icon Recharge Now for ₹1000 & Get ₹1600* In Your Wallet. Use Code: FLAT600 | Limited Period Offer On First Recharge

*T&C Apply.

Signup Now



Follow Us

eCommerce Tracking: A Beginner’s Guide to Data-Driven Success


Vijay Kumar

Senior Specialist - Marketing @ Shiprocket

August 28, 2023

7 min read

eCommerce thrives on the ability to measure and capture various factors as data, including customer behaviour, supplier statistics, and influences on buyer behaviour. The organic integration of data for business intelligence is crucial for achieving entrepreneurial success in the eCommerce ecosystem. In this context, eCommerce tracking has emerged as a pivotal tool, empowering entrepreneurs to gather and analyse valuable data that drives informed decisions and optimises online strategies. This comprehensive beginner’s guide aims to unravel the concept of eCommerce tracking, highlighting its significance, the abundance of data it uncovers, and how aspiring entrepreneurs can leverage this information to attain success in the fiercely competitive online landscape.

What is eCommerce Tracking? 

eCommerce tracking entails the systematic collection and analysis of user data related to interactions and transactions on an eCommerce website. It empowers entrepreneurs to monitor essential metrics, gaining insights into customer behaviour, sales performance, marketing efficacy, and overall website success. Implementing tracking codes, such as Google Analytics, ensures accurate data capture and processing.

Importance and Benefits of Tracking Statistics for eCommerce Websites 

1. Performance Evaluation: eCommerce tracking grants entrepreneurs a comprehensive view of their website’s performance, encompassing traffic volume, conversion rates, and bounce rates. By evaluating the effectiveness of marketing campaigns and identifying areas for improvement, entrepreneurs can optimise user experiences, elevate conversions, and boost revenue streams.

2. Customer Insights: Tracking statistics enables entrepreneurs to delve into customer behaviour, preferences, and purchase patterns. Metrics like average order value, customer lifetime value, and repeat purchase rates empower entrepreneurs to tailor their offerings, optimise marketing messages, and curate unparalleled customer experiences that foster loyalty and drive business growth.

3. Marketing Optimisation: eCommerce tracking data is invaluable for assessing marketing efforts. By tracking referral sources, conversion rates per traffic source, and the return on investment (ROI) of advertising campaigns, entrepreneurs can refine their marketing strategies, allocate resources efficiently, and identify high-performing channels to maximise impact.

4. Product Performance Analysis: eCommerce tracking unravels individual product performance, encompassing sales volume, conversion rates, and customer reviews. Armed with this information, entrepreneurs can identify top-selling products, understand customer preferences, and optimise offerings, igniting sales and profitability.

What Data Can eCommerce Tracking Reveal?  

1. Website Traffic: eCommerce tracking allows entrepreneurs to monitor visitor numbers, traffic sources (e.g., organic search, social media, paid ads), and user demographics. This data elucidates the reach and effectiveness of marketing efforts and helps fine-tune campaigns accordingly.

2. Conversion Rates: eCommerce tracking empowers entrepreneurs to track conversion rates, unveiling the percentage of website visitors who complete desired actions, such as making purchases. Analysing conversion rates pinpoints areas where potential customers may drop off in the sales funnel, enabling entrepreneurs to optimise and maximise conversions.

3. Shopping Behaviour: eCommerce tracking unravels user behaviour, including product views, session duration, navigation patterns, and paths to purchase. Understanding how users interact with the website enables entrepreneurs to optimise design, streamline user experiences, and guide users towards conversions.

4. Revenue and Sales Performance: eCommerce tracking reveals crucial revenue metrics, average order value, sales trends, and financial performance over time. This data enables entrepreneurs to evaluate the success of marketing campaigns, assess pricing strategies, and seize opportunities for upselling or cross-selling.

Utilising eCommerce Tracking Data  

Tracking customer behaviour and analysing eCommerce data has become integral to optimising marketing strategies, enhancing customer experiences, and driving business growth. Here are 10 top utilities of eCommerce tracking data –

1. Customer Segmentation: eCommerce tracking data serves as the foundation for effective customer segmentation. By analysing customer behaviour, preferences, and purchase history, entrepreneurs can segment their customer base and craft targeted marketing campaigns, personalised recommendations, and tailored promotions that enhance engagement and drive sales.

2. Conversion Rate Optimisation: Analysing eCommerce tracking data helps entrepreneurs identify conversion funnel bottlenecks and areas for improvement. Leveraging techniques such as A/B testing, optimising website design, simplifying checkout processes, and implementing targeted messaging elevates conversion rates, driving overall sales performance.

3. Marketing Campaign Optimisation: eCommerce tracking provides entrepreneurs with crucial insights to assess marketing campaign success and channel performance. By analysing data on traffic sources, conversion rates, and ROI, entrepreneurs can optimise marketing strategies, allocate resources efficiently, and amplify the impact of their marketing efforts.

