Hey everyone welcome to the Effective Ecommerce podcast in this episode I’ll be talking about how to 8020 your business using both Google Analytics data and sales data and this is a very important episode cuz I’m gonna show you the power of the 80/20 the Pareto principle and more specifically how you can interpret your data to get more success and more sales more profit to your website and it’s very simple principles. So we’re gonna take a look at Google Analytics. So we’re gonna ask a few different questions and then we’re gonna find some answers and we’re gonna ask some more questions. So let me quickly tell you what some of the questions are that you’re gonna want to ask and you’re gonna want to get answers from in Google Analytics where is most your traffic coming from where is your highest converting traffic from coming from. So this is important because the traffic that’s converting really well you want to find out where is it coming from and you want to try to get more of it what traffic has the most potential where are what are your top landing pages what are your top exit pages and you want to know what your top landing pages are because you want to know if you find out a lot of people are coming to these landing pages you want to try to figure out how you can convert them better.

Maybe they’re going to a page that only has a one percent conversion rate and that’s your highest landing page if you can get that to 2 percent or 3 percent conversion rate you’re gonna get a lot more sales and I’ll explain this was hugely important and powerful for me I’ll explain that later what are your top exit pages and one of the things I want to say is you know also I don’t know if I put this here but where most your sale is coming from and for me most of my sales were coming from AdWords and product listing ads we’re going to be looking at some old data here just because I don’t want to share you know my most recent data and this is the data this is real data from my dance clothing company B dance wear and I just want to do a quick let’s want to do a quick plug for the AdWords course that I have coming out tomorrow and you’re gonna see and then i’m showing you real data. So we’re gonna see in the data how important AdWords and product listing ads also known as google shopping ads have been for my companies and that course will come out tomorrow and then teach you all the tech tips and tricks and everything I did for AdWords but anyways when I analyze my data I see that AdWords leads to a ton of my sales and. So what I realize is I need to get really good at this and I need to get better I need to get more traffic and better quality traffic from it. So anyways that course is coming out tomorrow you can click up here if you’re watching the Youtube video or you can go to effective e-commerce comm if you’re listening the podcast one last thing to note this podcast is also going to be a Youtube video with walkthrough tutorials but I’ll do my best for people that just are getting the audio version to explain everything as much as possible. So after we’re done with all those questions we’re also going to try to figure out we’re gonna analyze sales data and see you know who are the top 80% of your customers where does most your revenue come from and we’re gonna dive in deep into that but let’s start with the Google Analytics data right here. So first thing you want to ask yourself is where is most your traffic coming from and to do that you go to acquisition all traffic source slash medium. So for me you can see most of my traffic is coming from Google organic then it comes from Google CPC which is AdWords you know paid ads then it comes from direct slash none and then being underscore Yahoo CPC. So something to note about that is just because it says Google organic doesn’t mean you don’t know what people are typing in to find you and I find a huge percentage of people are typing in be dancewear. So they already know about us.

One of the things I do when I look at this data as I say okay where’s most of my traffic coming from well the top sources are by far organic paid traffic and then direct. So let’s focus more on those those three things I do some Facebook stuff I do some blog stuff but that’s and I put a lot of effort let’s say I were I was putting equal amount of effort into the all these different traffic sources what it’s teaching me is I should really only focus on organic and paid ads and probably for me personally even more. So on the paid ads side of things specifically because a lot of the organic traffic and a lot of the direct traffic people are first finding me from paid advertising. So now I know a little bit better how I should be spending my time and if you look gue –gel CPC is my number one revenue source as well. So the next thing you’re gonna ask yourself is where is your highest converting traffic coming from and no surprise when we’re looking at this data and this isn’t all the data but it’s most of it actually being organic that’s pretty well for me and. So does direct slash none. So maybe I want to try to work a little bit on my Bing organic data and I want to try to figure out how to get more people directly to my website and it’s got almost a double the conversion rate it’s 7.1 percent versus organic and AdWords which is at four point three and four point six five percent. So that tells me that people like to come to my website browse around and then they come back and they directly type in the URL. So now I’m know now I know how do I get more people to directly type in the URL and part of that it’s going to be obviously ramping up the paid ads and ramping up other methods that people find me but it’s just an interesting insight but the other interesting insight from this data that I see is Bing organic converts. So well for me.

