WGU D381 E-Commerce and Marketing Analytics

What is qualified traffic for an e-commerce website?

Website traffic comprising visitors who are likely to convert into paying customers

Marketing goal

a marketing goal is a specific objective in a marketing plan or strategy that supports abusines goal

Fill in the blank: Because key performance indicators (KPIs) are not specific enough for individual marketing campaigns, you need to create _____.

an additional performance goal for each campaign

What is the strongest benefit of selective reporting when it comes to analytics?

It helps individuals focus more on metrics that are most important to their digital marketing strategy.

API

Application Programming Interfaces

What is the metric that measures the standard amount of money that a customer typically spends every time they complete a purchase?

Average order value

Marketing Funnel

Awareness, consideration, conversion, loyalty

Li moves to a new city and stays for a year. While living there, Li buys groceries twice a month from a local grocery store. Li's average order value is $75.What is Li's lifetime value (LTV) for this local grocery store?

$1,800

An e-commerce company is using a regular Google Ads campaign to increase conversions. To calculate the bid amount, the company is looking at data related to recent conversion rates and the bids used in those campaigns. The company had a recent revenue-per-click of $4, and its target return on ad spend (ROAS) was 250%.What should be the target bid for the new campaign in this case?

$1.60

Imagine that a marketer is working on a digital ad campaign for a single product. They learn that it costs $100 USD in advertising to sell 5 units of a $50 USD product. They apply the formula to calculate return on ad spend (ROAS): (number of units sold x cost per unit) / ad spend. What is this marketer's ROAS?

(5 x 50) / 100 = 2.5

An online store sold 100 units of its best-selling pair of sports shoes in the last 30 days. The store generated a net profit of $2,000 and a total revenue of $5,000 from the sale of this product.What is the net profit margin in this case?

40%

An e-commerce company uses the net promoter score (NPS) survey to determine customer loyalty toward its brand. The survey reveals that 65% of customers are enthusiastic about the brand and promote it among their friends, whereas 23% of customers are dissatisfied with the brand.What is the overall NPS in this case?

42%

A six-month-old e-commerce start-up has been experiencing steady but poor sales for the past few months. The sales have not picked up since the launch.Which Smart campaign should the start-up use if it wants to maximize shopping potential?

A Smart Shopping campaign

Businss Goal

A business goal is a desired aim, achievement or outcome for a business.

Media mix

A media mix specifies how much of a budget will be spent across each media channel in a campaign. If actual amounts are unknown, you can specify percentages of the budget in the media mix. For example, you could assign $20,000, or 30% of the budget to social media. Either is acceptable in a media plan.

The goal of an e-commerce company's marketing campaign is to encourage visitors to its website to sign up for a newsletter. At the end of the campaign, data shows that newsletter sign-ups increased by 22 percent because of the campaign.Which type of conversion does this scenario exemplify?

A micro conversion

An e-commerce company wants to simultaneously test two hero images on the landing page of its website—original "X" and variant "Y"—and two headlines—original "H0" and variant "H1." Which test should the company use in this case?

A multivariate test

An online store starts a rewards program to increase customer loyalty. The program offers customers one reward point for a specific amount of money they spend on buying from a store over time.Which type of rewards program is the store using in this case?

A points model

A company with a brick-and-mortar store is expanding into e-commerce. While optimizing its website, the company adds a legal document to the website that reveals all the ways in which the company collects, uses, discloses, and controls customer information.What has the company included on its website in this case?

A privacy policy

What are some of the basic elements that an e-commerce website should include?

A search bar, a navigation bar, and product detail pages

Target audience

A target audience is the group of people most likely to purchase the products or services being advertised. Sometimes, a target audience is defined by a combination of customer personas that help marketers determine how to reach people using the right messages, offers, and products.

In marketing, what is a performance goal?

A target that has a measurable, numeric value.

One of the requirements for an e-commerce store is that it should have a responsive website.What does a responsive website mean in this case?

