizing the importance of digital marketing analytics. Digital analytics can help to improve marketing campaigns, enhance customer experience and reduce churn. Therefore, businesses are turning towards digital analytics tools.
Here, in this blog, we will give you the digital analytics definition, examples, and tools that you can utilize for your business.
What is digital analytics?
- Digital analytics is the method of collecting and evaluating data from all digital marketing sources.
- Companies utilize digital analytics for experimentation, to make data-driven decisions, to improve customer experience, and boost retention.
- To gather digital analytics you can use an analytics tool like WebMaxy Analyzer. It can help you to gain insights into your website visitors’ behavior and patterns.
- The best way to amplify business opportunities is by taking the analytics-first approach. To go a step ahead of your competitors you must use analytics data.
How can you use digital analytics?
You must be aware that Netflix and Amazon have grown as big business giants in the last few years. The crucial factors behind their success are personalization and digital analytics. They have leveraged the power of customer data to make the best recommendations.
This is the era of big data and most companies have an inventory of data. However, they are not utilizing this customer data to make result-driven choices. People use digital products every day and they leave trails of data. Product managers and marketing specialists can use these direct insights to know what’s working and what’s not.
As per the survey conducted by MicroStrategy, 94% of businesses identified analytics as vital to growth and digital transformation. Still, only 30% of companies maintain a clearly defined data strategy. Businesses that engage and utilize the various data sources gain an advantage over their competitors who are still using the age-old analog strategies.
How can you collect Digital analytics data?
There are different sources from which you can collect digital analytics data. Here, we will tell you about the analytics data sources.
Website data
Website data can help you track a lot of information like who’s coming to the website and what are they doing. Analyzing this data can help you identify the buyer persona types attracted to specific products and features. You can determine which channels are bringing you the maximum traffic.
Website data is the best mean to track visitors and their activities. You can know where they click and how they navigate through your website. Monitoring customers’ journeys can help you know your high and low-converting pages.
WebMaxy Analyzer is a web analytics tool that can help you gather accurate user insights. It comes with user session recordings, click & scroll maps, surveys & feedback, funnel view, form analytics, user insights, push notifications, and advanced integrations.
Product data
Customers generate a lot of behavioral data within your product. This product data consists of key insights that can aid you in knowing its potential and limitations.
- The most popular features that are causing maximum sales.
- The least popular features, the downside of your product.
- Critical conversion events
- Points of friction that lead to loss of customers.
- The commonalities between customers with high lifetime value.
Analytics in digital marketing helps to eliminate the guesswork from product strategy. The product data helps to remove the uncertainty. The product data is the data from your existing customers who are using your product. This data can help you to understand user behavior and what triggers them to stop using your product. You can comprehend their user journey and know how you can modify it to improve their experience.
Digital marketing data
The data from your digital marketing campaigns can aid you in understanding your prospective customers. For instance:
- Keyword data:Conducting keyword analysis can help you to identify the trends of your target market. Your different PPC campaigns can aid you in knowing the interests of your prospects based on their results. You can know what type of content and messaging entices them to take action.
- Social media:As per the reports, 82% of Americans use at least one social media account. Most of the people are active on social media these days. Therefore, when you are posting content on social media, people might not be following you but they’re watching you. Your social media stats can help you get information like the content, messaging, and topics that have the maximum engagement of prospects and customers.
Internal customer data
Examining your customer data can help you to know the customer lifetime length and distinct cohorts. By understanding analytics, you can reveal trends in terms of when customers upgrade, downgrade, and leave.
For example, you can target the low-value cohort by offering discounts and incentives. Additionally, you can use paid marketing campaigns to focus on high-value cohorts.
- Account details
- Customer complaints
- Transaction histories
The importance of analytics in digital marketing
Before the existence of digital analytics tools, product managers and marketers made decisions based on intuition and past experience. The past performance data was the only source available to base the product strategy. The data available provided a fragmented and limited picture of customer preferences.
Another way to know the customers’ choices and preferences is directly through interviews, surveys, and focus groups. Also, these days customers are easily available online and you can tap into their thought processes and viewpoints over there. To get into the depth of your customers’ behavior you should try to use these distinct sources of information.
