Google Analytics 4 Small Business: A Guide to Big Insights

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In the ever-evolving landscape of digital marketing, small businesses often struggle to keep pace. However, with tools like Google Analytics 4 (GA4), even local businesses like real estate brokers, senior living communities, or pizzerias can unlock big insights, transforming how you approach marketing and customer engagement. 

Let’s dive into the world of GA4 and explore how it can revolutionize small business analytics.

Note: If you want a video version of this article check out our YouTube channel.

GA4 Overview: The Evolution from GA Universal

Google Analytics Universal (GAU), the predecessor of GA4, primarily focused on session-based data. Google Analytics Universal (GAU) attributed user activity to a single source. This provided a minimal understanding of how users interacted with your website and the potential problems they faced.

GA4 is a big step forward in how what people do on websites is tracked. The older, Google Analytics Universal (GAU), focused on how long people stayed on a site or which pages they visited, GA4 pays attention to what users do on-site. It keeps track of specific actions like clicks, scrolls, or how users interact with different parts of your webpage. The focus on interactions means you can understand customer journey paths and pain points of users with greater accuracy.

This new way of tracking is more insightful than the old way. It provides insights into why people do what they do on a site. You don’t want to just understand where a user goes on the website. You want to understand why users go there. The insights gained from event-based analytics can help improve your website and provide visitors with a better experience. Ultimately increasing your bottom line!

The Capabilities of GA4 in User Tracking and E-commerce

GA4 offers robust tools for tracking user actions, especially in e-commerce settings. With its advanced tracking capabilities, businesses can monitor multiple purchases within a single session. This feature is critical for e-commerce sites where multiple transactions can occur in one visit. GA4’s integration with various programs, including Google Tag Manager, makes it user-friendly and adaptable to diverse business needs.

Understand Your Audience: Segmentation and User-Friendly Analytics

GA4 Audience Segmentation

GA4 lets you group users into audiences in useful ways. You can sort people into buckets such as age, where they live, what kind of phone or computer they use, and what they do on the site. Placing users in buckets is helpful for small and larger businesses alike. These buckets, or segments, allow your marketing team or agency to create advertisements and messages that fit each of your unique segments (buckets).

Once you know who your customers are, you can use GA4 to create an audience that fits this group of users. You do this by picking out events, demographics, and interests that match. 

For example, an audience called ‘Young Professionals’, could include things such as their age, geographical areas, interests, and that they have not converted yet. Then, your marketing team can create ads just for this audience. Being more precise is normally a more cost-effective strategy than general ads.

Easy-to-Understand Analytics

GA4 is easy to use. It has clear dashboards and reports, so you can quickly see how different groups use your website. You can still see how long people stay on the site and if they leave without doing much easily. The basic dashboards offered also provide many of the key insights needed. Below is a list of the top reports to use in your day-to-day analytics.

So, with GA4, small businesses can be really smart about how they talk to different groups of customers. This way, you can make better ads and improve your website, making your business more successful.

The Importance of Small Business Analytics

Data analytics is crucial for understanding marketing effectiveness. Traditional methods, like distributing discount coupons, provide limited insight into customer behavior and can erode the ROI of marketing campaigns. In contrast, GA4 enables businesses to track the efficacy of digital marketing without relying on discounts. It helps in identifying business trends, understanding seasonality, and making informed decisions based on concrete data, rather than guesswork.

Key Reports for Small Businesses

GA4 offers several key reports essential for small businesses:

Google Analytics 4 key reports for small businesses
Google Analytics 4 key reports for small businesses

User Information

These reports are great for keeping a pulse on the demographics and interests of your users. If you have not created marketing personas yet for your business you can download a template here:

  • User Attribution: Provides insights into demographics and technology usage, helping businesses understand your basic customer profile.
  • Tech: Understand what technology users are accessing your site with. Some of the key attributes here are going to be analyzing your device types (desktop, mobile, tablet) and the operating system that is used (Android or iOS).

User Actions

  • Acquisition Overview: Gain insights as to where users are coming from. This is key for understanding what channels are driving the most traffic to your site. It is also a starting point for understanding digital marketing spending efficiency.
  • Pages and Screens: Helps in understanding user behavior on specific pages, crucial for identifying drop-off points and optimizing user experience.

User Conversions

  • Engagement Overview: This overview report provides you with an understanding as to what actions are being taken on your site. You can also get an overview of your conversions and purchases all at once.
  • Conversions: When you want to dive deeper into your conversions and understand the channels that are driving your conversions and purchases you can filter by segments, sources, and channels

Key Metrics for Small Businesses

GA4 emphasizes three critical metrics: conversion, lifetime value, and retention.

