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[MUSIC PLAYING] You're likely already collecting a lot of data on your store and already using some tools to determine how your customers used your website and how they buy your products. We're going to be using two types of data, quantitative and qualitative, to figure out where our customers are most often on our website, what they do on our website, and how they use our website before making a purchase decision.
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Shopify already collects a lot of quantitative data for you. What price are being added to the cart the most, where customers are coming from, what pages are getting the most traffic, et cetera. However, there are other data collection tools you might be using already such as Google Analytics, Optimizely, VWO, Mixpanel, Case Metrix and Compass. Other things you might be using to power your business also collect quantitative data separate from your store, such as Billcheap, Facebook ads and Google ads.
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All of these collective quantitative data can help you in the exploration phase to determine where to start testing. We'll be using the Pareto principle or the 80-20 rule to help us identify where we should start trying to increase sales and optimize for conversions. What 20% of your products are bringing 80% of your revenue, what 20% of your pages are bringing 80% of your traffic.
1:19
To start you should be using Google Analytics and ensure you have your goals and funnels properly set up. It's also important that you've enabled demographics reporting and SAP enhance e-commerce reports. We've attached resources in this lesson to help you with that in case you haven't already. The first report you should look at is the landing page report, which is found on the behavior, site content, landing pages. Compare the top pages here to the total number of sessions you're getting to the site of where you will start testing.
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From here we can determine key pieces of information about this traffic which will influence what we test, change, or add to these pages. We can see what devices and browsers are used, what country that traffic is from, what market segments they belong to, what keywords they use to find this page, et cetera. All of these landing pages are the starting point of a customer's journey in your store from acquisition to activation to desire to purchase.
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However, since a majority of your traffic will only ever see your landing page, you'll want to make the best impression possible. Finally, remember that you can also apply the 80-20 principle to other places that your business is gathering quantitative data such as in Mailchimp or Facebook. What 20% of your email campaigns are bringing in 80% of your results. What 20% of your ad campaigns are bringing in 80% of your traffic or sales.
2:43
From there we can focus on the low hanging fruit and then scale our learnings to the rest of our store and other sales channels. Let's use a real life example of how I would do a quick and simple quantitative analysis of my landing pages using Google Analytics for my store. Looking at my landing pages report in Google Analytics, I can easily see which pages are receiving a majority of my traffic. A product page for a yoga wheel I'm selling is bringing in over 60% of my traffic and over 50% of my revenue, more than even my store's home page.
3:15
The bounce rate is higher than the average across my store. So there's definitely some potential there to lower that. This is also the first page I will focus on, dive deeper into the data on, and begin to form a hypothesis for tests to run. Diving deep into the quantitative data will provide a lot of information on the what questions. What devices are my customers using, what countries or regions are they from, what age group do most of my customers make up, what affinity categories, what market segments, what gender, what pages are they navigating before buying, what keywords they search to find this page, what are the sources of traffic.
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This is a data we want to use to begin to tailor our stores purchase experiences to the needs and habits of our customers. Again, while it's very likely you're already doing a great job of that, there is always room to improve. Diving further into my data I can see a significant amount of my traffic and revenue from my top landing pages comes from a mobile device. Specifically over 77% of sessions on this page were made through a mobile device which means any tests I run or evaluate should be done through the mobile or responsive version of his product page.
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I also look through the market segments ages and affinity categories on this page to ensure I'm targeting the right customers since I also see and already know that almost all of my traffic is coming from my Facebook ad campaigns. Lastly, I noticed a significant amount of customers exit after adding the product to their cart. Looking at Shopify and Google Analytics, I see 7.91% of customers add products to their cart, over 4% of my customers reach checkout and close to 4% make a purchase.
4:56
There's a significant drop off from add to cart to reaching checkout. Just by doing this simple and quick analysis, I'm able to see where I should begin focusing specifically when it comes to where I will do more research using the tools that provide me qualitative data. Now that I know the what's, I need to figure out the how's, and why's. The next lesson, we'll go right into that.
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How to get into the minds of our customers using qualitative data. We'll learn what tools to use and where to set them up for research before ultimately using that data to come up with a test. [MUSIC PLAYING]
