One of the main indicators in marketing is ROMI, it is also the return on investment in advertising, and it is critically important for it to correctly calculate its income from online sales. And, on the one hand, entrepreneurs agree with this, but on the other hand, many are satisfied with “approximate” accuracy in calculating it, not noticing how an “insignificant error” at best deprives them of part of their earnings, at worst – leads to losses.
Web analytics currently have many tools available to improve the accuracy of this calculation. But for some reason, many people forget about them.
What are the main mistakes in setting up web analytics that can be fatal for a business?
Ecommerce is not tracked
In 2017. in about half the cases, agencies still have to set up revenue tracking themselves, even for multi-year online stores. And if this was compensated by a high-quality connection with CRM, but more often not – their owners simply do not know how much money each promotion channel brings them, and whether it brings them at all.
No call tracking.
Suppose we have, on average, 50% of orders received through the basket, and another 50% through calls. And the latter are not tracked. According to our calculations, without calls, promotion channel A gives a profitability of 50%, and channel B – 200%, and the first one does not suit us at all. We turn off channel A without ever knowing that, together with orders by calls, its profitability was 300%. The money is lost.
There is no connection between web analytics and CRM
Some people think that web analytics should end with a “thank you for order” page. This is possible if the customer pays for his purchase at checkout. Otherwise, we tracked the nominal money, but not real money – the client can still refuse and the order amount will turn into 0.
To take into account the real costs and incomes from each of the promotion channels, it is necessary to clearly understand in numbers how much real, and not nominal, money customers brought from each advertising channel. Otherwise, you can be sure that the advertising is going well, but in fact you are approaching bankruptcy.
Interaction of promotion channels is not taken into account
The phrase “multi-channel sequences” can even be terrifying. Most site owners focus on one of two standard attribution models (determining the value of a click): either the first channel gets all the value, or the last one.
Moreover, if the user makes a decision in more than one visit, the entrepreneur loses sight of the entire chain. The understanding of the contribution of each participating promotion channel to the final purchase is lost. To avoid this, you need to use more advanced attribution models.
Clients’ intermediate steps are not tracked
It is critical to know how many customers you are losing at each stage of the sale: how many go to the cart, how many of them checkout, how many confirm it. Sometimes such tracking helps to understand that the problem is not with the promotion channels, but that users are scared off by a certain stage of the purchase.
No tests and optimizations performed
Analytics is not a sentence, but a guide to action. Systematic testing of your pages, advertising texts, changes in the assortment, technical features of the site can improve sales several times in two to three months.
Analytics not configured at all
It is hard to believe that now there are still commercial sites without tracking any indicators, but they remain. I think no explanation is needed.
Whatever means you have, whether you keep a record of customers and calls in a professional CRM system or a pen in a notebook – competently setting up web analytics is possible for you, and it is able to give you a fairly objective picture of the financial efficiency of efforts on the Internet, help you quickly make correct solutions. In the constantly changing conditions of the Ukrainian market, this can become vital.