Exp 1st Youtube webinar on the Key Metrics that drive success from GA4
  • Conversion: Measures the value of various user actions, from filling out a form to watching a video.
  • Retention: Focuses on keeping customers engaged over time, thereby increasing your lifetime value.
  • Customer Lifetime Value (CLTV): Estimates the long-term value of a customer, considering factors like repeat purchases over time. (check out our video on Customer Lifetime Value)

These metrics are vital for understanding both short-term and long-term business growth strategies.


Conversion is all about understanding those valuable actions on your site. Every action a user takes, whether it’s filling out a contact form, watching an informational video, or purchasing, has value.

These conversions are key indicators of initial interest and revenue. For small businesses, focusing on improving conversion rates can directly lead to increased sales. It’s a critical metric for initial growth, as it helps identify what’s working and leading to revenue. 

However, while conversions can drive immediate revenue, it’s important not to overlook the long-term benefits of building brand recognition and awareness.

View our article to explore traditional and digital marketing media to increase your brand.


Retention is about keeping your customers engaged and coming back. It measures how well your business maintains ongoing relationships with customers. According to Forbes, studies suggest that depending on the industry, acquiring a new customer can cost five to seven times more than retaining an old one.

The longer you retain a customer, the more valuable they become, as evidenced by the Customer Lifetime Value metric. For small businesses, especially those in competitive markets, effective retention strategies can lead to stable and increasing revenue streams. 

Yet, retention is linked closely with brand perception and the customer experience. A strong, positive brand image can significantly enhance customer loyalty and revenue. Which makes it an indispensable part of a holistic business growth strategy.

Customer Lifetime Value (CLTV):

Customer Lifetime Value unveils the long-term worth of a customer to your business. This metric is not just about that first transaction. It is about the total revenue a customer brings over the time they do business with you.

This can include repeat purchases, subscriptions, or additional services they sign up for. Knowing the Customer Lifetime Value (CLTV) can guide long-term decisions on how much you can invest to acquire new customers and retain existing ones. 

It’s crucial for sustaining growth to keep in mind both the short-term conversions and improving the customer lifetime value. In addition to working on conversions and retention, a strong brand can increase Customer Lifetime Value (CLTV) by creating loyal customers who return and refer others. Lastly, working on brand awareness through targeted channels like digital marketing retargeting, radio marketing, or Connected TV can consistently reinforce your brand. Consistent reinforcement can lead to sustained growth and additional revenue.

The Customer Journey of User Engagement and Conversion

The customer journey is far from linear. Unlike traditional models, which often depict a straightforward path from discovery to purchase, the modern customer journey is organic and dynamic. Users may come across a brand or product through various channels, leave, and then return, potentially multiple times, before making a decision. This non-linear path is influenced by multiple touchpoints – instances where customers interact with the brand, whether it’s through social media, a website visit, an advertisement, or a customer review.

Customer Journey: Touchpoint Tree

For a full dive into the Customer Journey and the Touchpoint Tree head over to the Exp 1st Youtube channel for videos on this exact topic!

Touchpoint Tree: Tree Leaves

To visualize this, imagine a touchpoint tree. The leaves of the tree represent the initial contact points or awareness stage – this could be an ad on social media, a blog post, or a word-of-mouth recommendation.

Touchpoint Tree: Branches

As we move down the tree, branches represent different paths a customer might take after the initial contact. Some branches may lead to further engagement, like following the brand on social media or subscribing to a newsletter. Other branches might represent a period of inactivity or disengagement, where the potential customer has left but might return.

Touchpoint Tree: Roots

The base and root of the tree represent the moments of re-engagement or conversions. This area includes touchpoints like purchases, customer support, onboarding, and retention of customers. Building strong roots is key to sustained growth through word of mouth and returning customers.

No Customer Journey the Same

In this touchpoint tree, no single path is identical for two customers, reflecting the uniqueness of each customer journey. For businesses, understanding this path is crucial. It means recognizing that customers may require multiple interactions, spread out over time, to move towards a purchase.

Therefore, your marketing strategy should be adaptable and responsive. You want to be providing value at every potential touchpoint, nurturing the customer’s interest, and gently guiding them back to your brand.

Conclusion: Embracing GA4 for Small Business Growth

GA4 is more than just a tool for tracking website traffic. It is a gateway to understanding the intricate behaviors of customers, enabling small businesses to make data-driven decisions. By adopting GA4, small businesses gain a competitive edge through insightful analytics and strategic decision-making, outpacing local competitors.

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