Last time, we talked to you about why, at Boryl, we are focusing on startups. Today, we’re giving you the 5 best reasons why Startups should be data driven. Web Analytics gives startups visibility by collecting and displaying trustful data. Here are the 5 best ways (on our opinion) to use the data in order to make a difference.
“War is 90% information” Napoléon Bonaparte.
Sartups are highly focus on the growth of their project. Once a startup has reached its product market fit, it can start focusing on a more aggressive growth strategy, and focus on acquiring, converting and retaining users. By integrating a strong analytics setup, Startups are able to identify each step of their acquisition funnel, and measure separately the performance of each of them. This allows startups to AB test and optimize each step of the acquisition tunnel, and globally, the whole conversion rate.
2. Cost saving
Early stage startups are most of the time cost sensitive. Most of the startups do no get funds at the beginning of their journey, which means that most of the startups spend their money carefully, and want to avoid spending money on useless lever. A big part of a startup budget is dedicated to the marketing, and especially, the traffic acquisition. Startups purchase traffic on Google Adwords, Twitter, Facebook, Linkedin, and many other solutions. Unfortunately, startups struggle calculating the ROI (Return On Investment), of each of them, individually. With a strong analytics setup, startups can focus on each of their traffic source, figure out which ones are performing well, and which ones that are wasting money.
3. Time saving
One of the most time consuming task for startups is visualizing data and doing data reporting. Most of the startups have their most important data located in many different platforms and individual reports. The data related to their many digital campaigns are reachable on each of the platforms (Google Adwords, Bing Ads, Linkedin, Twitter Ads, Facebook Ads and many others), while the data related to their website performance is reachable on Analytics tools such as Google Analytics, Piwik, and many others. Startups are wasting a lot of time aggregating and consolidating all their data into one place. With a strong analytics setup, Startups can automate the aggregation and consolidation of all their data from any sources into a unique report/dashboard.
Making data driven decisions is a real advantage if, and only if, the data studied is trustful and reliable. It is important to make sure that the data you collect is exactly the one that you need, and that your data is triggered at the good time. To make sure the data you are collecting is trustful, your tracking plan (Doc that lists all the events you need) must be extremely rigorous and well integrated. Also, using tools like GTM helps you manage easily your variables and triggers, so that the data you collect is the one you need, and that you can make sure it is reliable.
Having an easy access to your data is really important because it is a great way to easily spot out the bugs and errors that are impacting your project (For example, and unusual high bounce rate should be alarming). Second, having a unique dashboard, where it is easy to access to the most importants KPI of your project can be a huge asset when looking for investors, or reinsuring the actual ones.