Using Digital Analytics in Marketing

Using Digital Analytics in Marketing
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  • 0:03 What Is Digital Analytics?
  • 1:57 Types of Digital…
  • 2:55 Payment Metrics
  • 3:55 Emerging Areas for…
  • 4:53 Lesson Summary
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Lesson Transcript
Instructor: Sunil Hazari

Sunil teaches in the Business School at a state university in Georgia. He is also a Digital Marketing Consultant in Atlanta.

In this lesson, we'll illustrate how different types of digital analytics can be used to fit the overall marketing strategy that supports an organization's goals. After the lesson, try your hand at the quiz questions.

What Is Digital Analytics?

Joe Brand, the new marketing manager of an online clothing store, is interested in using Facebook as a marketing channel. Before Joe makes a decision to invest in Facebook advertising, he wants to learn more about how his company will be able to track whether or not advertising on Facebook is effective. To do this, Joe will need to know more about digital analytics.

Digital analytics helps marketers understand the results of a marketing campaign, using specific metrics which helps support organizational goals. Some examples of these metrics can be: return on investment (or ROI) shown by increased sales, higher brand awareness, social media mentions, or higher search volume on search engine websites.

The most useful type of analytics is the one that matches the goals the company is trying to achieve. For example, if a company is trying to track mobile users on Facebook, only digital analytics obtained from mobile users, such as the amount of time spent on a website, the number of times the Buy button was clicked, the social shares of the product, etc. would be relevant to extract from the analytics data.

Once a marketing strategy is in place, the marketing plan calls for implementing the 4 Ps of marketing.

These 4 Ps refer to:

  • Product
  • Place
  • Price
  • Promotion

It now becomes important to track how well a promotion (such as advertising) is meeting the needs of consumers and providing the company a return on investment. For example, a Facebook post on the company's page can lead to conversations about a brand and attract a large audience, which in turn can result in increased sales. The sales can now be directly attributed to the Facebook post. In this case, the digital analytics provided by Facebook can help Joe Brand identify the type of post that leads to a product being popular and generating interest among consumers.

Types of Digital Analytics Data

All websites that offer an advertising platform (such as Google and Facebook) include a tool that can be used by the advertiser to track user behavior. You may have heard about the term big data, which refers to huge amounts of data sets that are available to companies on which decisions can be made. This data may not only be structured (or arranged neatly into columns so analysis can be run) but also unstructured (such as photos and videos about the product uploaded to a social media site). The challenge is to determine how data can further be sliced into additional parameters, such as time of day where the site was most visited, the types of products that were popular, and the demographic of the audience that is interested in a particular product. While these may be relevant to a company, another company may only be interested in tracking the number of followers on social media, the geographic location where users are accessing the company website, or the time spent on the site.

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