Why you should definitely use UTM parameters for your tracking

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Many people who work in digital marketing have heard this word a hundred times: tracking. It refers to the recording and evaluation of user activities on the Internet. Such observations provide companies with the perfect opportunity to analyze the behavior of their visitors and to improve the Optimize marketing mix accordingly. By linking campaigns and visitors by means of UTM parameters, the Tracking even easier and delivers data more efficiently. This provides an optimal basis for analysis.

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What are UTM parameters?

UTM parameters are extensions of an Internet address, i.e. a URL. They are attached to the URL without changing the actual target. UTM stands for Urchin Tracking Module and was adopted by Google in 2005. On the one hand, they offer the possibility to differentiate, which source led the visitor to the website.

UTM parameters help you track your campaigns.
UTM parameters help you track your campaigns. (Image: founder.com)

On the other hand, thanks to the parameters, it can be precisely determined via which marketing channel the visitor reached the website - be it, for example, social media, a E-mail or cost-per-click. In addition, you get insights into how customers interact with the content of a Campaign interact and what finally led to the action.

How is a UTM parameter structured?

An Internet address can be specified with 5 different UTM parameters can be specified even further. This defines a specific path that a visitor can use to get to the website.

With the help of the UTM parameter, you can analyze exactly how many visitors took this path.

From this, it can be derived which marketing measures have borne the most fruit for you. A very good medium for this is offered by Google with the program Campaign URL Builder. The following UTM parameters can be used with Google Analytics:

  • Website URL: Here you enter the original URL of your website.
  • Campaign source: It is determined from which channel the visitor comes. This can be LinkedIn, Google or a newsletter, for example.
  • Campaign medium: This definition shows through which marketing strategy the visitor came to the website. Did they interact with an email, was it paid search/paid media, organic search, or was it social media?
  • Campaign name. This parameter provides information about the linked campaigns you want to track. This is a name chosen by you. For example: Summer Sale campaign or Easter campaign.
  • Campaign term: UTM parameters can also identify paid keywords used in your campaign.
  • Campaign content: Here, exact elements can be viewed that originate from the same source, campaign or medium. This makes it possible to differentiate which element caused a click. This UTM parameter is mainly used to differentiate between different ads.

Structure of the UTM parameters.
Structure of the UTM parameters. (Image: reachx.com)

UTM parameters in an example

An example may look like this: If "Facebook" is selected as the source and visitors are to be tracked who are reached via a paid advertisement have arrived at the website. If the Campaign URL looks like this at first:

Screenshot 2022 11 21 at 13.56.53

Now the campaign name "HubSpot" is added and the keyword "Marketing" is used. Accordingly, the URL with the linked UTM parameters would look like this:

Screenshot 2022 11 21 at 13.57.55

8 Advantages of using UTM parameters 

Clear overview of all campaigns

The use of UTM parameters allows you, in Google Analytics, within a single platform. all campaigns at a glance to have. This makes the process of comparing different marketing channels much more efficient. Time consumption for data collection is minimized and analysis is simplified.

Define target group precisely

Through a clear analysis, you can find out more quickly which visitor group is particularly responsive to your marketing. This makes it possible to, Define target groups precisely. Based on this, you can serve your potential clientele even better with perfectly selected marketing measures and not waste capacity on unnecessary activities.

Respond quickly and appropriately to changing user behavior

The uncomplicated data collection favors a quick perception of changes and thus enables appropriate reactions on your part.

You can react quickly to changing user behavior.
You can respond quickly to changing user behavior. (Image: bvdw.org)

This will help you understand when change has occurred and figure out how you should adjust your marketing.

Reinforcement of effective elements

Through the use of UTM parameters crystallize quickly highlight the effective elements of a campaign. These can be strengthened accordingly and optimized even further. In turn, the unsuitable marketing tools of this campaign can be paused or adjusted. This saves capacity and energy.

Precise data via conversion tracking

Since the path of the visitors is known thanks to the UTM parameter, the precise analysis can begin. Due to the precise data the Conversion Rate can be tracked. This evaluation of visitor interaction measures the effectiveness with which addressed groups of people are persuaded to perform actions defined and specified as "conversion". The data collected through the UTM parameters helps to identify, which marketing measures best persuades customers and clients to achieve the desired goal.

Distribute marketing budget better

Keeping an accurate record of the effectiveness of various strategies allows the Set up budget plan more efficiently. Weighing the efficiency and success of different strategies prevents unnecessary spending. The insights gained through the UTM parameters help you decide where to invest further.

Testing different ideas

The UTM parameters allow you to test and evaluate different paths. This gives you the freedom to compare alternatives first before committing to a strategy. In this way, you find the right path for your marketing and minimize the risk of wrong decisions.

Brand Analysis Template: The Foundation for Your Digital Marketing Strategy - Download Template

Conclusion:

Without tracking, not very much works in digital marketing these days. UTM parameters simplify the Analysis of your marketing success. You can market more effectively because this precise tracking data gives you additional insight into all your campaigns at all times. Using UTM parameters is therefore a small change that can bring you a lot in the long run.

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