4. Product Assortment and Inventory Management: eCommerce tracking data offers valuable guidance in product assortment and inventory management. By monitoring product performance metrics, such as sales volume and customer reviews, entrepreneurs can make informed decisions regarding product selection, forecast demand accurately, and optimise inventory levels to avoid stockouts or excess inventory.

5. Customer Lifetime Value (CLV) Analysis: eCommerce tracking data enables businesses to calculate customer lifetime value, which is the projected revenue a customer generates over their entire relationship with the business. By analysing CLV, businesses can identify high-value customers, tailor retention strategies, and allocate resources effectively to maximise long-term profitability.

6. Abandoned Cart Analysis: Tracking data allows businesses to identify instances of cart abandonment and understand the underlying reasons. By analysing abandonment patterns, businesses can implement strategies to minimise cart abandonment rates, such as optimising the checkout process, sending personalised follow-up emails, or offering incentives to complete the purchase.

7. Customer Journey Mapping: eCommerce tracking data provides insights into the customer journey from the initial visit to the final purchase. By mapping the customer journey, businesses can identify touchpoints that influence customer decisions, optimise the user experience, and address any gaps or friction points along the way.

8. Personalisation and Recommendation Engines: eCommerce tracking data powers personalisation and recommendation engines, which deliver personalised product recommendations based on customer browsing and purchasing behaviour. By leveraging this data, businesses can enhance the customer experience, increase engagement, and drive cross-selling and upselling opportunities.

9. Customer Churn Analysis: eCommerce tracking data helps businesses identify customers who are at risk of churning or discontinuing their relationship with the brand. By analysing customer behaviour patterns and engagement metrics, businesses can proactively implement retention strategies, such as personalised offers or targeted communication, to reduce churn rates.

10. Pricing and Discount Optimization: eCommerce tracking data provides insights into pricing dynamics and customer response to discounts and promotions. By analysing data on price elasticity, competitor pricing, and customer purchase behaviour, businesses can optimise pricing strategies, determine optimal discount levels, and maximise revenue while maintaining competitive pricing.

Thus, businesses can use this data to refine their marketing strategies, optimise customer experiences, and make data-driven decisions that drive growth and profitability.


eCommerce tracking emerges as an indispensable tool for entrepreneurs aiming to unlock data-driven success in the competitive eCommerce landscape. Tracking eCommerce data allows for effective customer segmentation based on behaviour, preferences, and purchase history. This segmentation empowers entrepreneurs to create targeted marketing campaigns, personalised recommendations, and tailored promotions to engage specific customer segments.

Besides, it is very effective in inventory management as it provides insights into product performance metrics, such as sales volume and customer reviews. Armed with this information, entrepreneurs can make informed decisions about product assortment, accurately forecast demand, and optimise inventory levels.

Frequently Asked Questions (FAQs)

How does eCommerce tracking contribute to website performance improvement?

eCommerce tracking reveals vital website performance metrics, such as traffic volume, conversion rates, and bounce rates. This can help entrepreneurs identify areas for improvement, optimise user experiences, and drive higher conversions.

How can eCommerce tracking enhance marketing strategies?

eCommerce tracking enables entrepreneurs to assess marketing campaign success, track referral sources, and measure ROI. By analysing this data, entrepreneurs can enhance their marketing strategies.

Is eCommerce tracking relevant for all businesses? 

Yes, it provides invaluable insights into customer behaviour, website performance, marketing efficacy, and product success, enabling young entrepreneurs to optimise their strategies and achieve remarkable success in the eCommerce realm.

Custom Banner

Calculate Your Shipping Costs Now

Leave a Reply

Your email address will not be published. Required fields are marked *

Related Articles

Courier Delivery Charges

Comparison of Courier Delivery Charges For Shipping in India

Contentshide Top Indian Courier Services and Their Delivery Charges Indian Postal Service FedEx DTDC Delhivery Blue Dart DHL GATI XpressBees...

July 12, 2024

15 min read

sahil bajaj

Sahil Bajaj

Senior Specialist - Marketing @ Shiprocket

Send Rakhi to USA from India

How to Send Rakhi to USA from India: A Complete Guide

Contentshide Options for Sending Rakhi to the USA from India Online Rakhi Stores eCommerce Websites Courier Services Postal Services Gift...

July 12, 2024

6 min read

sahil bajaj

Sahil Bajaj

Senior Specialist - Marketing @ Shiprocket

Beginner's Guide To Selling on Amazon

Selling on Amazon Made Easy: A Beginner’s Guide

Contentshide What are the Different Types of Amazon Business Models? How to start selling on Amazon? Step 1: Create a...

July 11, 2024

11 min read

sahil bajaj

Sahil Bajaj

Senior Specialist - Marketing @ Shiprocket

Ship with confidence
using Shiprocket

Ship with confidence using Shiprocket

Trusted by 270K+ eCommerce brands like yours.