By Nermeen Nabil Khear 
Marketing is a necessary part of running a successful business. Simply having a great product or service isn’t generally enough to help you stand out in a sea of competitors, especially in the world of e-commerce. It’s not merely a case of who shouts the loudest with the boldest ads, either. It’s a case of who speaks the right language—the customer’s language.
Understanding the customer gives marketers an edge. It helps you use the customer’s demographic, their pain points, and what their needs are to target them better. Behavioral tracking helps marketers create campaigns that resonate better with customers and as a result, drive more sales.
What Is Behavioral Tracking
What Are the Benefits of Behavioral Tracking
What Behaviors Are Useful to Track
How to Track Customer Behavior
Leveraging Behavioral Tracking
What about Data Security and the Law
Final Thoughts
What Is Behavioral Tracking
Behavioral tracking is the process of gathering data on how customers interact with your online brand messaging. This can be through a range of touchpoints such as your website, social media, email interactions, and so on.
The data collected can provide useful insights into how customers behave online such as their browsing habits, the search terms they use, how long they spend browsing a website, and their purchasing history. This enables marketers to segment audiences and create campaigns that will be more personalized to their target audience, making advertising more persuasive.
An example of behavioral tracking in e-commerce would be a clothing retailer that sends out an end-of-the-month newsletter. The marketing team could identify which subscribers often click through to children’s wear.
They can then use that knowledge of behavior to send out more relevant emails in the future (e.g. children’s wear offers). They can also look at where else those customers look to find children’s clothing and look at strategies to win them over, such as limited-time discounts or implementing dynamic pricing.
What Are the Benefits of Behavioral Tracking
Behavioral tracking can help marketers maximize their communication efforts. Instead of just communicating, they can better understand their audiences and communicate well through direct marketing.
This helps marketing teams create digital campaigns that pack a greater punch. Here are some of the benefits of behavioral tracking:
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Improved Engagement
Behavioral tracking can lead to increased user engagement. More personalization in communication such as emails means more relevant marketing that is more likely to increase CTRs.
Data Collection
Behavioral tracking provides businesses with first-party data. This means you won’t need to rely on third-party cookies, which, as you probably know, are being phased out by many large companies.
Higher Conversion Rates
This type of tracking also helps marketers to identify the best channels to communicate with their audience. They can then use tailored messaging to hit the right people at the right time. This approach increases the likelihood of conversion.
Lower Conversion Costs
Because behavioral tracking helps marketers identify new markets and target new people through market behaviors, they can send campaigns to people who are most likely to buy, rather than creating costly blanket campaigns. This usually means a better ROI and a reduction in costs overall.
Higher Customer Lifetime Value
Learning more about your customers means you can hit the right people with the right messaging over time. Showing you know your customers well and can meet their needs helps build trust and improve loyalty.
Additionally, by analyzing purchasing patterns and customer feedback, e-commerce platforms can refine their refunding services. This ensures that policies are customer-friendly and responsive to their needs, further enhancing customer satisfaction and loyalty, thereby increasing customer lifetime value.
New Markets
Behavioral tracking can help you identify new markets. Using data such as search terms or showing where your audience goes after visiting your website can highlight your product gaps. For example, if you sell short-sleeved t-shirts but many of your web visitors are looking for long-sleeved t-shirts, you can consider adding that product to your line.
What Behaviors Are Useful to Track
There are a variety of customer behaviors that can be useful to track for e-commerce marketers. Behavioral tracking allows businesses to collect the following data types:
1. Customer Demographics
Knowing the demographics of your audience means gaining insight into their gender, location, income, age, education level, and so on. Knowing this means marketers can carefully choose the right messaging for their campaigns. This could be through language, images, or addressing pain points to tailor marketing communication and have a greater impact on the audience.
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2. Psychographic Data
This kind of data helps you to better understand your customers’ attitudes. This includes things such as what they care about, and their personal beliefs and values. It can help you gain insights into how customers make purchasing decisions, as well as spot ideas for future product development.
