Behavior analytics or customer behavior analytics is about recognizing how consumers respond across each channel and communication point, say digital or non-digital and determine their actions. It helps to understand which section of the audience we should approach, which is the right channel, and what message our product should convey.
Why do Businesses need Customer Behavior Analytics
Understanding customer behavior assists businesses in many ways. Customer behavior analytics helps to optimize the entire customer lifecycle with various measures: Customer acquisition: By studying the customers’ behavior patterns and using behavior analytics, the companies’ marketing experts will target the most profitable high-value consumer segments and ascertain the potential offers.
Customer engagement: customer behavior patterns will help behavior analytics to provide a more personalized experience on the e-commerce website. Customers will get similar product suggestions that will also help in upselling or cross-selling.
Customer retention: Behaviour analytics helps to determine why customers are leaving. What services and products do the competitors offer. It will let companies upgrade their products and retain older customers.
Use cases of Customer Behaviour Analytics
The following are beneficial use-cases of Behaviour Analytics by Popular Brands:
- Westwing is one of the top international companies and is known for its home and living products. This company used Google Analytics premium to understand the cross-device utilization pattern and the purchasing path of customers. And most importantly, take marketing decisions according to customer behavior across devices. Google analytics premium helped to upgrade the company’s system, bring more accurate marketing decisions, and generate real-time customer behavior analysis reports. Additionally, Westwing company incorporated user-centered analysis, and also applied the cross-account conversion tracking feature in Adwords. Also, implement the Google Tag manager feature to update the measurement codes quickly.
- Lemonade is a New-York based insurance company, and it offers quick online services to get affordable home insurance and renters. The primary goal of the lemonade firm is to improve the number of policyholders. The company now uses mixpanel solution to understand customers’ behavior and their ever-changing needs. Mixpanel solution helped to increase the conversion rate by 500%. Lemonade offers personalized quotes for consumers, so they can buy policies that are right for them. Lemonade, with the help of mixpanel, measures and optimizes high-performing acquisition channels and enhances purchase funnels. This process makes it easy for customers to convert into loyal policyholders.
- Social media marketing and customer behavior analytics go hand-in-hand. Social media uses attractive pictures, videos, influences, discounts, and other strategies to optimize customer acquisition and customer retention. Various tools like Facebook Insights evaluate customers’ surfing behavior. Like the ads which the users click. Facebook will then keep showing similar ads and products. It also tracks the customers, their demographics, geographic location, devices, operating systems, and other parameters to offer a more personalized customer experience on social media.
Behaviour Analytics tools
Google Analytics
It will always top the list whenever we talk about the best analytics tool to analyze business data. It analyzes plenty of data to evaluate customer behavior and their overall journey. Google Analytics is free, universal, and highly robust in analyzing data. Secondly, this tool provides user demographics, in-market segments, and much more. Most importantly, it also helps a company to take marketing decisions and generates analysis reports on how well a company is handling its clients. Additionally, it gives information about the bounce rates of a product compared to other products on a specific e-commerce platform. Google 360 is the premium version of Google Analytics and prices range from and the price range is $150000 annually (invoiced monthly).
Youtube Analytics
This tool helps to analyze the viewers’ behavior and provides a comprehensive view of the reports generated by various metrics. For instance, YouTube Analytics analyzes the viewership of marketing ads. How many people viewed the ads, from which geographical location, and how many audiences left the advertisement in between; YouTube Analytics systematically works in building the marketing strategies on YouTube. It analyzes the websites where a seller shared his marketing ads. That will help him to spread his reach amongst the audience. Most importantly, this tool also just like Google Analytics, greatly help in customer acquisition. It enables content creators to track various channel-based metrics such as views, estimated revenue, subscribers, and watch time. Pricing: Free
SimilarWeb
It is a fast way to measure website popularity in terms of site traffic. SimilarWeb provides in-depth customer behavior analytics and audience insights. It analyzes customer behavior, helps in engaging the existing audience, and finds innovative digital strategies for future growth. SimilarWeb understands how users surf websites and mobile applications (this is the behavioral data that this tool collects). Companies use audience metrics to analyze customer behavior data in varied combinations to get answers to crucial business queries and get accurate and real-time reports. Audience metrics have several parameters like demographics, geographies, interests, and loyalty to audience behavior. Competitive insights are the next step. SimilarWeb helps to understand how the competitors of a company are performing and their reach amongst the audience. The trial version is free. Pricing not provided.
Conclusion
Customer behavior analytics helps to evaluate and understand customer behavior for optimizing marketing strategies and helps businesses to upgrade their products accordingly. Companies use customer behavior analytics to provide a more personalized experience to users. Google Analytics is universally used and is one such name that provides a comprehensive customer behavior report to business houses. This tool helps in customer acquisition and retention. The other customer behavior analytics tools include YouTube analytics, SimilarWeb, & Mixpanel.
