This document discusses the importance of using actionable analytics and customer analytics rather than vanity metrics. It argues that vanity metrics only make a business feel good but do not help a business grow. Customer analytics track the entire customer lifecycle and allow businesses to get data on specific customers that is easy to take action on. The document provides examples of questions customer analytics can answer and how the data can be used, such as determining which referral sources or markets acquire the most valuable customers. It emphasizes that customer analytics help businesses learn faster through continuous improvement and a data-informed approach.

1. HOW TO: ACTIONABLE ANALYTICS
Hiten Shah
June 2012 - Onlab [DATA] Conference

2. @hnshah

3. DOING BUSINESS ON THE WEB FOR
9 YEARS
AND PLENTY OF FAILURES ALONG THE WAY

4. FOCUS ON METRICS THAT ARE
ACTIONABLE
A+

5. Vanity metrics will kill your
What is User Experience? business
VANITY METRICS VS. ACTIONABLE METRICS
HTTP://KISS.LY/ACTIONABLEMETRICS

6. No connection to your business
Vanity metrics make us feel
good when they improve
but they don’t help us grow
our business.

7. Web analytics is vanity metrics
In Google Analytics, vanity
metrics are everywhere.

8. Vanity metrics are a distraction

9. Difficult to take action
If pageviews go up, what
should you do?

10. Be careful with web analytics
Improving traffic doesn’t
necessarily improve your
business.

11. FOCUS ON
Customers
!

12. Your customer relationships
To build a relationship with
our customers, we need to
know who they are.

13. CUSTOMER ANALYTICS
Tells Us

14. WEB ANALYTICS
Does Not

15. CUSTOMER ANALYTICS ARE
Actionable

16. What customer analytics does
Tracks the entire customer
lifecycle from first visit to the
most recent activity.

17. What is User Experience?

18. KISSmetrics Customer Analytics
Very Simple Person-Based API
trk.kissmetrics.com/e?
_p=tim@apple.com&_n=upgrade&plan=large
Person Event Property
Who the data is about What they did Attributes

19. Get reports on real people

20. Every point of engagement for a customer
“IT’S NOT JUST ANONYMOUS NUMBER...THESE ARE PEOPLE AND I CAN ACT ON THAT.”

21. Multiple channels
Customers use many
different channels, tracking
should too.

22. Multiple people, multiple channels

23. Which channels matter?

24. Data that matters
You’ll get data that is easy to
take action on because it
tells the story of your
customers.

25. Question
Who are my most valuable
customers?

26. Most valuable customers

27. Most valuable traffic sources
“IT'S EASY TO KNOW WHICH REFERRAL SOURCES TO FOCUS ON TO ACQUIRE THE
TYPES OF CUSTOMERS I WANT.”

28. Most valuable markets

29. Actionable
Find out how to acquire
more valuable people based
on where they come from
and who they are.

30. Question
Who is doing what?

31. How many times each customer does something

32. Most engaged markets

33. Actionable
Determine why certain
people are highly active by
identifying and analyzing
their behavior.

34. Question
What encourages someone
to become a customer?

35. Search based on your main goal

36. Get a list of people

37. Look at individual customer behavior

38. Actionable
Search for and analyze
individual profiles to learn
what actions come before
your goals.

39. Question
What does my entire
customer lifecycle look like?

40. Variation B performs best for key funnel

41. Variation A results in more revenue
“RUN A/B TESTS AND SEE HOW IT AFFECTS ALL OF YOUR KEY METRICS.”

42. Actionable
Track the entire customer
lifecycle to make decisions
based on a complete view of
all your metrics.

43. CUSTOMER ANALYTICS HELPS YOU
Learn Faster

44. !
“The only way to win is to learn faster than anyone else.”
Eric Ries

45. Data Informed - Continuous Improvement
Build, measure, learn faster
re
ings Spl
olden Te
ion
Build
Learn Measure
THE LEAN STARTUP

46. THANK YOU!
Hiten Shah
hitenism.com
hshah@kissmetrics.com