(10) Understanding The Source Of A Drop In Conversions
If you observe a sudden decrease in conversions and seek to understand the underlying cause, leveraging Google Analytics can offer valuable insights. While pinpointing the issue may be straightforward for small businesses with straightforward marketing approaches, it becomes more complex as you broaden your marketing channels and run multiple campaigns concurrently. Identifying the precise channel or landing page accountable for the decline can streamline your investigation process and save time.
However, it's essential not to immediately attribute a drop in conversions solely to a marketing channel issue. Google Analytics can uncover other contributing factors, such as alterations in the funnel flow. For instance, the addition of extra shipping costs might dissuade customers from completing their purchases. Therefore, it's vital to consider all potential causes and avoid confining your analysis solely to channels.
To commence, let's consider the scenario of the Google Merchandise Store property. When assessing a drop in conversions, you might have a specific date in mind or notice a general decrease in sales over a certain period. This decline could stem from various factors. Sometimes, you may already have a targeted date in mind, while other instances necessitate identifying trends or patterns. The objective is to discern when the decline in conversions commenced and explore the root cause.
Firstly, let's delve into the conversion data. Various reports are available for exploration, such as events, conversions, or monetization reports. For our case, let's focus on revenue. Upon comparing October to the preceding month, we observe a 43% decrease in total revenue. It's crucial to acknowledge that this decline primarily results from a notable surge in the previous month, rendering October's performance comparatively inferior. This initial analysis sets the stage for further investigation.
Subsequently, we must ascertain the reasons behind this decline. In the case of the Google Merchandise Store example, we've already identified a potential factor contributing to the decrease in conversions. Rather than a decline in conversions per se, there was an unusually substantial spike on September 27th, which skews October's performance negatively. However, in your scenario, the focus would be on pinpointing the specific channel responsible for the conversion decline.
To achieve this, let's delve into the acquisition reports. Ensure the time period is accurate and review the percent changes and values for each channel. While various metrics can be analyzed, such as users, prioritizing conversions or purchases is vital for gaining comprehensive insights. In our example, organic search and direct traffic exhibit a 28% decrease, yet this alone doesn't elucidate the 40% drop. These are merely fragments of the puzzle. Intriguingly, paid search conversions have surged, while display ads have consistently failed to generate conversions. It might be worth considering discontinuing display ads. However, the most significant change is evident in email traffic, plummeting by 82% from 659 to 114. This suggests that email might be the primary factor.
Once you've identified the channel, it's time to delve deeper. You can scrutinize landing page views and specifically filter for email traffic to determine if a particular landing page contributed to the decline or, as seen in the case of the Google Merchandise Store, the spike in traffic. If UTMs have been utilized correctly, further analysis of email campaigns is possible. By incorporating secondary dimensions, such as session campaign, deeper insights can be gleaned. In our example, the September email campaign witnessed a substantial number of conversions in the preceding month but experienced a significant drop in the subsequent month, plummeting by 90%. This email campaign emerges as the culprit.
By leveraging UTMs and Google Analytics, you can pinpoint the specific email or campaign responsible for the drop in conversions. Armed with this information, you can make well-informed decisions and implement appropriate measures to enhance your marketing endeavors. In the case of the Google Merchandise Store, it facilitated the elucidation of the spike in the previous month, which consequently led to a decline in conversions.