Gather data from different sources possible
Collecting analytics data from distinct sources can help you get the complete picture of your customers and their user journey. From the website data, you can know which source or ad bought a specific customer to your website. The product data can provide you with information about what actions and events they took to complete the onboarding process.
However, to do all this you need a digital analytics platform or else you need to spend time linking all this data. By integrating data from different platforms you can get a comprehensive view of your user journey. This information can help you in many ways that we have mentioned below:
1. Reduce Churn
Digital analytics can help you to know your customers’ expectations and align them with your marketing and actual product performance. For example, if you say that you provide the best music streaming experience but people after downloading one song, leave your website. Then, by looking at the analytics and customer journey, you can discover the stages of friction.
WebMaxy Analyzer can help you to track your customer journey and know the reasons why they don’t continue with you. By studying analytics you can know their conversion drivers and the churn causes. You can use the digital analytics findings to improve your marketing campaign targeting. The demographic and behavioral data together can help you to create your high-value customer profile.
Once you unveil information about how your customers spend and what makes them stay with your business for a long time. You can work on strategies and tactics that help to prioritize the factors that cause conversions and reduce churn.
2. Experimentation
With digital analytics, it’s not necessary that you need to fix issues with your product. As per the report, 46% of businesses have used digital analytics to identify ways for new revenue streams and strategies. Extensive data analysis can aid you in finding ways to improve key features that lead to maximum conversion. You can even get so much information that you can entirely build a new product altogether.
Experimentation can help you in doing product marketing at its best. For instance, you find out that users who create playlists are 10 times less likely to churn. So, you can send emails to customers with playlists based on the songs they hear. This will help them to retain and highlight the playlist feature as well. WebMaxy Analyzer can aid you in carrying out A/B tests for multiple variations by revealing their effect on conversions.
3. Increase customer value through personalization
Nowadays, personalization has gained prominence in the market. According to recent research, 80% of customers are more likely to buy from brands that use personalized communications and offers. This directly affects the revenue, with 80% of businesses reporting a sales lift after using personalized marketing content.
An digital analytics platform like WebMaxy Analyzer can help you understand your customers’ needs, wants, and expectations. You can create personalized marketing strategies and look for opportunities for upselling and cross-selling. Amazon revealed in its report that it attributes 35% of total sales to its top-tier recommendation engine.
What to look for in a digital analytics platform?
To get the most out of your digital analytics data, it’s vital that you choose a good digital analytics platform. Building a strategy based on solid facts derived from the colossal of data can help you in many ways. You can make customer profiles based on the data of thousands of customers.
Nonetheless, to leverage the power of your customer data, you need a robust platform that can manage it all. The key factors that you must look for in a digital analytics platform are as follows:
Data unification
You should opt for an analytics solution that can integrate and connect data from each of your digital sources. Using spreadsheets and database approaches is not the right way to go about it. Even though you can manually collect all the data but doing the sorting and calculations can take a lot of your time.
There are many tools that can help you do the analysis of your web, product, or customer data. However, the real power of a digital analytics platform is in the unification of data from different sources. WebMaxy Performance Marketing can help you gather and analyze all your digital platforms’ data in one place.
Advanced features
Your digital analytics platform should give you a story based on the data it gathers from different sources. You should be able to understand how an individual customer comes to your business and how they are retained. An analytics platform should help you do a lot of things such as:
- Track customer journeys
- Carry out A/B tests
- Utilize data to make predictions and recommendations
- Segment your users based on their past actions and behaviors
- Determine metrics like conversion rate, drop-off rate, and sales
Scalability
Businesses that are in the growth phase require a platform strong enough to handle all the data load. Your digital analytics platform should be able to keep up with large volumes of data and work well with distinct sources. It is a crucial factor as it can help you to make a complete picture of your customer base.
Analytics platforms often become slow due to the bulk of data put on them. Also, if your company relies on data insights then there will be many people using the digital analytics platform. Therefore, you should look for an analytics solution that is easy to use for anyone and can easily keep up with the data loads.
Examples of digital analytics tools
At present, there are many digital analytics tools available in the market that you can use to combine your customer data. However, it’s important that you first think of what you want to achieve by using and analyzing your customer data.
