Basics of Analytics

Analytics is the discovery and communication of meaningful patterns in data. As the market is changing continuously and customer is getting more and more aware , many of the firms and even the small businesses are using Analytics. Analytics helps in finding the common patterns , helps in deciding your long term plans, help in predecting performance and much more.

This post is not about how to implement analytics in your website or app but this is about what is analytics, what are terms related to it so that you can better understand advanced analytics posts.

Commonly used terms in Analytics:

Dimensions and Metrics:

Dimensions describe characteristics of your users, their sessions and actions.Metrics are quantitative measurements. For example City is a dimension and No of sessions is a metric , browser name is the dimension and pages/session is a metric.

Session time:

Consecutive activity by the same user. In google analytics if a user is idle for 30 min a new session gets started. For example if user is accessing a website at 12:05 , 12:10 , 13:10 and 13:20. So there are two session one is 12:05 to 12:10 , session time of which is 5 minutes. Second session is 13:10 to 13:20 , session time of which is 10 mins. These are two different session because time difference between 13:10 and 12:10 is more tham 30 mins.

Bounce rate:

If user is leaving your website just by visting one page it means it’s a bounce. So bounce rate is percentage of bounces in all the users sessions.

Source and Medium:

Source/Medium describes where your traffic comes from. The Source is the place where users are before seeing your content, like a search engine or another website. The Medium describes how users arrived at your content. Values for Medium include organic for unpaid search traffic, none for direct traffic and referral if it’s coming from clicking a link on source. For example if you find the link of on and you click the link and visit geekdirt , stackoverflow would be source and referral would be the medium in this case.

Internal and external context:

Internal context is comparing your business performance based on historical data and External context is comparing your business performance based on how market and industry are doing.

KPI:Key Performance Indicator:

Metric using which you can measure the performance. For example:- Suppose for a ecommere site strategy is “sell products” and the tactic is to “Sell online” and “Drive Store visit”. The KPI for “sell online” tactic is revenue, average order value etc. The KPI for “Drive Store visit” tactic is “find store location” pageviews, “print coupan page” pageviews etc. You should have separate KPIs for each marketing channel.

Frequency and Recency:

Frequency is how often users come in the time period you select. And recency is how many days pass between one visit and the next. So you want high frequency and low recency. If your site has high frequency and high recency that means good no. of users are coming to your website but they are losing interest. If you have low frequency and low recency that means particular set of users are coming to your website and they are very consistent.


A conversion takes place when a visitor to your site takes an action you care about. This could be through filling out a form, completing a purchase, watching a video or by simply showing a high level of engagement with your site. In google analytics conversions are tracked by creating Goals. For example if your goal is getting sign-ups and out of 10 users who are visting your website 2 users are registering with you, you can say you have 20% sign-up goal conversion. People start different campaigns like social advertisements , google adwords etc. to acheive different goals.

Micro and Macro conversion:

Macro conversion is the goal you want to achieve through your businees. Like for ecommerce company macro conversion is to sell a product through ecommerce site.Micro conversion is to acheive something in the path of macro conversion.Like if a user is subscribing for new product notification it means there is a possiblity that in future he can buy a product. Micro conversions lead to macro conversion.So micro conversion is relation building activity that lead to macro conversion which is your actual goal.

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