Why Consumer Behavior

Analysis Is So Relevant to
the eCommerce business?

www.countants.com
 Overview
• What is Consumer
Behavior Analysis?
• How Consumer Behavior
Analysis Benefits
eCommerce Business

• 4 Key Metrics for

Measuring Consumer
Behavior
• Conclusion
What is Consumer Behavior
Analysis?
• For any online retailer, data
about the online behavior of
its consumers is probably
the most important business
asset.
• Through behavioral data
analysis, eCommerce stores
can extract deeper
consumer information and
present a more personalized
website experience to these
customers.
 Behavioral analysis in
eCommerce can be used to
categorize consumers on the 3
following behaviors, namely:
• Browsing behavior
• Purchasing behavior
• Email behavior
 • How the online shopper is attracted to a
Browsing behavior ecommerce store?
• What products do they search for on the
eCommerce store?
• How does a personalized landing page design
influence their conversions?
 Buying patterns (example,
seasonal purchases or a
preference for a product
category)
Purchasing
behavior How shoppers respond to
promotional activities like
product discounting or special
offers.
 Email behavior

• The number of business emails

that were opened by consumers
• The number of users who opened
(or clicked) the emails
• The number of emails that
prompted a website visit or an
online purchase
How Consumer Behavior Analysis Benefits eCommerce Business
eCommerce retailers can derive
multiple benefits from the insights
taken from consumer behavior
analysis tools. These valuable
insights can lead to a more
personalized approach to customer
needs that can increase their
lifetime value to the business.
4 Key Metrics for Measuring Consumer Behavior
Want to understand the factors that are influencing your consumer behavior? Then
monitoring these 4 key metrics can help you understand how your consumers act:

• Average Session Time

• Pages per visit
• Traffic flow
• Customer Loyalty
Average Session Time

The average session time is a

good indicator of how long
consumers spend on your
website. Longer session times
indicate a higher likelihood that
the session will end with an
online purchase. On the
positive note, online shoppers
interested in your store tend to
spend more time browsing
through products, reading
product reviews, and
interacting with your customer
support executives.
Pages per visit

This is an effective metric for analyzing customer behavior for measuring the number of pages (or
content) being viewed by shoppers in every visit. Based on this metric, you can identify the most
(or least) viewed website pages and work on their respective strengths and weaknesses.
 Traffic flow
The online traffic flow is an efficient metric in monitoring how consumers move (or navigate) through your
store pages. Traffic flow can indicate the online store pages that are most attractive to shoppers. Through this
data, you can design the best navigation path for shoppers to reach your most popular products or product
categories.
 Whether it is through free shipping or freebies, customer
Customer Loyalty loyalty is an excellent yardstick for observing customer
behavior. Customer loyalty metrics can help you track the
buying habits of each shopper and understand the
merchandise preferred by each demographic group.
Conclusion The role and impact of e-commerce on
customer behavior is driving the industry-
wide adoption of customer behavior
analysis for attracting more shoppers and
improving their shopping experience.