Maybe I need to spend a little bit more time on Bing ads because Bing ads and Bing organic are the same people and I know that like Millennials don’t tend to use Bing but dance moms and people that maybe aren’t as sophisticated at the Internet are more likely to use Bing and maybe they’re more likely to convert on my website for whatever reason but this is interesting data nonetheless and something to store away. So the next thing I would ask myself is what traffic has the most potential and I’m not sure I wrote this down and I can’t remember exactly what I meant but you know I think it’s just looking and saying maybe some things that are underperforming. So the referral traffic from my blog and the referral traffic from Facebook is interesting the other thing I think what what I meant by this is where are you spending your time you’re only spending a little bit of time and what I saw was Pinterest Pinterest for me and Pinterest ads I was only spending a little bit of time on Pinterest ads but yet I was getting pretty decent results and then obviously here’s some face book ads and some other stuff but I look at like what things am I spending almost no time on that are getting decent results and this is outside of Google Analytics but another thing I realized when I 8020 my business is Amazon I was making I think you know 6070 thousand dollars in revenue on the website in ten thousand dollars on revenue on Amazon and I was doing no work on Amazon I barely did anything on Amazon. So what that said to me is hey maybe I should spend a little bit more time on Amazon just an interesting thought but you know it was definitely worth trying out the next thing I would ask myself is where what are my top landing pages and the way you would do that is you would go into behavior then you would go into I think site content and then landing pages and there’s a few different things you were going to want to look at here too. So when I look at this not surprisingly for me my top landing page is my home page and that’s just slash if you look at the landing page URL and then also slash default ASP those are both my home pages and that makes up about 13,000 of my landing page sessions.
That’s about a third of my total landing page sessions is 42,000. So about a third of my sessions people are landing on my home page next up is by colors page and the colors page what it is basically and I’ll show everyone watching the video is it’s just a list of all the different colors that we have our dance clothing in and. So what I realized is and originally it just it just had the swatches of all the different colors but what I realized is well at the top because if it’s just a landing page with all the different colors that’s not very good converting. So what I did is I added a little banner that says all our dance work comes in two hundred-plus colors here are the most popular dance clothing items and. So at least there was links to if someone was searching for instance let’s see what color like aquamarine dance shorts a lot of times it would take him to this page and his page would just have a bunch of color swatches. So what I wanted to do is make it easy for them to go to the correct page that they’re trying to find. So I put at the top of the page a link to a link in an image with our jazz pants a link in an image with our highway shorts a link in an image with a circle skirt same thing with booty shorts and regular brief which are all our top-selling products and that increased the conversion rates and as you can see if you’re looking at the data my conversion rate originally was well actually I think originally it was at like 1% but I was able to get it up to 3.5 6%.

This was my third highest landing page and I was able to increase it the next thing you can do is you can see what product pages are getting the most people landing on them and what are the conversion percentages. So I see for me for booty shorts I had almost a four percent conversion rate circle dance skirts had almost a four percent conversion rate but leotards only had a two percent conversion rate. So what I want to do is figure out why is that and there’s a bunch of different ways to do that there’s some other interesting information you can find out here as well if you click the e-commerce tab at the top you can also see the per session value and you can sort by what what landing pages has the highest per session value and you want to make sure you get statistically significant data I mean if it only has one session going to it and it’s making $250 per session that doesn’t really mean a lot but if it has you know like 131 sessions going to it that’s the shopping cart for me 93 one-page checkout. So we got basically you want to find you want to find what landing pages are getting you the highest per session value and try to figure out how you can drive more traffic there maybe that means that you should be running ads to it maybe that means a lot of different possible things the next thing I like to look at are what are my top exit pages and the reason for that is you want to see where are people leaving your website and how can you fix it. So one of the top exit pages for me I mean it’s the same usually as the landing pages but I look at the colors page is one of my top exit pages.

