What is marketing analytics?

World of digital marketing has lots of data points to collect. With growing abundance of marketing channels and advertising methods, is it crucial to devote your time to marketing analytics.

Marketing analytics allows you to gather deeper consumer insights, optimize your marketing objectives, and get a better return on investment.

Common marketing analytics metrics

• Conversion — an event when a website used completes your desired action. Usually, we are talking about a purchase when we refer to a conversion, but it can also be a click, becoming a lead, etc.
• Click-through-rate — A ratio showing how often people who see your ad listing, end up clicking it.(CTR) can be used to gauge how well your ad is performing.
• Conversion rate — it’s a ratio that defines a percentage of users that have completed your desired action (usually a sale).
• Event — any action or behavior that occurs within ad, your website, or your offer. It can be a sign up, booking a demo, completing a tutorial, saving something in the cart, etc.
• Cost — one of the main metrics measuring how much you have spend for a certain ad, ad set, campaign, or marketing channel.
• ROI — it’s a ratio identifying the percentage of earning in comparison to how much you have spent on your marketing.
• ROAS — it’s a ratio identifying the percentage of earning in comparison to the ad spend.
• CPA — stands for cost per acquisition and refers to the fee a company will pay for an advertisement that results in a sale.
• LTV — LTV is a way to measure the value that one customer has brought to your business over a period of time.