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Every dollar spent matters when you are trying to run a successful business.

Paid Traffic Data & Analytics
If you are paying for a service that in theory should help boost your revenues, you want to make sure you are spending that money well! Paid traffic is expensive, but if done well, can greatly help you reach your goals and your customer conversion rates!

Last time, we began to discuss the importance of making data-driven decisions. So we thought it to be beneficial to see how this method can be applied to paid traffic and the data you can collect.

What paid traffic does for your business?

  1. Generates interest:
    • Whatever you’re offering, you have an audience that wants it.
    • Paid traffic gives you a way to put your message, that you have a product, in front of that audience.
  1. Targeting options:
    • Segment and drill down to your specific audiences.
    • Says: “This is my primary audience; who wants to buy this?”
      Puts the message in front of them.
  1. Ability to scale:
    • Makes it easy to find new audiences to speak to.
    • Put the right message in front of them.
    • Help them become customers.

Now, assuming you are using paid traffic to generate leads and customers, you will want to collect data for the following necessary base metrics:

  1. Paid Traffic Spend:
    • How much you spend on each campaign.
    • Look at this on a channel level OR at a campaign level.
  1. Paid traffic revenue:
    • How much you make from each campaign.
  1. Retargeting list size:
    • Advanced tactic – indicates the size of different audience segments.
    • How many new visitors?
    • How many interested in a specific topic?
    • How many are moving down the funnel?

Getting down with numbers and formulas

Who doesn’t love a good formula? I know at Up Automation, we love a good number play. Especially when it can help us analyze if our paid traffic is paying off!

  1. Paid traffic ROI (return of investment)
    • Best way to track how much money you’re making
    • Diagnose how healthy your paid traffic campaigns are.
        • Over time, the campaigns will begin to dip:
        • Audience fatigue – seen the ads too many times.
        • Those interested have already opted in.
        • Therefore, revenue drops.

      (paid traffic revenue – paid traffic spend)
      paid traffic spend
    • Tells you how much money you generated, subtracting costs from revenue, telling you how much it converted into money.
    • Tracking ROI is one of the best things to do for paid traffic.
    1. Paid traffic EPC (earning per click)
      • How much you can pay for different clicks on your campaign.

paid traffic revenue
paid traffic spend
    • Look at total revenue or campaign revenue, divided by total clicks (campaign level or total #).
    • This number tells you how much you’re making every time someone sees one of your ads and clicks it.


Data analysis of paid traffic allows you to discover how users are interacting with your site. It provides insights to take the best advantage of your site visitors and when to create retargeting lists. Does this idea sound familiar? That’s because we’ve discussed this before!

Retargeting lists use the information from tracking who is visiting your website, how they are using it and discovering where the customers’ interests lies on your website. This helps inform you of what kind of opportunity you have to retarget.

For example

You want to know how many visited your home page but never visited your product page, so you would:

  1. Go into FB or AdWords to do this, plus some pop-ups.
  1. Set rules to be: “everyone who has visited URL A MINUS everyone who has not visited URL B.”
  1. Results: 22,000 opted into a lead magnet page but did not purchase.
  1. You now have 22,000 people to whom you could suggest an offer via an email list or additional paid traffic ads (see slide results).

This type of metric, fortunately, can be used to all steps of the funnel (TOFU through BOFU). That is, looks at percentages of audiences throughout the funnel.

For example:

  • Those who have not opted in.
  • Those who opted in but did not purchase.
  • Those who purchased but did not buy the higher ticket item.

This type of analysis lets you know:
1) Where people are getting stuck in the sales funnel
2) What parts are working very well.

Pulling the data from your paid traffic and creating retargeting lists is crucial for making sure your money is not wasted! Retargeting lists provide:

  1. Efficient audience tracking:
    • Gives the ability to quantify site visitors quickly.
    • Jump into paid traffic platform (FB or AdWords) and say: I want to look at how many are in my FB ad template funnel.
    • With those results: list who have hit certain steps and not progressed to the next step.
  1. Audience segmentation:
    • Create audience lists that group visitors by interest
    • Lets you know where opportunities are to push people down the funnel.
    • Lets you know which kind of content to create because people are responding to it.
  1. Pinpoint funnel opportunities and weaknesses:
    • Identify places where prospects are getting stuck in your funnel.
    • Determine ways to optimize that part of the funnel OR
    • Determine if that’s not a good funnel for you.

Whatever decisions you end up making– whether it is to continue with a certain funnel, or change a campaign– they will be well-informed by your data. To assume you understand your customers traffic habits or buying habits is weightless, especially when you have so much data out there to help inform your strategic decisions.

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