How can I do a better job of getting more people on to that website you want to also look at maybe what landing pages have the highest bounce rate and you can sort that and once again you want to make sure it’s statistically significant data and for everyone listen to the podcast I you know I realize as I’m doing this it probably helps to see the videos I’m hoping this is still valuable I think in the future I will do just straight audio podcasts for the most part because you know I know a lot of people are listening to this in their car but I’m working on doing a better job of making it something that’s easy to listen to but if you haven’t yet I highly recommend go to my youtube channel to see to see what I’m doing and to see the data. So one of the one of the pages that has a pretty high bounce rate for me is the dancer of the month we do articles about dancer of the month I got 350 for people to this page but an 88% bounce rate like. So they only went to that page and then they bounced. So I got to think how can I convince them to stay longer and maybe I add a link on that page that that’s something catch you that that’s gonna make them more interested maybe some something even clickbait to get them to read another article or something you know interesting like that the next thing I like to look at as well is.

I said paid advertising it’s been hugely important especially for this dance clothing company I mean it’s led to millions of dollars of revenue for me. So what I like to do is look at what are my top converting campaigns and to do that you’re gonna go to acquisition AdWords there’s a few different ways you can do it you can look at campaigns for instance that’s probably the easiest way and you can see the cost versus the revenue. So what I like to do sometimes is sort it by revenue and one thing to note is you can always export this data into a CSV to more easily manipulate it because one thing you might want to do is compare the amount of money you’re spending to the revenue and see which one has the highest return. So for instance my high waist dance shorts product listing ads that’s what PL means here I always dan short’s product listing ads have a cost of $1,300 and a revenue of almost $4,000 which is great but then I look at my high waist dance pants product listing ads and they have a cost of $200 and a revenue of almost thousand dollars. So what does that mean to me that means to me I need to figure out why this high-waist dance pants is doing. So well and maybe raise the Brit bid I mean it’s a 10x ROI I’m getting right there. So I’m gonna look through all this data and then dance leggings product listing ads it’s $1400 cost $1600 revenue that’s not very good I’m gonna want to see you know maybe I need to lower my bid maybe I need to add more negative keywords I need to go through all this different data and try to figure out what campaigns are the winners and figure out what I’m doing right in those and then turn off the losers and as you can see product listing ads are like my top campaigns by lar this number one campaign is just a it’s just a generic it’s just our keyword it’s people type in beat answer they’ll see that ad but most of our traffic comes from product listing ads also known as Google Shopping ads which made me realize all my products should have a product listing ad because originally I only had it for a few but then I added all my products. So that was data that I learned by looking at the analytics.

Now that we know a lot of information about it stuff that we can learn from Google Analytics let’s take a look at information that we can find from looking at our sales data and everyone’s sales data is gonna look a little bit different the data if you’re watching the video I have is just generic you know it has the order ID customer number and then it’ll have things like the payment amount and I like to manipulate this in a CSV file and sort it from Z to a that might take a second. So I sort the payment amount. So the highest converting or that the highest pay amount is at the top and some of the questions I’m gonna ask myself is where do these people that spend a lot of money where do they come from and I see certain patterns and I deleted a lot of the data not to give it a weight away too much but I noticed a lot of them came from like dance studios in California those are some of our best customers and part of that’s because we have you know in personal relationships. So what do I learn from this data how do I get more in person relationships maybe that means I need to go on to a bunch of different dance studios in California and meet them in person and say hey yours we have to offer also though equally as important is some of them aren’t from California how did these people find us and for me one of the big things that I learned early on is our biggest most of our revenue comes from dance studios. So I need to target more dance studio. So in this time period it was an arbitrary time period I picked we had two hundred seventy two thousand dollars and sales and a total of I believe three thousand one hundred sales all right. So let me let me do some quick calculations and you can scroll and you can see where most your sales are coming from. So the top 150 orders out of those three thousands makes up a third of our revenue and I can keep scrolling down and see even more of that data let’s see the other thing I realized is from the top 500 sales. So in in ranked of order value. So the the top highest convert the highest payment amount orders the top 500 or. So make up two-thirds of our revenue. So the the bottom 2,500 sales make up only thirty three percent of our revenue. So how do I get people to order more and bigger stuff well one of the things I realized is it’s dance studios or people placing pretty big orders and I wanna how can I get more of that some other things you might ask is what do they have in common for me obviously their dance teachers and dance studio owners but for you is gonna be something different for performance nut butter for instance it might be that they’re marathon runners I realized that marathon runners buy my product in bulk because they have to train every day and they burn. So many calories just a hypothetical one how can you get more customers like this.

