Mistakes to Avoid in Digital Marketing Analytics

 



Today customer expectations are higher than ever before. Customers want their needs met in time together with a personalized experience when consuming your product or service. Thus, effective digital marketing focuses on the customer journey right from awareness, interest, evaluation, intent, purchase, to loyalty. However, challenges arise when an organization or marketer has to measure the effectiveness of its digital marketing strategy. This is where digital marketing analytics comes in.

Data plays a critical role during digital marketing as marketers rely on insights from data to formulate business goals and marketing strategies. Using digital marketing analytics, marketers can develop marketing strategies that will not only be aimed at meeting customers’ specific needs but also make it possible to measure the return on investment for a digital marketing strategy.

Web analytics has become increasingly ubiquitous in the digital marketing field even though it is only a small part of digital marketing analytics. A practical digital marketing analytics training equips professionals to develop an effective digital marketing analytics strategy with well-structured goals and their expected outcomes based on standard industry metrics.

What is digital marketing analytics?

Digital marketing analytics is a great tool for measuring the effectiveness of a digital marketing strategy. It encompasses the tools, technologies, and processes that digital marketers use to collect, analyze, visualize, and draw insight from marketing data for decision-making. This data is drawn from digital platforms such as Facebook, Instagram, Twitter, and LinkedIn on which a brand has a presence as well as other channels that generate marketing data such as email, organic search, and search ads.

As mentioned above, the most relevant data for a digital marketing analytics strategy is one that is focused on the customer journey as it will help marketers understand customer behavior in regards to their interests, preferences, intent, and more. Information obtained from this data is useful for identifying and fixing deficiencies in particular channels of their marketing mix.

Digital marketing analytics is important for the following reasons:

       Analytics provides data-driven insights that help marketers understand customer behavior and define target audiences.

       Helps marketers to measure the effectiveness of their marketing strategies and measure the overall ROI of the strategy.

       Helps marketers assess and select the appropriate metrics to use in tracking the performance of their marketing initiatives for the best possible business outcome.

       Provides the insights, hidden patterns, and opportunities that inform marketers’ future marketing decisions

       Marketing analytics tools help collect data efficiently from diverse channels and provide a single view of the data for effective analysis and strategy.

       Marketing analytics also helps a business to understand its competition based on market research and competitive analysis to adjust its strategies accordingly. 

Metrics of Digital Marketing Analytics

Digital marketing analytics measures the performance of a business’ marketing strategies based on certain statistical metrics. These are: 

       Traffic. Traffic refers to the total number of visits to a website at a given time. This can be measured by the source of traffic including channel and device as well as other metrics like time on page, interactions per visit, bounce rate, and the ratio of new to returning traffic.

       Conversions. These refer to the actions expected from people who interact with your site, call-to-action, or marketing campaign. Conversions could mean email marketing opt-in, filling out a form, making a purchase from the site, or downloading which gets a visitor into the system. This can be measured by metrics such as Call-To-Action Click-Through-Rate, submissions, conversion rate, leads to clove ratio, shopping cart abandonment rate, and pop-up conversations.

       Engagement. This is the number of likes, shares, comments on a social media post and can turn into leads or qualified audiences. Engagement can be tracked by metrics like total followers or subscribers, audience growth rate, engagement rate, total shares, post reach, share of social voice, and approval rate.

       Click-through rate (CTR). Using Paid ads is a good way of building a brand’s online presence. CTR refers to the number of times an ad is clicked versus the number of times it is shown.

       Site load speed. While a site load speed may not necessarily indicate a fast user experience, it is an important aspect of it. To improve your site load speed check on your image sizes, content distribution networks (CDNs), and site code.

Mistakes to avoid in Digital Marketing Analytics

There is much to benefit from digital marketing analytics just as digital marketing counts significantly in building a brand. Yet, some avoidable mistakes that businesses and/or marketers make can be costly and not yield results.

1.       Lack of  a clear strategy

A strategy is broken down into smaller achievable goals each of which is tied to an expected outcome. Without a clear strategy it's a cinch there will be no clear goals which is bound to result in marketing analytics that waste resources.

Tip: A clear strategy should define the target audience, set clear reasonable goals and targets, use metrics that are based on business objectives, and have a clear measure for keeping track of the progress.

2.      Unfiltered data

Marketing analytics data comes in a wide variety of formats and is sourced from multiple channels. The aim of filtering data is to ensure data quality, validity, security,  and accurate interpretations. Poor data collection is more often than not the cause of inaccurate data analytics and interpretations and ultimately the wrong course of action.

Tip. Standardize data collection across all channels.

3.      Lack of a measurement plan

A measurement plan translates business objectives into metrics and dimensions that can be used to track and measure the performance of a digital marketing strategy. It defines what a successful marketing campaign is and helps determine the metrics to be used in implementing a strategy. Without a measurement plan, it may be difficult to select the right metrics for your marketing campaigns. Remember that it is from these metrics that data for analytics is collected.

Tip: Segment your KPI based on source to see how individual metrics impact the performance of your marketing campaigns.

4.      Wrong tools and metrics

Focusing on the wrong metrics can be misleading and cause you to invest resources in the wrong marketing campaign. Also, using analytics tools that are selective or biased to some channels can prove ineffective. Google Analytics, Facebook Analytics, and Instagram analytics apps are great analytics tools but biased to the respective channels. Without the right approach, one may succeed at driving traffic but not at conversions.

Tip: It is important to base your metrics on the objectives of your marketing initiatives and use analytics tools and technologies that take into account all marketing channels to effectively measure the performance and analyze the outcome of your campaigns.

5.      Failing to segment an audience

The right metrics will help segment your audience to identify the segment that brings the highest lifetime value (LTV). Most successful marketers will focus their efforts on this particular segment.

Tip: Focus on LTV and optimize the customer acquisition cost to get a good return on investment (ROI).

6.      Skipping data evaluation

A measurement plan helps select the right metrics to use for data collection. Even with a standardized data collection process, data evaluating is an equally important process as it helps you better understand the information and insights drawn from the data for decision-making and for creating effective marketing campaigns. Data evaluation encompasses data analysis, visualization, and interpretation.

Tip: marketing data should be comprehensive comprising web analytics, social media data, email marketing data, and lead generation data to provide richer insights.

7.      Overlooking competition

There is a high chance that several other businesses are selling the same products or offering the same services as your business. As competition becomes tougher each day, we cannot afford to ignore the competition.

Tip: Benchmarking and competitive analysis provide a way of selecting the right competitors and industry leaders, researching their strategies, identifying the relevant KPIs, and structuring marketing campaigns that help the business stay ahead of the competition. 

Wrapping up

To successfully analyze the marketing campaigns, marketers need to select the right stack of marketing tools, technologies, and processes. Digital tools that consolidate multiple marketing channels for analytics are most preferred for informed decision-making. As consumers demand personalized experiences their expectations keep evolving which requires that marketers optimize their budgets and avoid these analytics mistakes to get the most from their marketing analytics strategies. 

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