Andy Griffiths, Chief Growth Officer at Climb Agency, joins Dan to dissect eCommerce analytics. Most brands obsess over the wrong metrics. They pay what Andy calls the “Google tax” – targeting people who would buy anyway instead of finding new customers.

Watch and listen to the episode The eCommerce analytics addiction problem

CFOs with spreadsheets are setting media budgets. The pressure for immediate ROI is relentless. Consequently, marketers are pushed toward vanity metrics instead of real business growth.

“We’re all very used to focusing on that kind of glory stat,” Andy explains. “Something that perhaps seems in the immediate short term super important but doesn’t necessarily give you a full idea of actual net revenue gain for the business.”

The result? Decisions based on numbers that look good but don’t drive revenue.

The Google tax exposed through better eCommerce analytics

Here’s the uncomfortable truth: much of your budget is wasted on branded search terms. You’re targeting people who were already going to buy. That 10x ROAS might be costing you actual growth.

“It gets very easy to effectively run around preaching to the converted,” Andy says. Brands pursue a “complete religious pursuit to bid as much as they possibly can on brand terms.” This comes at the expense of going more aggressively after non-branded keywords.

In other words, you’re paying Google to capture customers who already know your brand. Meanwhile, potential new customers never see you.

Breaking the cycle with smarter eCommerce analytics

There’s an education gap between budget holders and budget spenders. CFOs want simple ROAS metrics. Marketers know the reality is more complex.

The fix? Shift conversations from short-term metrics to lifetime value. Instead, show decision-makers how acquiring the right customers now pays off over months and years. Make the business case with actual customer data, not theoretical models.

Moreover, proper eCommerce analytics tools make this possible. However, you need to actually implement them properly.

Test and learn like bees

Andy recommends the 80-85% rule for budget allocation. Spend 80-85% on proven tactics. Reserve 15-20% for exploration. This creates proper structure around experimentation.

This beats the ad-hoc approach most brands use. You know the one: “We tried something different last Black Friday.” That’s not testing. That’s just chaos.

“There has never been more opportunities to test something new that could give you a competitive advantage through early adoption,” Andy points out.

Build systematic testing into your process. Document what works. Kill what doesn’t. Repeat.

AI reality check for eCommerce analytics

The hype is everywhere. But where are the real gains happening? Operational efficiency and mass variant testing.

Mid-market agencies are suddenly competing with big holding companies. AI tools level the playing field. However, it’s not magic. It’s about doing more testing faster and spotting patterns humans miss.

The brands winning with AI aren’t the ones adding “AI-powered” to their homepage. They’re the ones using it behind the scenes to run better tests and make faster decisions based on better eCommerce analytics.

What to do right now

Stop avoiding GA4. Two years on, too many marketers are still using their CRM or Shopify as their “single source of truth.”

The data discrepancies are undermining your ability to test properly. They’re preventing you from learning effectively. And they’re making it impossible to break away from CFO pressure for simple ROAS metrics.

Yes, GA4 is harder than Universal Analytics. Yes, it needs more customization. Nevertheless, the attribution capabilities and audience segmentation options make it essential. You need to understand real customer journeys beyond last-click conversions.

Proper eCommerce analytics implementation separates brands that grow from brands that plateau. Stop postponing it.

Blatant plugs

Connect with Andy on LinkedIn.

Learn more about Climb at climbagency.com.

The gist

• Many brands focus on vanity eCommerce metrics, which do not drive real business growth.
• The ‘Google tax’ leads to wasted budgets on branded search terms instead of acquiring new customers.
• Marketers should shift their focus from short-term metrics to customer lifetime value for better decision-making.
• The 80-85% rule helps brands structure their budget for proven tactics while allowing exploration for innovation.
• Proper eCommerce analytics implementation and tools are crucial to separate growing brands from those that plateau.

The post The Metrics Matter: Andy Griffiths on eCommerce numbers that don’t add up appeared first on Browse Basket Buy - eCommerce podcast.