A website that is created to work on all kinds of devices, such as mobile phones, tablets, and laptops

An online store selling footwear wants to optimize its e-commerce strategy. The marketing team suggests reconsidering the pricing of the products. However, the store wants to make the pricing of its products competitive with other retailers.Which strategy should the store use, in this case, to remain competitive with rival stores?

Adjust some product prices so they either match or are lower than the competitors' prices

A pet adoption center ran an A/B test to determine whether replacing dog videos on its website with cat videos will lead to more adoption inquiries. The center developed the following hypothesis: "As the research shows that most popular animal videos are cat videos, it is expected that using a cat video on the web page will increase adoption inquiries by 5%." However, the A/B test for the asset failed to give the expected outcome.What should the center do in this case?

Adjust the hypothesis and test another variant

What change should an e-commerce store make to increase the number of product views?

Bundle the product with a correlated product that is experiencing strong sales

Before launching a campaign, an e-commerce company creates a map that specifies all the stakeholders of the campaign and their interests and goals regarding the campaign.How does this map help improve communication with stakeholders?

By categorizing stakeholders and showing which stakeholders require what information and how frequently they need it

Budget

Campaigns usually have a fixed budget allocated from a larger marketing budget. Spending more than what is budgeted for a campaign often requires further justification and approval.

A marketing manager is leading a marketing web campaign. The manager creates a stakeholder map and categorizes the CEO as follows: influence, 3; interest 1.What is the appropriate communication approach for sharing information with the CEO in this scenario based on the given information?

Communicate conversion rate, return on investment, and growth rate in the form of charts and graphs once every month

Steps to create a digital media plan

Confirm Biz goals, Concifrm marketing goals, conduct market research, define campaign goals, select media channels, determine and document media plan items

Conversion Rate Calculated

Conversions / Total Clicks x 100 = Conversion Rate Percentage

Cookies

Cookies keep a record of user session and device information. Cookies enable tools like Google Analytics to collect session start and traffic source information. Events configured in Google Analytics for website or mobile app monitoring summarize and report this information. Conversion counts in Google Ads also rely on cookies to determine which ads or product lists users engage with.

Cost per acquisition (CPA)

Cost per acquisition (CPA) is the average cost paid for each conversion. If you have comparative data from historical campaigns, you can use the average CPA value as a performance goal. You can then optimize your campaign to try to achieve a lower CPA to improve the value of your campaign.

Cost per click (CPC)

Cost per click (CPC) is a metric used in pay-per-click (PPC) advertising. One way you can control cost is to manage CPC on a per-campaign basis. You can allocate more budget to the PPC campaigns that are the highest priority.

An e-commerce company wants to increase the traffic to its website using Google Ads.Which bidding strategy should the company use in this case?

Cost-per-click bidding

An e-commerce store selling winter apparel faces a slump in sales during the summer. The store wants to use this time to create a strong awareness of its brand to drive traffic to its website during the winter when its sales peak.Which marketing strategy should the store use in this case?

Create engaging social media posts.

An e-commerce business outsources the order fulfillment process of its supply chain to its supplier. The supplier owns, manages, and stores all inventory. The supplier also manages the complete fulfillment process, from picking and packing orders, to shipping them to customers.Which method of handling the order fulfillment process is the e-commerce business using in this case?

Drop shipping

Duration (flight)

Duration, also referred to as flight, is the length of a campaign and is easy to document. But if you're running a campaign using a pay-per-click (PPC) model, duration becomes trickier because you'll need to ensure your budget is sufficient for the entire duration of the campaign. For campaigns like these, duration is heavily influenced by budget.

An e-commerce company notices that its website's cart abandonment rate (CAR) is 70%. To reduce CAR, the company decided to use a strategy that shows website visitors ads containing the products that the visitors added to their carts to encourage them to complete their purchases.Which marketing strategy is the e-commerce company using in this case?

Dynamic remarketing

Federated Learning of Cohorts

Federated Learning of Cohorts, or FLoC, is one proposal that presumes that a browser can group people together when they have similar browsing characteristics without using a unique identifier per browser. Advertisers can then observe the browsing behaviors of users in a cohort instead of by their individual activities. Ads could be customized based on which cohort a person is part of.

