You probably know all the metrics like the back of your hand, Google Analytics is your best friend, and tracking is your daily business. So far, so good... but the usual metrics are most likely worthless. Of course, these metrics aren't completely worthless, but observations show that they usually don't contribute anything to the bottom line. In other words, tracking is important, but other metrics are far more important for the bottom line.
You can track many metrics with Google Analytics. Ultimately, it's about distinguishing the important metrics from the less important ones. In real life, the saying goes: the customer decides at the checkout. It's similar with metrics, because in the end, what counts are the ones that bring in sales—and money.
First, discover 6 metrics that are often considered “very important” even though they are not, and then discover 3 points where intensive tracking is really worth it.
1. Clicks and page views
We've all heard it before: "How do I get 100,000 visitors to my website per month? ... I need more traffic!!!" There are plenty of offers circulating on the internet that promise exactly that: tips and tricks on how to get thousands of visitors to your website every day.
Too good to be true? Well, the promise is usually true and perfect when you get paid based on page views. But how well do visitors who are attracted to a website convert, what is the bounce rate, and how attractive is link spam on Pinterest, in forums, or on gutefrage.net?
Realistically speaking, this means that ad clicks and page views don't necessarily generate revenue. Rather, it all boils down to four separate points:
Visitors stay on the website and look around,
they may become a lead, for example by subscribing to a mailing list,
something will buy and
Goals or daily page views are counted and compared.
But at the end of the day, it looks like traffic is through the roof, conversions are okay, page views look decent, but no real revenue is being generated.
Conclusion: Clicks and page views alone do not generate sales.
2. Click-through rate (CTR)
One of the first things people look at in Google Analytics is CTR. A glorified metric that drives practically everyone crazy. They quickly make statements like, "Look, I have a 66% CTR!" More alert people in the business world promptly respond with, "Great... and how many conversions did that get you? 2? With 4,000 clicks? ... You're the hero!"
To be honest, in the real world, CTR doesn't necessarily translate to revenue. A look at Google bahrain phone number data AdWords statistics usually reveals even more interesting information. The keywords or ad groups that convert best and generate the most traffic often have a low CTR. And yet, they still lead in revenue.
How can this happen? A low bid on a keyword means spending less money. This leads to a lower position, more competition, and ultimately a low CTR. But the conversion rate may skyrocket.
If you have an average CTR of 3.49% across your entire advertising account, no one is patting you on the back and saying, "Well done!" Rather, 3.49% is "not good." With one exception: if the average CPC (cost per conversion) is five times lower than the average sales revenue, then the math is correct.
That's why CTR is not the gold standard to which everything should be measured.
3. Impressions
Let's say you have a perfectly normal store – you sell... shoes. On launch day, 40,000 people visit your store. In other words, your Google AdWords ad is working. Then you take a look at your accounting and notice that only €500 in sales were generated.
That's the point – impressions on Google AdWords are good, and you look good at first glance if you can say, "Hey, our product was seen by ... people today!"
Do you know all the metrics you track in Google Analytics?
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