WebMaxy Performance Marketing
WebMaxy Performance Marketing is an all-in-one digital analytics platform. It can help you to unify all your digital marketing channels and customer data. It has many features that we have mentioned below:
- Conversion dashboard: It can help you know how many conversions are you getting from different marketing channels.
- Revenue contribution: You can know how much revenue you are generating from a specific channel.
- Multi-touch attribution models: It can help you analyze data with different attribution models.
- Automate email marketing campaigns: Send emails to customers based on their past actions like incomplete checkout or abandoned carts.
- Schedule social media posts: You can plan and schedule posts on your different social media marketing channels.
- Analyze interactions: Know the response such as likes, comments & shares of your social media marketing posts.
- Automate workflows: Create workflows and decide how you want to re-target your prospective customers.
WebMaxy Performance Marketing is the best tool for integrating all your data in one place. This tool is best for eCommerce brands, business owners, marketing managers, digital marketing specialists, and product analysts.
Other digital analytics tools
There are many other digital analytics tools available in the market. Here, we have mentioned them for your reference:
- Adobe Analytics
- Google Analytics
- Amplitude
- Mixpanel
- Looker
How to execute a new digital analytics strategy
Just analyzing the digital data is not enough, you should utilize it to devise data-driven strategies. Now, we will tell you the steps that you should take to execute a new digital analytics strategy.
1. Learn about your current weak points
If you presently have a digital analytics strategy set in place then you should find the scope for improvement. But if you are using the old systems that don’t do the necessary calculations and provide predictions. Then, you should look out for an alternative like WebMaxy Performance Marketing.
There are many businesses that haven’t even started with digital analytics. Thus, by gathering and evaluating customer data they’ll be able to find ways to improve their marketing strategies.
2. Establish your goals
Before setting up a digital strategy, decide what you want to achieve through it as a team and as a business. Some of the main goals of a digital strategy are as follows:
- Product and feature development.
- Improving and personalizing the customer journey.
- Identifying the factors that cause friction.
- Eliminating the friction points to reduce churn.
- Upgrade the onboarding flows.
3. Selecting the right solution
There are many digital marketing tools in the market but not every solution can help you achieve your business objectives. Many digital analytics tools provide free demos and webinars that you can go through to understand their product offerings. Also, it will help you know if that digital analytics solution can help you achieve the business goals that you’re focusing on.
We provide a free demo of WebMaxy Performance Marketing to help our customers get the most out of it. For a free demo and pricing, schedule a call with our experts or email us at sales@webmaxy.com.
Digital analytics: The future
Businesses that have started using digital analytics are positioning themselves uniquely. The benefits of data-driven insights for implementing strategies and tactics are undisputed. However, there are still many companies that haven’t adopted the analytics-centric approach. They think that switching to the new systems from the old ones is a time-consuming process. Alternatively, their competitors who want to amplify are passing them by utilizing data-driven strategies.
Soon, the gap between the businesses that are utilizing digital analytics and those who don’t will increase. The ones who haven’t taken the digital analytics approach will be eliminated by the companies that already have. Therefore, it’s always better to stay ahead of your competitors rather than give them a chance to surpass you. You can give yourself a fresh start in digital analytics with WebMaxy Performance Marketing.
Maximize your ROI with digital analytics.Try WebMaxy Analyzer now!
Use digital analytics to get detailed user insights and make data-driven decisions.
Digital marketing analytics FAQs
What is a digital analytics strategy?
A digital analytics strategy focuses on the complete customer journey from attracting them to the acquisition. Digital analytics is the process of collecting and analyzing data from different digital sources. A digital analytics strategy is based on comprehensive data and aims at achieving business objectives and goals.
What is an example of digital analytics?
There is various digital analytics that can help you know your marketing channels’ performance. We have given examples of digital analytics below:
– Total user sessions
– Page views
– Clicks
– Bounce rate
How is analytics used in digital marketing?
Analytics in digital marketing helps marketers to gather actionable insights from the collected data. It helps them to know the results they are getting from the different digital marketing channels. This way they can invest wisely and drive better results.
What are 5 digital marketing analytics that actually matter?
Digital marketing analytics can help marketers and strategists in many ways. However, it’s not necessary that they collect all the digital analytics. We have mentioned here the 5 digital marketing analytics that actually matters:
– Engagement
– Click through rate
– Website loading speed