Assisted Conversion

For example, if a user came to the website from Twitter and then later from Google AdWords, Twitter would be counted as an 'assisted conversion'.

What is the strongest correlation between Google Ads and Google Analytics?

Google Analytics helps individuals to assess the success or failure of their Google Ad campaigns.

What is an essential requirement for an e-commerce store?

Having a mobile app or website that is accessible to all users

Which analytics tool should an e-commerce company use to analyze its social media marketing across different channels?

Hootsuite

What is an example of a strong marketing goal?

Increasing web traffic

A marketing specialist of a company is using the explorations feature in Google Analytics to track the data of the company's latest advertising campaign.Which information is the marketing specialist going to find if they use the cohort technique in this case?

Insights about a group of users who share common attributes

Interest-based advertising (IBA)

Interest-based advertising, or IBA, relies on generalized browsing behaviors instead of on the browsing behaviors of specific individuals for the targeting of ads.

What is a benefit of Shopify?

It allows a business to learn how to manage its websites, conduct marketing, and review analytics all in one place.

A brick-and-mortar store that has been in business for over 30 years has always relied on radio and television advertisements to promote its products. However, when the owner of the store observes that most other stores have transitioned to online advertising, the owner researches online advertising and learns about its global reach capacities.How is this attribute of online advertising important for creating advertising strategies for e-commerce products?

It allows businesses to target their products to specific parts of the world through digital marketing technologies.

Why is marketing analytics critical to a campaign?

It allows the monitoring and assessment of a campaign's performance goals.

A marketing team has created spreadsheets and charts to present user data related to a campaign. However, the team also wants to present real-time data and insights about the campaign to its stakeholders as well as share customized reports with its stakeholders. The team decides to use Google Data studio for this. What is the importance of Google Data Studio in this case?

It allows visualization of campaign data using dashboards and customer reports.

The marketing team of a company wants to increase the efficiency of the company's latest digital marketing campaign. So the team decides to link the Google Ads account to Google Analytics. What is the benefit of linking the two Google platforms in this case?

It enables the team to merge data about conversions from Google Ads with data about audience demographics in Google Analytics.

What is the importance of social media analytics in e-commerce?

It helps an e-commerce business better understand its audience, brand, and competitors.

What is the importance of product analytics?

It helps an e-commerce business plan its inventory and refrain from selling products that underperform consistently.

What is the importance of Shopify analytics in e-commerce?

It helps an e-commerce store analyze customer transactions and review the store's recent activity.

The marketing team of an e-commerce store has been analyzing website traffic for a week and observes that the bounce rate is too high at 65%. The team also examines the heat map of the home page and gathers that most visitors do not engage with the website after landing on the home page. As a result, the team decides to remodel the home page to ensure it is appealing and informative.How is the home page going to help the e-commerce store manage its website in this case?

It helps customers understand the store's products and find the information they want.

An e-commerce store analyzes historical data and notices that there are certain months in the year during which its sales peak and other months during which its sales hit a low. The store decides to reconsider its marketing strategies based on this information.Why should the e-commerce store consider seasonality in this case?

It helps determine the periods during which the e-commerce store is going to experience a potential increase or decrease in sales.

The return rate of an e-commerce store has increased drastically in the past three months. The store modified its website to optimize performance and changed its return policies as well, but these strategies were not very effective. The store is now planning to use customer questionnaires to address this issue.How does this approach help the store in this case?

It helps the store to better assess the needs of customers to improve its strategies.

A company is running a campaign to increase product sales, and the marketing team of the company is tracking campaign data using Google Analytics. The team decides to use funnel exploration to visualize the steps that users take to complete a task such as making a purchase. How is the use of funnel exploration beneficial in this case?

It helps the team to understand how successfully users are completing each stage in order to improve inefficient customer journeys.

