Unit 7.3

Key Metrics: Traffic, Engagement, Conversions

DMKT-301: Digital Marketing Fundamentals

Digital Marketing Course

Learning Objectives

By the end of this chapter, you will be able to:

✅ Differentiate between traffic, engagement, and conversion metrics.
✅ Define and explain the importance of core metrics like Users, Bounce Rate, and Conversion Rate.
✅ Understand the relationship between different metrics and business goals.
✅ Apply metric analysis to real-world scenarios.

The Data Deluge 🌊

Web analytics provides hundreds of metrics. The challenge isn't collecting data, it's focusing on the right data.

⚡ Key Insight: Not all metrics are created equal. Focus on metrics that align directly with your business objectives.

We'll categorize them into three core pillars to bring clarity.

The Three Pillars of Web Analytics

Think of your website's performance in these three stages:

📊 Traffic

"Who is coming to my site?"

Measures the volume of visitors.

🔍 Engagement

"What are they doing?"

Measures visitor interaction and interest.

🎯 Conversions

"Are they taking action?"

Measures desired outcomes.

Pillar 1: Traffic Metrics

The foundation of your analytics. This tells you how many people you are reaching.

Core Traffic Metrics

Users

The number of unique individuals who have visited your site in a given period.

Sessions

The total number of visits to your site. One user can have multiple sessions.

Pageviews

The total number of pages viewed. A single session can have multiple pageviews.

Analogy: A Shopping Mall

Imagine your website is a new mall in Thamel:

Users: The total number of unique people who entered the mall this month.
Sessions: Ram came on Monday and Friday. That's 1 User, but 2 Sessions.
Pageviews: In his Friday session, Ram visited a clothing store, a food court, and a cinema. That's 1 Session with 3 Pageviews.

Pillar 2: Engagement Metrics

Traffic is good, but engagement is better. Are your visitors interested or just passing by?

Core Engagement Metrics

Bounce Rate

The percentage of single-page sessions (visitors who leave after viewing only one page).

Avg. Session Duration

The average time users spend on your site during a single session.

Pages per Session

The average number of pages viewed during a session.

Goal: Low Bounce Rate, High Avg. Session Duration, High Pages per Session.

Pillar 3: Conversion Metrics

This is where analytics connects to business results. Are visitors completing valuable actions?

Core Conversion Metrics

Conversion Rate

The percentage of sessions that result in a conversion (e.g., a sale, a sign-up).

Formula: (Conversions / Sessions) * 100%

Cost Per Conversion

The total cost of your advertising divided by the number of conversions.

Also known as Cost Per Acquisition (CPA).

Goal Completions

The raw number of times a desired action (a "Goal" in Google Analytics) was completed.

Examples:

Form Submissions
Newsletter Signups
eBook Downloads
Purchases

Practical Application: Nepal Context

Different businesses in Nepal focus on different key metrics:

🛒 Daraz.com.np (E-commerce)

Primary Metric: Conversion Rate
Why: The main goal is to turn visitors into buyers. Cost Per Conversion is also critical for measuring ad spend effectiveness.

📰 OnlineKhabar.com (News Portal)

Primary Metrics: Avg. Session Duration & Pages per Session
Why: Their business model relies on ad revenue, which increases with user engagement and time spent on site.

Key Takeaways

Start with your business goals, then select the metrics that measure progress towards those goals.
The three pillars—Traffic, Engagement, and Conversion—provide a complete picture of your website's performance.
Traffic tells you 'how many', Engagement tells you 'how interested', and Conversion tells you 'how valuable'.
Context is everything. A "good" metric for an e-commerce site might be different from a news portal.

Thank You

Q&A Session

Next Topic: Unit 7.4 - Introduction to Google Analytics

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