September 19, 2019

Facebook Analytics vs. Google Analytics – Which is better?

– In this video we’re gonna
find out what is better Google Analytics or Facebook Analytics. All and more coming up. Hey there welcome back to another
video of teaching you the data driven
way of digital marketing. My name is Julian and today
we want to take a look at the differences between
Google Analytics and Facebook Analytics. Now this has been a really
interesting question. I’ve seen this picture on Facebook, where somebody typed in Google
Analytics and we see that Facebook Analytics actually
puts AdWords advertising on top of the search results here. How funny is that? And they say here it says here, measure people, not cookies, Facebook Analytics, So, today I wanted to take
the opportunity to actually look at Facebook Analytics
and Google Analytics and maybe the potential on how it
changes the game in terms of what analytics tools you
would be using in future on your website and your app. So, lets do a little comparison
of Facebook Analytics against Google Analytics. So first up let’s talk about
the history of the tools. Now Facebook Analytics is pretty new. It just came out in 2017, broadly to the public
and is now available to all the advertiser of Facebook Analytics. Now this is a pretty much
new tool to us and the data basis is revolutionary and different to Google Analytics. Now
let’s consider the history of Google Analytics, a much
older tool here. And that also plays into maybe
some of the disadvantages here but also the advantages, because
Google Analytics actually was different company before
it was bought by Google. It was a company called Urchin. And in 2005, Google saw the potential of all these analytics tool out there and bought this tool for
their own advertisers that were doing AdWords at the
time. The rationale behind it was really that AdWords
advertisers couldn’t measure the complete customer journey.
They were only able to see how much they spent on an advertising that had made them money. But maybe not what was actually happening on the website itself. So, they thought about a
solution on how they could help advertisers out to
spend more money on AdWords. And that’s when they
came up with the idea to buy a tool like Urchin
and integrate it into Google Analytics or the
suite of Google Analytics. So advertisers could actually
make more money with AdWords. And they made it all free, I mean, the software, Urchin itself cost at some point
20,000 dollars per month. Now Google Analytics premium actually cost that same amount
now, but you can see that the power, the raw power of
Google Analytics at that point was pretty substantial and they brought out this tool for free. So, you would be able to
use it on your website. And it grew really fast
because for that money, free you couldn’t get a solution out there. So a lot of website owners actually put this on their
website and started tracking. Nowadays, Google Analytics
is the defacto standard when it comes to web tracking because we can, first
of all look at our data and compare it to other sites,
so how many page use has it, how many users do you have
per month, for example. But that actually comes with a clear model that Google Analytics
gave us. So this model actually evolved from
website tracking and it 2005 websites looked a lot different than what the web looks like today. So you would have a model that
actually is centered around paid use, centered around cookies, that’s what they say in the ad and not around maybe users which
Facebook is really good at. So, just remember that
Google Analytics is a much older tool. Facebook is much newer.
So the technology is evolved different and they
come from different times of the internet history so to say.
So we need to take that into account when we look at
these two different tools. Now that leads us to the
next part here, which are the two tracking mechanisms.
Now I already mentioned that Google Analytics is
heavily relying on cookies. What does that mean? That’s
the mechanism Google Analytics is built upon. So, the sessions, the page use and the users are all calculated through
this cookie mechanism that is actually placed on
the browser of the users to re-identify the user.
Now you already can think of many different instances
where this falls apart. If you, for example, come
back through mobile device, you would have a different
browser, a different cookie stored on your computer and
you would be essentially a different user that is actually identified
by Google Analytics. Now Facebook Analytics is
completely different from that, because Facebook actually
knows exactly which user has been identified on there
platform. So, if I click on and advertising on Facebook,
it actually knows which user goes to the website. And if I click on the advertising again on my mobile device again
Facebook knows exactly who I am. So, the paradigm shifts here
from cookies to actually users because Facebook actually
exactly knows who I am and then can track throughout my user
session. So that gives them a bit more better data.
So if you look into the audio demographics for example, in Facebook Analytics,
you can see that there is much more data there that
is interesting for us because we know that they
are real user profiles that Facebook Analytics actually
has in their database that they can provide
us now as an advertiser or as an analytics user. Now let’s talk about the popularity or the reach of the tools
that the tools have. I think that Google Analytics is still the most widely used web
tracking tool out there. There are a few competitors. I think of Yandex
Metrica, which has also a very robust system behind it and give you all the data that you need. But people are just very locked-in to Google Analytics because they don’t want to change
