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How To Set-up Conversion Funnels In Google Analytics

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Conversion Funnel is the tool that Google Analytics provides to analyse the flow of customer who finishes a predetermined goal. The conversion, most often is not a one step process. Conversion Funnel gives the diagrammatic representation of the entire process. The visitor may land on any of your pages, do some searches or may go through the reviews and finally may or may not purchase a product, in case of an e-commerce website. Google Analytics helps to analyse the behavior based on the Goal we set. It can be the purchase of a product, signing up for a newsletter, a subscription or it can be ending up in a thank you page. Conversion Funnel gives us the insight into the flow of customers to the predetermined end goal.

Benefits of Conversion Funnel

  • Identifies the conversion of visitors at different levels.
  • Helps to optimize the pages by identifying the exit rate at different levels.

ConversionFunnel 1

Setting up of Conversion Funnel

  • Click on the Goals option.
  • Select New Goals where we find Goal Setup, Goal description and Goal details options.
  • In Goal setup, we can set the goal. We can select goal from a set of predetermined goals or we can custom a particular goal.
  • In Goal description you can give the name of the Goal.
  • In Goal details, give the destination url of the goal. Suppose if the Goal is thank you page, the destination will be the url of the thank you page. Next we can assign a value for the Goal. It can be the cost of the product if we our goal is selling a product. Next is Funnel. In the Screen/Page field enter the url of the entering page. We can add more funnels depending on which path we need to analyse, that leads to the goal. Each Funnel can be given a name.
  • Select Create Goal to set up the Conversion Funnel. We can opt ‘Required?’ as Yes or No for the first page. If ‘Yes’ is opted, only the entries from the first page are counted.

Conversion Funnel Example

Let us discuss the following Conversion Funnel of an e-commerce transaction.

conversion funnel

This is the basic diagrammatic visualization of Conversion Funnel. We get the Funnel conversion rate at the first level. In this case it is 75%. The entry and exit of visitors at each level is also specified in the diagram. In this case 7529 people entered the site from home page of which 5682 people proceeded to the second level. In addition to this 2258 people entered the site at the second level and had a conversion rate of 14% to the third level. In this way we can identify the flow of people and the conversion rate at the specified funnels.  Here 495 people accomplished the set goal with 5.03% conversion rate. If we observe the funnel diagram we can see that 15 people made purchase directly. The number of people entering the funnel at each level is mentioned in the left side of the funnel diagram at each level. This is highlighted in green. Similarly the number of exits is represented in the right side of the funnel diagram, which are highlighted in red. The path of visitor, from where they entered at each level and to where they have gone, are also mentioned. Thus we can optimize the pages accordingly depending on the behavior.

In brief, at each level of the conversion funnel we can analyse the number of visitor between different levels. Also we get an overview about where people choose to exit our website. This is an intelligent insight on the performance of each level.

Few points to consider:

  1. Conversion Funnel considers the visitor as unique even if the visitor views a page more than one time during a single visit. For example, if a visitor views the home page 5 times is a single visit, which will be considered as one page view.
  2. A visitor will be considered as a unique visitor for each level if they follow different sequence of navigation through the web pages compared to the sequence we have set for the Conversion Funnel.
  3. The only thing Conversion funnel notices is the entry level and the exit level. The middle page views are not relevant for the funnel match.
  4. Back-filling of the higher levels in Funnel. Suppose a lower level in the funnel has more page views when compared to the higher level, then the higher level will be back-filled to show the same number at both levels.
  5. We can set the first step of the funnel as ‘required’. In this case only those visitors are analysed who enters through the first level. Thus the entries to the funnel at other levels will not be considered for the conversion rate.

It is necessary that we set goals and create Conversion Funnels right from the beginning of the analysis. This can give the clear picture regarding the flow of visitors. This helps in identifying the navigation between web pages thus helping to optimize our page for better online experience.

Image Credits – techwyse , apmblog.dynatrace

  • web-analytics

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