Last updated - May 15, 2023
Analytics tools help you to track your online marketplace performance with metrics. There are many metrics you can check. But some of those metrics are more significant than others. For example, the conversion rate will reveal more about your customers’ behavior than a simple metric time on the page.
Being an expert in online marketplace development services, Codica reveals the analytics tools and key metrics that will help you discover how your store performs. So you can make data-backed decisions and improve your performance. Let’s dive into it.
Key Metrics to Track E-Commerce Site Performance
Regarding the abundance of metrics that can be used to see the online marketplace performance, it is helpful to know the most important of them. Read on to learn what they are and how you can apply them.
Conversion Rate Optimization
This process helps you increase the number of conversions on your website or app. It means that a higher percentage of users perform the desired action through your solution. Such actions include purchasing, viewing an ad, or signing up to a newsletter. Here is how you can optimize your CRO.
- Optimize your website design
- Improve your website’s speed
- Discover which version of your website design elements perform better
- Create engaging calls to action (CTAs)
- Optimize your website for mobile
- Show reviews of happy users
- Offer discounts or free trials encouraging the clients to take action
Bounce Rate Analysis
Bouncing means leaving the website after viewing only one page without taking action. You can measure your bounce rate with the following equation: divide the number of visitors that do not take any action by the total number of visitors to your site.
When analyzing your bounce rate, consider the context. For example, certain pages, such as landing pages, may show a higher bounce rate than others. Or a blog post with a high bounce rate is still valuable if it brings you traffic.
Customer Journey Analysis
This metric analyzes how customers move through touchpoints and with a business or brand over time. Companies can learn more about their customers’ needs, preferences, and pain points thanks to customer journey analysis. So, you can find ways to enhance customer experience.
For example, Nina, a Software Engineer from the United States, might have needs different from Priya, a Regional Director from India, who travels a lot.
You can apply the following techniques to analyze your customer journey.
- Create detailed profiles of your ideal customers
- Identify the touchpoints that customers move through with your business
- Analyze customer behavior at each touchpoint
- Checkpoints where customers are frustrated or dissatisfied
- Use the above data to improve customer experience
Cart Abandonment Rate
This metric shows how many visitors added items to a cart but still needed to finish their purchase. A survey from Baymard Institute shows that the cart abandonment rate makes 69.99%. Almost 60% of US online shoppers do not complete the purchase because they are browsing or not ready to buy. This causes losses to online stores.
What can you do to reduce the cart abandonment rate? Here are several tips.
- Streamline the checkout process to make the purchase easy
- Show additional costs, such as taxes and fees, upfront
- Provide payment solutions common in the customers’ countries, credit and debit cards, PayPal, or other payment systems
- Send users retargeting messages reminding them to complete purchases with possible discounts or other incentives
- Check your website for fast loading and smooth work
Site Speed and Performance
Website work must be continuous and fast to deliver the best user experience. So, customers will stay longer with your online store and brand. Moreover, fast-loading websites rank higher in search engines as loading speed is a ranking factor. Below are aspects that can improve your website performance and loading speed.
- Using lightweight design elements and optimized development code
- Choosing a reputable hosting provider
- Storing frequently used content with caching
- Implementing a content delivery network for servers closest to users’ locations
- Regular monitoring and testing
Implementing Analytics Tools for E-Commerce Site Optimization
Using analytics tools can help you optimize your online store website performance. These tools help you fix broken links, slow page speed, and accessibility issues. For example, you can use such tools.
- Google Analytics
- Adobe Analytics
You get data on key performance indicators (KPIs) and optimize the user experience with the tools’ features. You can do the following by implementing the tools.
- Optimize your website loading speed and performance
- Improve features by analyzing which of them perform the best
- Improve design elements by viewing heatmaps with the most clickable components
- Optimize touchpoints that affect customer experience
- Learn which keywords users apply to optimize your content and internal linking
Analyzing and Interpreting Data for Actionable Insights
Key metrics that you check with the analytics tools provide you with valuable data. Backed with numbers, you can make supported decisions on how to enhance user interaction on your website.
By discovering patterns in user behavior, analyzing their interactions with your online marketplace website, and considering business indicator metrics, you can improve your KPIs. So you can keep your business running successfully.
Analytics tools help you in many aspects to run your business successfully. You can improve your commercial performance by checking and analyzing the key metrics. The tools help you understand your customers’ needs and enhance the user journey through your website. So you can improve your customer relationships and provide better services to thrive.