We’ve come far past the point of trial and error in sales and marketing, especially with hundreds of millions of dollars on the line. And even if we were still in that antiquated trial and error stage, startups still couldn’t afford to undertake those types of odds—the failure rate is far too great to gamble […]
We’ve come far past the point of trial and error in sales and marketing, especially with hundreds of millions of dollars on the line. And even if we were still in that antiquated trial and error stage, startups still couldn’t afford to undertake those types of odds—the failure rate is far too great to gamble on hunches with those amounts. One of the reasons that lean development, lean marketing and growth hacking have proven so successful with startups is that they not only completely dismiss the notion of trial and error, they religiously adhere to its polar opposite: analytics.
Analytics provide startups and growth hackers with the tools they need to succeed, period. It’s so much more than just analyzing data—it’s proof that one way is greater than the other. When it comes to growing your startup rapidly, there is no gray area—there is better or worse. Analytics help you choose the better each and every time.
At one point in marketing, it used to be that a smooth sales pitch or killer feature was all that was needed to gain approval. Then one day, someone said, “Show me the numbers.” Henceforth, analytics was born and has continued to be refined right down through the internet marketing era into the current boom of growth hacking. Now, analytics have the final word, no matter what. That’s because the numbers don’t lie—it doesn’t matter how cool your app looks or what sound plays when a lead clicks a link, if it isn’t converting leads, it needs to be tweaked. Analytics separates the good from the bad, without fail.
When you track each part of your process, you gain valuable insights into what’s working and what isn’t. Sometimes, this can come as a quite a shock—that referral loop you thought was a surefire winner turned out to be a dud, accounting for 30% of your bounce rate, and the copy you banged out in ten minutes turned out to be the star, ranking for 44% of your conversions. Analytics will show you these numbers and allow you to keep what works and apply it to other applications while getting rid of or tweaking what is bouncing possible conversions. This allows you to direct your energy into the most efficient channels while quickly cutting off routes that are failing before they become costly or do irreversible damage. Analytics will point you in the right direction.
When you’re able to understand the “how” of why things happened, you’re able to repeat the steps you took to get the results you got again. Analytics gives you that “how.” How did your A test site convert so much better than your B test site? Analytics shows that the clickable headline in your A site got 48% more clicks—that’s how. Analytics can also show flukes, seasonal trends and other anomalies. This can help you cut down on excess PPC ads or implement them at exactly the right time. By understanding the full data on a set period of time, you’re able to see exactly what you did where and then replicate the steps to get the exact same—or even better—results.
With that much emphasis, importance and money riding on your analytics, it’s easy to see why having the best analytical tools at your disposal will ensure your startup a greater chance at success. There are tons of options out there, some free and some that will cost you, all with their pros and cons. To find out which analytical tools are the best for your startup, click here right now.
