With a recently introduced update, Google Analytics 4 (GA4) makes it easier for companies to compare their performance with other market players. By integrating benchmarking data, GA4 now offers a function that enables companies to better assess their position in their industry. Google attaches particular importance to Privacy of the companies and to aggregate all data securely.
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Competitor analysis made easy: new benchmarking data in GA4
With the new benchmarking function, companies can compare their key performance indicators with those of other companies in the same industry. Compare. This option was already available in the previous version of Google Analytics, Universal Analytics, but has been significantly improved and expanded in GA4. This gives companies valuable insights into how they are performing compared to the competition without disclosing sensitive data.
What is benchmarking data and how does it work?
Benchmarking essentially means comparing benchmarks or best practices. Companies use this method to evaluate the efficiency and effectiveness of their own processes. This can be done in various areas of the company, such as production, marketing or sales. Specific key figures are collected and analyzed in order to identify optimization potential.
However, benchmarking data is not only used internally in GA4. Google provides companies with aggregated data from anonymous competitors who provide their data on a voluntary basis. This allows companies to discover gaps or weaknesses in their own processes and take appropriate action.
What was Universal Analytics?
Universal Analytics (UA) was the predecessor version of Google Analytics and the dominant tool for analyzing website and app data until 2023. It was introduced in 2013 and was primarily based on so-called "session-based" data models. UA focused on tracking sessions and individual page views and primarily analyzed how users behaved on a website. It provided valuable information about clicks, bounce rates and dwell time, but was more focused on an isolated view of desktop websites.
The differences between Google Analytics 4 and Universal Analytics
While Universal Analytics has been the standard in web analytics for many years, Google Analytics 4 brings a number of significant changes and improvements. Here are the most important differences:
Data model
- UA: worked with a session and pageview-based data model. The data was mainly collected on the basis of individual sessions and pageviews.
- GA4: on the other hand, uses an event-based model. Every user interaction event is recorded, which enables a much more granular and comprehensive analysis. This means that not only page views are recorded, but also scrolls, clicks and other specific actions.
Cross-platform analysis
- UA: was mainly limited to the analysis of websites. Seamless integration of data from mobile apps was more complicated and less intuitive.
- GA4: on the other hand, was developed specifically for analyzing data across different platforms. Companies can combine data from websites and mobile apps in a single property, providing a holistic view of user behavior.
Focus on long-term user behavior
- UA: placed more emphasis on short-term interactions and metrics such as bounce rate and session duration.
- GA4: focuses more strongly on long-term user behavior. The focus is on how users develop over longer periods of time and which customer retention measures are most effective.
Machine learning and automation
- GA4: is increasingly relying on machine learning to provide automated insights. This helps companies to identify trends or anomalies in the data without the need for manual intervention. These automated insights were not available in this form in UA.
Data protection and future developments
- GA4: is strongly geared towards the future of privacy-compliant analysis. It helps companies to operate in a privacy-friendly way even in a world without cookies. UA, on the other hand, relied on the use of third-party cookies, which became increasingly problematic in an increasingly regulated data protection landscape such as the GDPR.
Where does my company stand compared to the competition?
Thanks to the new functions in Google Analytics 4, users get a clear idea of how their company is performing compared to others. Based on median values within a comparison group, users can see whether their own company is among the leaders in the industry or possibly lagging behind. This can be crucial for long-term growth as it provides the basis for informed decisions.
A particular highlight is the trend line, which shows users how their performance has developed over time. The data used for these analyses is updated at regular intervals - usually every 24 to 48 hours - so that companies can always work with the latest information.
Customizable comparison groups and detailed metrics
Another strength of the new benchmarking function in GA4 is the customizability of the comparison groups. Companies can choose who they want to compare themselves with by selecting from various criteria. These include, for example, seven different traffic volume classes, which ensures better comparability with companies of a similar size. There is also the option of limiting the comparison groups geographically, which is particularly advantageous for internationally active companies.
The data provided includes a variety of metrics that are essential for a comprehensive understanding of your own performance. These include:
- New users
- The percentage of new meetings
- The bounce rate
- The average session duration
In addition, Google Analytics 4 provides detailed data on acquisition, engagement, customer loyalty and monetization. All of this information is crucial for identifying weaknesses and taking targeted measures to optimize your own strategy.
Data protection remains top priority
Although the use of Google Analytics facilitates competitor analysis, data protection remains a central pillar of the platform. All data used in the benchmarking process is anonymized and encrypted. There will be no way to find out the identity of the competing companies, as Google ensures that all information is only available in aggregated form. This means that the competition remains fair and transparent without jeopardizing the privacy of individual companies.
An important point: only companies that are willing to share their own data are given access to the benchmarking reports. This promotes a fair environment in which all participants can benefit from the shared information.
How to activate benchmarking in GA4
If you want to take advantage of the new benchmarking function, you must activate it in the Google Analytics 4 account settings. This is done via the "Administration" menu item in the "Account" section. There you will find the option to activate benchmarking under the account settings.
To access the benchmarking reports, navigate to the desired data view and select "Target group" and then "Benchmarking" in the "Reports" section. However, it should be noted that the function may not be available immediately for all accounts, as Google is rolling it out gradually.
Conclusion
With the new benchmarking functions in Google Analytics 4, Google offers companies a valuable tool to effectively measure themselves against the competition and better understand their own position in the market. This is not only important for strategic management, but also for operational optimization in areas such as marketing, customer loyalty and monetization. By regularly updating the data and flexibly adapting the comparison groups, companies can ensure that they are always up to date and can make informed decisions.