An e-commerce website plans to run A/B tests to determine whether it should change the color of the "Checkout" button from orange to green. The company then creates a hypothesis to explain the "how" and "why" of the experiment.Why is it important to have a strong hypothesis in this case?

It makes it easier to quantify the results and communicate them to stakeholders.

What is brand advocacy in the context of e-commerce?

It measures the total number of customers who endorse a brand using word-of-mouth marketing or other marketing methods.

An e-commerce company wants to increase its conversion rate and decrease its cart abandonment rate. As a result, the company decides to run a campaign using Smart Bidding that would make automated decisions to increase the efficiency of the campaign.How is Smart Bidding going to be useful in this case?

It uses machine learning to analyze real-time data to display the right message to the right user at the right time.

An e-commerce pharmaceutical company creates an ad to advertise its new range of recreational drugs. The ad shows a young person under the influence of a recreational herbal drug relaxing on a beach.What is one reason for the disapproval of the ad in Google Ads?

It violates the prohibited content policy of Google Ads.

Li is one of the loyal customers of Orange Zest Café, and Hannah is not a loyal customer yet.What should be a characteristic that distinguishes Li from Hannah in this scenario?

Li frequently buys from Orange Zest Café while promoting it on social media.

WHat do Media Plans do?

Media plans help people understand whats in a marketing campaign before it's run. Media plans have requirements.

An e-commerce company has a responsive website. After research revealed that 85% of the website's visitors access the website using smartphones, the company decided to develop a mobile-first website too in order to improve customer experience.What downside of mobile-first design should the company be careful of in this case?

Mobile-first websites have limited content compared to their responsive counterparts, which can confuse users.

An American e-commerce store that sells kids' toys experiences a 40% spike in sales in the week before Christmas.Which marketing strategy should the store use if it wants to make the best use of this increase in sales to maximize its revenue?

Offer last-minute holiday discounts during that week.

An e-commerce company uses the net promoter score (NPS) survey to determine customer loyalty toward its brand. Four individuals—Li, Alex, Sara, and Omar—take the survey. Li gives the brand a score of 6, Alex gives a score of 7, Sara gives a score of 8, and Omar gives a score of 9.Who among them is a promoter?

Omar

Maria at Whole Pine, Inc. is tasked by her supervisor with evaluating the paid traffic data for the company's online store to determine the success of the latest digital advertising campaign in achieving the campaign goal of increasing the click-through rate from 3% to 7%. How is paid traffic directly correlated with the campaign goal for the online store?

Paid traffic helps to determine the current success of sales strategies for a product that is being advertised.

What is a difference between primary research and secondary research?

Primary research involves gathering information through surveys and focus groups, whereas secondary research involves gathering information from trade journals and consumer insight reports.

A manager downloads a spreadsheet report from Google Analytics to gain insights into an advertising campaign. As the data is exhaustive, the manager is unsure how to process the large data set to create effective presentations for stakeholders.What is the significance of regrouping insight data in this case?

Regrouping data allows businesses and stakeholders to categorize similar data into sets for making visualizations simpler.

Remarketing

Remarketing is the process of using ads or follow-up emails to engage with a potential customer who has visited a website but didn't make a purchase. The user information saved in cookies on browsers allows businesses to engage with these users for remarketing.

An e-commerce store uses Google Analytics to understand how users access its website. Google Analytics reveals that 75% of the users access the website through laptops and 25% access it using smartphones.Which website design approach should the e-commerce store adopt in this case?

Responsive design

What should a business do to ensure that web analytics tools are capable of monitoring and tracking website performance during a campaign?

Run a piece of code or a tag on each website that needs to be monitored to make web analytics tools aware of them

An e-commerce company wants to collect information about its customers and place it in a single location. It wants to use software that helps the company manage as well as monitor its interactions with its current and potential customers.Which e-commerce tool should the company use in this case?

Salesforce

A company is working on three digital advertising campaigns, with the marketing goal of increasing brand awareness. Which approach should this company take to efficiently monitor the progress of each campaign?