their tracking system. Maybe they don’t want to
re-tag their website and it has been running for
years. You know that Google Analytics is not retroactive, so you can’t be pulling in historical data into the tool.
So they just keep it running, most of the website owners keep
it running because they have a history of data. And if
they would turn that off all that data would not
exist anymore. So there’s a strong lock-in effect in terms
of using Google Analytics. Now Facebook Analytics
actually has another tool that we install. Pretty much
everybody, as Facebook Ads got more and more popular, you install the Facebook
pixel on your website and the Facebook pixel
actually provided ours with conversion tracking data. Now
it’s more retargeting data and suddenly we have this whole database of Facebook Analytics available to us. So the popularity will
grow as Facebook Ads grows to be the defacto one of the websites that you can buy advertising on.
And Google has that obviously as well, but Facebook
Analytics becomes more popular because you just have it
installed already. That said, will you change over your
defacto analytics tool from Google Analytics
to Facebook Analytics? That’s the question. I haven’t
yet seen people discuss their Facebook Analytics
metrics, rather their Google Analytics metrics. So
if you see somebody who is selling a website, you
might as well look into their Google Analytics rather
than their Facebook Analytics. It is interesting to see whether
this will change over time. But for now, Google Analytics
remains the dominant tool in the analytics market when
it comes to website tracking. Now let’s talk a little
bit about functionality and versatility of the tools.
Obviously, Google Analytics is a tool that has been
developed over the years and has a lot of functionality
that Facebook Analytics just doesn’t have. So if you
think about the base checking, yes, you can see page use, which Facebook Analytics
and Google Analytics. You can see sessions and so on. But Google Analytics has
a much broader spectrum of customizations that you
can make through to it. When I think about enhanced
e-commerce checking, custom dimensions, user ID
tracking, calculated metrics, custom metrics and so
on, that’s all a very customized version of Google
Analytics. And you can customize Google Analytics
to the business model here. With Facebook Analytics it
gives you the basics, but it doesn’t let you expand
a lot of that. Now, Facebook Analytics has opened
up their Facebook pixel and it has opened up over
the years so you can send custom data in. But in
Facebook Analytics it’s really hard to still see that
data, to pull it out of the interface and actually
make sense of that data. They are now doing auto
tracking, so they are picking up all that meta information that
you might have on the page. But they’re not really exposing
that in the interface per se and giving you smart insights
on that. So it’s still in the basic raw form of tracking data. I think that there will be more features introduced and
maybe these features will be different from what we see in
Google Analytics. But for now, Google Analytics has still many
more customization features then Facebook Analytics. So in the end, what is my conclusion? What tool is actually better? If I look at Facebook
Analytics, I think that it’s really interesting that
the shift really happens in the underlying
tracking mechanism on how Facebook Analytics is able to track people and maybe give us more insights in terms of maybe attribution,
but also demographic data and then lifetime of
the user, going through the system and maybe looking
at different websites. They play to their advantage
a little bit of that already in there demographics data
or in their funnel analysis. But it’s not too apparent
yet why Facebook Analytics is the next analytics tool
that we should be using. We see over the next coming
months, over the next years how Facebook Analytics evolves
and maybe it will become the defacto tool because it
just has a better tracking basis of what we can do
with our analytics data. But as you know, Google
Analytics is much more than just a tool. We have
so much more data available outside of Google Analytics
and they are connecting so much more to it. So we
have Google Tag Manager, we have Data Studio, we have Google Optimize so all these different tools really
feed into the whole ecosystem that Google has built with
their analytics suite. And maybe that will keep us locked-in to the analytics suite. For now, I don’t see why you
shouldn’t be using two tools at the same time. It just
gives you a different tracking and different database at
the end. For most of my data, I actually still use
Google Analytics to do quick analysis. I just know
the interface better, but also I trust the data more because I know how it actually pulls in. And Facebook Analytics,
it’s still a black hole. Their documentation is not yet
there where you really know how to manipulate any kind of
customization that you can do in the tool. And maybe they
will never reveal this because right now Facebook Analytics
is a tool that you add on to you advertising to get
more insights from it. It’s not really something
that you would use as a stand alone tool to analyze your website. But as I said, maybe I’m
a very particular case. And I’d love to hear
from you if you are using Facebook Analytics over
Google Analytics then please let me know in the comments below. I’d be really interesting
to hear if you’re using Facebook or Google
Analytics as your main tool. And if you like this video then please, give us a thumbs up and also
subscribe to our channel right over there because we
will bring you new videos just like this one, every week. Now my name is Julian, till next time

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