Monday, December 3, 2012

Goals, Funnels & Filters in Google Analytics


Introduction

Google Analytics provides many different metrics about your website visitors. Audience demographics, behavior and ecommerce information are just some of the useful metrics available in GA. But what if you need information on a specific event, like a conversion? Or what if you want to drill further down into your data? Or what if you need to have more control over segmenting your visitors?

Well Google Analytics has an answer to these questions, and they are goals, funnels and filters. All three of these help you to better understand your website visitors, and they are discussed further below.

Goals

Defining the goals of a website is one of the best ways to track and measure the effectiveness of your website. Goals should be tied to your business objectives that the website is supposed to accomplish, whether that is selling a product or gathering leads for follow-up sales calls. Goals can be set up in Google Analytics to track exactly what is important to your business. All websites should have at least one goal.

In Google Analytics there are four types of goals that can be created and tracked: 1) a URL destination goal, 2) a Time on Site goal, 3) a Pages/Visit goal, and 4) an Event goal (Goals, 2012).

A URL destination goal triggers a conversion when a visitor views a specified page on your website after completing a specific activity, like filling out a form, downloading a whitepaper or purchasing a product (Goals, 2012). As an example, we will use a company that has a website with the purpose of collecting sales leads. The main goal for this website should be users filling out the sales call request form. This goal can be set up by going to the Goals section in Google Analytics.

Time on site and pages per visit goals are useful for measuring website engagement. If you have content website and your objective is to get users to view as much content as possible, a pages per visit goal would be a good one to track.

There are numerous metrics that are tracked for each goal that is set up. Number of goal competitions, goal value in dollars, goal conversion rate and total abandonment rate are all metrics that are tracked for each goal. The source or medium for each goal completion is also tracked, along with the goal completion percent for each source or medium. This enables businesses and marketers to compare the goal conversion percent for each source and medium that sent traffic that lead to a goal conversion.

Funnels

For each goal, you can define a funnel, which is the path you expect your website visitors to take on their way to completing a goal (Lesson 6, 2012). There is a report called Reverse Goal Path that can also provide useful information about your website’s goal conversions. This report shows you how many users converted from each path. This can help you recognize funnels that you had not previously considered (Goals, 2012).

Multi-channel funnels are another type of funnel that shows how different traffic sources work together to create sales and conversions (About, 2012). I discussed the multi-channel funnels report last week, including how calculating the Return on Investment (ROI) of each channel can help you understand which channels are performing the best.

I also spoke about the importance of useing the multi-channel funnel report to spot trouble spots in your business’s conversion funnel. Spotting the point where potential customers are dropping out of the conversion funnel, and fixing whatever the problem is, can instantly raise your websites conversion rates. For example, if a lot of potential customers are dropping off on the page that asks for shipping information, maybe there is something wrong with that page, or maybe people think you are charging too much for shipping. Do some tests to find out. Make a discounted or free over a certain amount spent shipping campaign to see if that reduces the drop-offs on that page.

Filters

In Google Analytics, filters allow you increased flexibility with your data by letting you define what data is included in your report and how it appears. You can use filters to customize reports so that the most useful data is highlighted. Some popular uses for filters are removing traffic from internal company sources, restricting data for a profile or user, segmenting data and customizing data. The two types of filters are predefined filters and custom filters (Filters, 2012).

There are three types of predefined filters: 1) exclude traffic from domains, 2) exclude traffic from the IP addresses, and 3) include only traffic to the subdirectories (Filters, 2012). As a best practice Google recommends excluding all website traffic from inside your company because including this internal company traffic will not give accurate measures of your target market’s website behavior.

Custom filters offer you greater control of what data appears in your Google Analytics reports. Exclude, include, lowercase/uppercase, search & replace, and advanced are all types of custom filters. The exclude and include filters are the most common filters used, and are often used to segment data by geographical region (Filters, 2012).

By using profiles and filters, you can customize your data views. For example, you can create separate profiles with filters that segment traffic by referring source, geography or user-defined variable. Google recommends always keeping one profile with all your data, so that you always have access to all your data. Here is a visual that shows the example segments created with profiles and filters (Filters, 2012):


Using filters, you can set up a profile that only includes traffic sent by Google AdWords. This will help you to better analyze the website traffic that AdWords is sending your way. Another custom filter that will help businesses make better decisions is segmenting by geographic region. For example, say a company has four sales regions— Northeast, Southeast, Northwest and Southwest, and they need to know website metrics on each of these regions. Using filters is an effective way to segment website visitors so that each segment may be analyzed.

References

About this report. (2012). Multi-Channel Funnels. Google Analytics. Retrieved on 12/3/12 from www.google.com/analytics

Filters in Google Analytics. (2012). Google Analytics IQ Lessons. Google Analytics. Retrieved on 12/3/12 from http://www.google.com/analytics/iq.html

Goals in Google Analytics. (2012). Google Analytics IQ Lessons. Google Analytics. Retrieved on 12/3/12 from http://www.google.com/analytics/iq.html

Lesson 6. (22 October 2012). P.I. Reed School of Journalism. WVU. Retrieved on 12/2/12 from eCampus.

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