3. Behavioral Data
Behavioral data sheds light on customers’ actions such as their social media interactions, browsing activity, and purchasing history. This enables marketing teams to spot patterns and identify new strategies for targeting people online.
One example of this would be looking at where website visitors go after visiting your website. This allows you to then put effective strategies into place to keep them on your site longer or incite action, such as a ‘before you go’ pop-up offer.
4. Geographical Data
Geographical data tells you where your audience is located. When it comes to e-commerce, this could be anywhere across the globe. Knowing where your audience lives helps you tailor marketing to them on a local level using local language, culture, and customs at the root of your campaigns.
This level of personalization helps your audience feel understood and like they’re dealing with a local business, even if you’re based 1000s of miles away!
5. Keyword Research
This allows you to track the most common keywords that customers search for before visiting a website, especially the websites of businesses that offer similar products or services to you. This enables marketers to deliver more targeted ads as they have better knowledge of what the customer is looking for.
How to Track Customer Behavior
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There are several ways to track customer behavior depending on which behaviors you want to track. These are:
Email marketing metrics: These help you determine the effectiveness of an email campaign such as open rates, click-through rates, and conversion rates. Analyzing this data can help you to tweak future campaigns to improve effectiveness.
Website analytics: This gives you a 360 of a customer’s journey through your website, with insight such as how long they spend on each page, the bounce rate, etc.
Social media analytics: This helps you to monitor engagement and can help identify patterns such as the type of content that generates the most engagement.
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Leveraging Behavioral Tracking
Using behavioral tracking can elevate your e-commerce marketing strategy. Here’s how to leverage it as part of your e-commerce strategy.
1. Use Real-time Targeting
Real-time targeting allows you to go a step further than simply creating an ad and putting it out there. It enables you to tailor adverts to customers as they browse, offering them products, discounts, or promotions based on their browsing activity.
2. Elevate Your Customer Service
Having a better understanding of your customers means you can circumnavigate issues before they occur. Behavioral tracking enables you to give the customer what they want, including answers to commonly searched-for questions.
What’s more, having data on your customers helps you personalize your communication, which helps you build strong relationships with customers and improve brand loyalty.
When it comes to customer outreach, there are plenty of options. These include RingCentral alternatives such as the Ooma office, which can help you cover all communication channels to keep customers happy.
3. Make Your Email Campaigns Work Harder
Behavioral tracking gives you the data you need to personalize your email campaigns. It enables you to send targeted emails with news, offers, or promotions that hit the right audience. Better targeting can mean higher conversion rates.
Email campaigns such as this can be automated, meaning certain behavioral triggers can send out a chain of marketing emails.
What about Data Security and the Law
Understandably, data collection is a regulated practice. Data has value, and things with value are always at risk. While data provides businesses with essential information, the caveat is that you must use it ethically and keep it safe.
Regulations regarding data differ depending on geographical location, so it’s important to understand your obligations in each territory you operate.
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Having said that, some measures are pretty standard:
Obtain permission before collecting data.
Allow people to opt out of data collection.
Take all reasonable means to protect any data you collect. This includes stored data and also data transmission, so keep up to date with security changes. For example, did you know it is more secure to send a fax from an iPhone than an email?
Final Thoughts
Behavioral tracking provides a stream of data that can become incredibly valuable when used correctly. The key is understanding your business. This includes what you offer, who your ideal audience is, and what drives them.
Gathering the right data is key, so make sure you use the right tools. This will enable you to create powerful marketing messages that work hard for your company to convert your audience into loyal customers.
Remember to handle data ethically. Poor data security can lead to data breaches that undo all your hard work in building customer trust and loyalty. Always ask permission to collect data and respect local regulations.
Once you have the data, and you’ve sourced it responsibly, it’s time to use it. So what are you waiting for?
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This articles is written by : Nermeen Nabil Khear Abdelmalak
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