I looked at this data and I said okay dance studio owners and dance instructors keep coming back to my website and they keep ordering again and again and they order big orders how do I get more of them well maybe I’ll send out catalogs or maybe I’ll go in person to dance studios where do they what kind of websites are they hang out what kind of conventions do they go do and that’s the next thing I would talk about are what are the top magazines blogs and forms people like this hang or to the top in-person events they go to maybe you should go to that event maybe you should talk to people for performance nut butter I realized a lot of people on the ketogenic diet liked my product. So I just signed up for a keto event I’m gonna go to the keto event and I’m gonna network and I’m gonna meet a bunch of different people where do people like this also shop maybe totally unrelated. So for be dance where I might look at this and I say okay I might go in interview a bunch of them and say what other kind of companies do you work for and maybe I make some kind of connection that you might not have ever thought about maybe they buy a certain type of lipstick and I should you know try to do a collaboration with that lipstick company obviously a lipstick company is too big to want to deal with me but maybe for performance nut butter I realize that they also buy a certain type of shorts or a certain certain product that’s totally unrelated to mine but maybe we could do some kind of collaboration an example of this actually is I realized that for obstacle racers a lot of obstacle racers buy my product one of the things that they do is they buy a certain brand of socks and it’s from a friend of mine actually and. So we’re gonna do a collaboration socks and nut butter on the surface have nothing to do with each other but I realized that there’s overlap in the the customers that we have what other type of non-related products that they buy I just talked about this and how can you convert customers that have this potential. So basically how do you get people that are only maybe gonna buy one time how do you get them to buy more than one time. So for me I’m it might be sending them coupon codes it might be a bunch of different stuff but it’s just trying to look at your data and figure out what what do they do that makes them into bigger and better customers. So with all that being said the key takeaway from this episode is look at your data really mine it for the gold nuggets and I want to do one last shout out tomorrow it’s tomorrow I’m launching the AdWords and product listing ads course I’ve been working on this for years I mean I’ve been working on AdWords for five six years now and this is something that people ask for again and again but more importantly I think a lot of people don’t even know that they should be asking for it I have a Facebook Ads course which is great and I really do believe it’s a good core but I’ve made. So much more money off of AdWords it’s just one of those things that right now it’s not as sexy for whatever reason but I think that’s crazy I think AdWords converts way better actually I know it converts way better especially if you’re selling a physical product and the reason is people are searching for your product and then you’re showing them in that people are searching for instance for me by dance pants I want to show them an ad right away on Facebook they’re not searching for that they’re looking to hang out with their friends.

If you’re watching a Youtube video you can click in the upper right-hand corner and I’ll have a link to the AdWords course that’ll be launching tomorrow if you’re just listening in the podcast go to Effective Ecommerce Com/AdWordsCourse I believe or just go to effective you can’t effective e-commerce comm and you’ll find it you’ll find the course in the BI courses section really excited about this I’m gonna be doing a special promotion as a reminder I think it’s only gonna be $97 for the 1st during the pre-sale period. So $97 is a great deal especially because it comes with a free one-on-one consultation and which is a 30-minute consultation with me and I usually charge $100 for that. So right away that the course pays for itself and then I will also introduce you to everyone else that buys the course assuming you want to be introduced to them if you want to stay private you can do that as well and the reason for that is that way you guys can start in AdWords mastermind and I’ll also put you in my private Facebook group and it’s just that I’m trying to make this a no brainer on whether or not you should buy it. So anyways that’s my plug for that make sure you check that out tomorrow when it launches thanks everybody for listening in this episode make sure you go to iTunes and give it a five star review and have a great rest your week