Digital Marketing Analytics
Digital Analytics

There are distinct levels of analytics on the path to a fully fledged analytics program. Each level is an order of magnitude higher in sophistication and resource requirements.

  1. Diagnostic – What happened?
  2. Descriptive – Why did it happen?
  3. Predictive – What is going to happen?
  4. Prescriptive – What actions should we be taking?

Purpose statement:

The goal of digital analytics is to increase the overlap between user expectation and user experience. – That overlap is the sweet spot where conversion happens.

This goal becomes a driver of other financial and business goals. It provides the business with the knowledge to make decisions that impact both revenue and user experience on the site.

Diagnostic Analytics – Answers only the what.

Most daily operation is 90% in this mode. It requires fewer tools and resources to answer most diagnostic questions.

Descriptive – Answers the why

Most companies are 10% in this mode. This requires significantly more expertise and time to address. Descriptive does not come from the data alone. It requires testing and analysis of different hypotheses.

Predictive – Future trends at a company, category, and product level.

This is an aspirational state for most organizations. It’s often talked about but very few organizations implements at this level.


  • Track a moving avg. – Show the trend line for the coming months.
  • Price analysis – predict the impact of changes on rev of offers.

Prescriptive – What should we be doing at a company, category, and product level?

This is the state where a company is fully data driven. Full commitment.

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