Sunday, July 1, 2012

Goals, Funnels & Filters; Oh My!


As Google’s dominance in the media world continues to grow, new areas of their portfolio have become more and more central to businesses and consumers alike. One such example is Google Analytics, the wildly-popular free analytics software used by large firms and small businesses across the globe for a variety of different reasons. Because the basic concepts of analytics involves analyzing and studying data, one of the areas that has become most central to the success of Google Analytics has been its ability to slice and dice the data. Three of the tools that most-easily allow marketers to do this are the Goals, Funnels and Filters tools. These three areas might be grouped together under the header of analytics tools, but each provides the user with a very different set of information and data. Furthermore, each can be applied in a very unique way to help businesses maximize their efficiencies and work on their inefficiencies.  
Companies have long set goals for themselves and their investors. The concept of setting your sights on a target and pursuing it is not foreign to any business. In the context of website traffic, the concept of creating goals for traffic is incredibly important and can have a tremendous impact on the bottom line of a company. Examples of the importance of tracking goals might include wanting to get people to sign up for your catalog or even request a sales call. All of these goals are set-up and executed with the intention of trying to get consumers to complete an actionable item. Many point to this one action as one of the most valuable areas of the software. “One of the best features in Google Analytics is the ability to set up goals and [analyze] the goal funnel [to] understand how to improve the user experience and website offer” (Nir, 2009). This concept of setting up goals works for large sites looking to study traffic, as well as for a small personal blogger looking to understand his or her traffic.
In the case of the Scitylana Analytics blog, setting goals certainly won’t be commerce and transaction related because of the nature of the content—but that doesn’t mean goals can’t be set.  In this instance, one such goal might be based around the interaction and length of time on the site. For example, Scitylana set up a goal set that executes successfully if a consumer spends 5 or more seconds on the site. While that number might seem arbitrary, a desire to figure out if consumers are truly spending time on the site or leaving is important to really understand the traffic. To take this example to the commerce world, imagine if there was a concern about consumers watching a 10-second splash video of the company at the beginning of loading the page. By creating this five second goal set, the marketer can study this data. In addition to the goal set of visit duration, there is also the concept of URL destinations as goals. While many companies use these unique URLs as goals to represent portions of a transaction, there is also room for this type of tool on a blog. On the Scitylana blog, one of the goals is to try and get other blogs to link to Scitylana for SEO purposes. Therefore, Scitylana created a blogroll that shows other blogs that are available. By setting these URL destinations as goals, the Scitylana marketers are able to determine which blogs on the blogroll are their most important and popular links. From this data, one could imagine how impactful this process would be in a commerce setting as businesses look to promote unique campaigns, products and offerings.
The sales funnel is another area within Google Analytics that has completely altered the way marketers can interact with consumer data. The most classic example of the successful sales funnel is the checkout process on a commerce-based website. In this particular case, the marketer is able to visualize the steps taken by the consumer on their way to a sales conversion. If step one requires filling out personal information, step two involves shipping and step three involves credit card information, it is quite easy to see where so-called “drop-off” is occurring as consumers navigate the sales process. Through this technology, businesses can manage and make adjustments to their efforts to try and enhance the experience for the consumer. If drop-off within the consumer funnel continues to happen on a subtotal page, one can infer that the consumer isn’t happy with the size of their purchase and the price. One workaround in this instance would be to offer a percentage off the total sale on purchases over a certain amount. This is just one example of optimizing the process via a consumer funnel and how Google’s technology helps marketers execute this reality.
The ability to segment data is central to the concept of filters—one of the main benefits to Google Analytics. Through this technology, marketers are able to decipher information about the types of consumers that are visiting the site and run reports on the content. From excluding certain IP addresses, to including specific subdirectories, Google Analytics filters are useful for understanding the patterns of consumers who meet (or don’t meet) certain qualifications. One area of filtering that is incredibly valuable to marketers is regional and location-based filters. There are numerous examples of information and data that is useless to marketers and the filters created in this scenario help to make this data easier to interpret. “Say if you’re a community college then maybe you only care about local traffic.  Maybe you are targeting a specific country where you have a sizable audience?  Or maybe you just know that International traffic is meaningless to you and you just want to filter it out all together? (James, 2008). By employing filters in this capacity, it becomes clear the value and significance of this data. This point is only underscored more when a marketer is paying for the traffic in a Google AdWords scenario and can filter out underperforming traffic.
While Google Analytics and these three particular optimization techniques are incredibly valuable, it is important to note that there are alternatives to this product. From in-house analytics tools to some of Google’s competitors, other options do exist in this space. The simplicity of the Google software has certainly made it the industry standard, but businesses have found a way to exist without Google’s approach being employed. That being said, Google’s technology platform has made the job of a marketer easier by using tools like goals, funnels and filters to help optimize the consumer experience.

References

James, K. (2008, Sept. 15) 7 Google Analytics Filters To Help Understand Your Visitors. Eduguru.com. Retrieved from http://doteduguru.com/id629-google-analytics-filters.html

 

Nir, R. (2009, March 4). 10 Must Track Google Analytics Goals. Web Analytics World. Retrieved from  http://www.webanalyticsworld.net/2009/03/10-must-track-google-analytics-goals.html

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