Have you ever gotten lost in the analytics on your website?
It is easy to do. There are hundreds of reports you can pull to measure the
activity on your website. Audience, users, page views, sessions, acquisition,
behavior, demographics, etc. – they all are measuring and reporting key
information that you can use to better market your brand. Are there some
stats that rise above the rest? Yes, in fact, there is one: Conversions.
Let me explain what conversions mean by giving some historical context. Before website analytics came along, conversions used to mean someone just went from being a prospective customer to a real, bona fide customer.
In other words, they bought something from your company. It was a pretty simple definition that anyone in marketing understood. This all became a bit murky when website marketing
came along because its definition was broadened. It now means any
action that somebody takes on your website that helps your business succeed.
When you set up your analytics software, you define what actions are valuable
to you and, whenever someone takes that action on your website, it is counted
as a conversion.
That is a pretty wide open definition of conversions, wouldn't you say? Let’s
break this down a bit. Google analytics uses Macro Conversions and Micro
Conversions to help you decide what you are trying to accomplish with marketing on your website. Typically in marketing, little goals are stacked up to achieve much larger one. Let’s say I set a
marketing goal: I want to get people to sign up for my e-newsletter. I might
advertise it to them with an e-blast and then ask them to click through to my
website and sign up. If they do so, that is considered a Micro Conversion. Now
let’s say on my e-newsletter I have a landing page on my website that
advertises a product I am trying to sell. After I send them my e-newsletter, I
will offer a click through to that landing page and ask them to buy the
product. If they do so, that is considered a Macro Conversion. The Micro was a
setup for the Macro Conversion, which is where I want all of the people that
come to the website to end up.
This is why conversions are the most important stat in your
analytics if you are in charge of marketing. You can drive all kinds of traffic
to your website to get a look at what you do. That is good for making people
aware of your brand. But marketing is more than just awareness – it also has to
entice people to buy your brand. I would encourage you to do two things with
your analytics. First, make sure they are set up to measure what is truly
important to you in reaching your goals. If you don’t have goals for your web
traffic, make them. You can set more than one goal, but make sure you are
assigning them correctly so they can be measured in the conversion field of
your analytics software. Secondly, pay attention to your marketing efforts and
the conversions you get after doing so. This will tell you a lot about your
target market and give you a sense of whether you are being successful with
your campaigns to accomplish your goals.
Don’t get lost in all your analytics reports. Some stats are
much more important than others. Make sure conversions is at the top of the
list.