What Is Digital Marketing Analytics?

Digital marketing analytics is the process of collecting, organizing and interpreting data about digital activity so marketers can understand performance and make informed decisions.

Reach, Impressions and Traffic

Reach usually measures unique people or accounts exposed to content. Impressions count displays. Traffic refers to visits or sessions arriving at a digital property. These terms are related but are not interchangeable.

Engagement Metrics

Engagement metrics can include likes, comments, shares, saves, video interactions, time spent and other meaningful actions. The correct metric depends on the platform and objective.

Conversion Metrics

A conversion is a defined action that matters to the business, such as a lead submission, purchase, booking or registration. Conversion rate is commonly calculated as conversions divided by the relevant number of visits, clicks or users.

From Metrics to KPIs

A metric becomes a useful KPI when it is connected to an objective and decision. For example, a lead-generation campaign might track qualified leads and cost per qualified lead rather than relying only on impressions.

Build a Simple Reporting Framework

1. Define the business objective.
2. Define the conversion or outcome.
3. Select supporting channel metrics.
4. Set a reporting period and baseline.
5. Identify what changed.
6. Decide what action the data supports.