Alas Spring has finally arrived in Australia and I’m enjoying the slighter longer days amidst the ongoing struggles of dealing with the C-19 impact on society.
I generally follow the daily business happenings here in Australia and globally. For a number of reasons. Firstly, I seek potential businesses to contact for my current role and secondly I just like to keep abreast of the daily trends to have a better idea of the success stories (and failures out there). And of course provide relevant topics for our readers at Digital Fixation.
The boom of e-commerce and online retailing options in the news during our recent crisis brings me this week’s topic.
User Behavior Analytics (or UBA) and why they are so important to small to medium enterprises and larger organisations/multinationals alike.
User Behaviour Analytics typically refers to data that provides a deep glimpse into the actions of potential customers and active customers when they interact with your business online. They give you a clear and reliable picture of how your customers are engaging in relation to your marketing endeavours or on your website. They also provide deeper drill down into the customer experience more so than the number of users or pages viewed.
UBA are commonly used within ecommerce, gaming and social media. But in reality any business that’s looking to optimise marketing and sales activities should seek to utilise them.
Consequently they can better position you to maximise conversions and revenue. Given the power they provide, it’s a prudent decision to incorporate UBA into your business strategy on a daily basis for continued company growth.
How do user business analytics work?
By focusing on user behaviour, user behaviour analytics enables you to track the true impact of your business decisions on customers. And perhaps its biggest upside is providing an opportunity to locate opportunities that your organisation may have otherwise overlooked.
It offers a live view that allows you to segment customers, run detailed reports and understand everything from your customers preferences and pain points to special interests. Through UBA you can unlock such information as:
- How your users can respond to changes on your website
- What users will click on within a product page
- If, when and where users may struggle to navigate
- The time from initial landing to conversion
- Determining if your marketing endeavours are well received
- An accurate glimpse into the success of your advertising campaigns
The ultimate advantage of user business analytics
Research conducted by McKinsey has concluded that organisations leveraging UBA to generate behavioural insights generally can outperform their competitors by up to 85% in sales growth; as well as up to 25% gross margin. This highlights the power that User Behaviour Analytics provides for those who wish to achieve a holistic 360 degree video of their customers’ challenges and preferences. It will assist an organisation in refining the online features and products based on what customers find useful and what they would tend to ignore. You also get a clear glimpse at how your products and services are being used and what resonates as having true value from the customer’s perspective.
In order to completely get the most out of User Behaviour Analytics, it’s also beneficial to have a firm understanding of what you expect when your customers interact with you online. Perhaps developing what’s known as a customer journey map in which you can compare the user behaviour against. Or focus on customers who exhibit similar behaviours such as often leaving comments on your blog or ones who pose questions in a Q&A format. Regardless, these are all key components to an effective digital marketing strategy.
For the best outcome you’ll be using User Business Analytics to figure out what your customers think of your products and services. And then you can adjust accordingly to suit their preferences and needs. Ultimately you can increase customer retention and revenue. And that’s the bottom line of any business.
Feel free to drop us a line here at Digital Fixation and give us your thoughts.