The Importance of Analytics in Digital Marketing

Importance of analytics

The Importance of Analytics in Digital Marketing

It won’t be an overstatement to say that the internet has changed the way of our life. It has altered the medium through which we communicate, the way we travel, how we order food, and even how we do business. Today, every successful brand has one thing in common. Do you know what it is? The online presence! Nearly 2 billion people shopped online in 2020. The global e-commerce scale is expected to surge to $4.8 billion. Hence, these facts are enough to establish that online presence is essential in the present times.

Perhaps this is the reason why more businesses are considering turning online. This rise of online businesses in the market has parallelly led to the digital marketing industry’s surge. With social media being one of the most influential markets, it is essential to use digital marketing analytics to maximise the benefits. Hence, in this article, we will be discussing why analytics is critical in digital marketing.

The Evolution Of Digital Marketing

Marketing and business in the present world are like synonyms. One cannot exist without the other. Like the internet, along with social media, has boosted the “Digital era.” 

The medium of marketing upgraded to digital platforms, introducing “digital marketing” to the world. While marketing is about making the consumer aware of brand presence, digital marketing functions differently from traditional marketing. Unlike the latter, digital marketing targets specific audiences for their advertisement or promotion. 

Digital Marketing uses analytics and intelligence to make smart estimations that allow the brand to understand its consumers better. 

To answer what is digital marketing analytics? It allows the brands to be more precise with their targeting and comprehending what captivates their consumers the most. Having good marketing analytics tools gives a business an edge over other competitors. We also state that marketing became a lot more customised due to digital marketing. 

Understanding User Behavior

In the previous section, I mentioned that digital marketing analytics tools help the brand study and understand its consumers. Let’s understand how. 

The marketing analytics tools provide data on the consumer’s behaviour, likes and dislikes, buying habits, and other information. This gives the brand a holistic idea about how they can customise their marketing to convert the audience into consumers. 

Data such as demographics, age, location, and others play an essential role in personalising your marketing campaign

As an online business, understanding what appeals to your consumer helps you offer them relevant products and saves you from wasting resources by eliminating the irrelevant ones. 

Difference Between Digital Analysis and Digital Analytics 

It is easy to get confused between analysis and analytics. In fact, a lot of times, they are thought the same thing. 

But to decode them, let’s understand them separately. So, what is digital marketing analytics?

Simply put, digital analytics comprises the tools and resources used to gather data on the consumer. It also helps the companies understand the consumer’s needs and wants and, consequently, align their goals based on judgment. 

Digital analysis is a subset in the bubble of analytics. By this, I mean, once a brand has gathered enough data through analytics, then the process of analysis begins. 

Both analytics and analysis are essential for an accurate outcome. Without your analytics, you won’t be able to gather the information on your consumer, severely affecting your marketing. Similarly, without analysis, the data you collected through your analysis will be of no use. 

Benefits of digital marketing analytics

We have extensively discussed the essential benefit of digital marketing – Understanding the users. But of course, it is not the only benefit. Below are the additional notable perks of digital marketing analytics –

Make Predictions 

In the above section, I mentioned that a brand needs to incorporate both analytics and analysis accurately for a successful result. One of the huge perks of digital marketing analytics is being able to predict future trends. No, I’m not saying analytics will give you the superpower to look into the future. Okay, let me explain the process.

When a brand studies its consumers using marketing analytics tools, it is based on the consumer’s history. Through analysis, a digital marketing expert will observe the trends and patterns that form consumer behaviour. 

Hence, the importance of analytics can be understood by the fact that it allows the company to predict future trends and regulate their business to engage users and create demand in the market

Personalizing The Marketing Campaign

What is something that is similar between the successful brands? They are very clear about their target consumers and what they offer them. This is a result of excellent analysis of consumer. 

Learning your target consumer’s requirements and desires will allow you to devise your marketing campaign effectively. For instance, you will be able to pinpoint why should they choose you, what benefit will they reap, and how do they, as consumers, connect with your brand. 

The data will also allow you to personalise your campaigns so that the intent is apparent. Personalised campaigns witness better engagement and hence, build trust among the consumer regarding the brand value. 

Furthermore, once you have analysed your campaign’s outcome, you will assess the quintessential aspects.

  • What is working for your target consumers?
  • What appeals to them? 
  • Why will they choose your brand over others?
  • What are aspects with which the consumers feel connected?

The analysis will help you boost your research and investment in the positive aspects. Notably, it will also let you drop or modify the parts which are not functioning. 


Based on the knowledge we have obtained till now, it can be concluded by saying that analytics is the digital marketing soul. Your digital marketing campaigns are bound to collapse if you don’t understand the importance of analytics. 

Therefore, to make your online business more accessible, appealing and accepted among the consumers. You will need the power of analytics in your digital marketing campaigns to boost your business.

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