Set a specific performance goal for each campaign

An e-commerce company is launching a product. However, it does not want to wait too long to bring the product into the market. Therefore, it intends to use a product sourcing strategy that saves time and resources, even if it does not give the company complete control over the product quality.Which strategy should the company use in this case?

Source products from a manufacturer

After a data analyst of an e-commerce company gathers all the data related to the company's latest marketing campaign, the analyst exports the data in a spreadsheet to generate data insights in marketing analytics. How do spreadsheets help in this case?

Spreadsheets allow data manipulation, which reveals patterns in the data, leading to data insights.

Performance Goal

Targe that has a measurable, numeric value

Active Users

The Real Time and Home reports show you how many people are currently viewing content on your website. Data is processed within a few seconds into the Real Time reports and you can view data for the previous 30 minutes. While the Active Users report (under 'Audience') tells you the number of unique users who performed sessions on your website within a certain number of days.

A company selling sports equipment sets up a store on Shopify. Two months after the launch, the company wants to analyze all the available data to determine any trends and patterns in customer behavior. The company has not linked its Google Analytics account to Shopify.Which feature on Shopify should this company use if it wants to create a custom report of its findings?

The analytics dashboard

A data scientist for a marketing organization has used spreadsheets to perform basic data analysis of the organization's current campaign. However, the data scientist now wants to perform customized data analysis to create comprehensive campaign performance reports.What is an efficient approach in this case?

The data scientist should use the data analysis libraries available in Python for data mining and data processing.

What is essential for determining the number of unique visitors to an e-commerce store?

The number of different users who viewed a website during a specific period

When it comes to Google marketing analytics, why is the number of impressions important?

The number of impressions help a business assess whether its campaign is on track based on the parameters set by it.

What is the return rate in the context of key metrics for product performance?

The percentage of products sold that are sent back by customers

What is the meaning of conversion in e-commerce?

The process of changing a visitor into a paying customer

Imagine that a marketer runs an ad campaign, and they want to determine the return on ad spend (ROAS). Which of the following ratios should they use?

The ratio of revenue generated to the amount spent on advertising.

Daniel at Whole Pine Inc. is tasked by his supervisor with segregating direct traffic data for the company's online store and analyzing the effectiveness of its online campaign across various social media platforms.Which type of traffic should Daniel focus on in this case?

The traffic that focuses on the number of customers that a business is getting daily

Why are data visualizations important when communicating insights to stakeholders?

They make data easier to understand by revealing trends, patterns, and outliers.

Third-party cookies

Third-party cookies aren't developed by a website's owner but are distributed by third-party tools. They use a third-party advertiser's domain instead of the website's domain. A third-party can deliver a cookie to users by displaying a banner ad.

Why should a brick-and-mortar store expand into selling its products online?

To drive in-store traffic through in-store pickups

A group of individuals have set up an e-store and are running a digital campaign to understand the effectiveness of the design of the e-store.What is the use of Google Analytics in this case?

To help assess data pertaining to the design factors that correlate with the campaign goals

Click-through rates are calculated using the following formula:

Total Clicks / Total Impressions x 100 = Click-through Rate Percentage

Macro Conversion

Typically a completed purchase transaction

A digital marketing agency's client wants to run ads that will show exclusively at the very top of the search engine results page (SERP) for a specific period.What should the agency's Google Ads specialist do in this scenario?

Use the target impression share bid strategy for the keywords

Micro converion

compelted response that indicates that a potential customer is moving towards a macro conversion. Touch points ina ttribution.

Active Pages

ctive Pages shows you the pages people are currently viewing on your website.

App + Web Property

his new type of Google Analytics property lets you combine data from apps and websites in a single set of reports. App + Web properties are separate from standard properties and data can be collected from existing tags (if you are using the gtag.js tracking code) or by creating a new tag. These properties unlock additional custom reporting options.

WHen performance goals are applied to a marketing goals they are called what?

marketing objectives

Return on Ad Spend (ROAS)

number calculated as the ratio of revenue generated to the amount spent on advertising