Google Analytics 4 competitor analysis simply explained

With a recently introduced update, Google Analytics 4 (GA4) makes it easier for companies to compare their performance with other market participants. By integrating benchmarking data, GA4 now offers a feature that allows companies to better assess their position in their industry. Google attaches particular importance to protecting the privacy of companies and aggregating all data securely.

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. This capability 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 compare to the competition without revealing sensitive data.

What is benchmarking data and how does it work?

Benchmarking essentially means comparing standards or best practices. Companies use this method to evaluate the efficiency and effectiveness of their own processes. This can happen in different areas of the company, such as production, marketing or sales. Specific key figures are collected and analyzed in order to identify optimization potential. However, in GA4 benchmarking data is not only used internally. 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 to Google Analytics and was 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 time spent, but was more focused on looking at desktop websites in isolation.

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 key differences:

Data model

• UA: worked with a session and page view based data model. The data was collected primarily based on individual sessions and page views.
• GA4:, on the other hand, uses an event-based model. Every user interaction event is captured, allowing for much more granular and comprehensive analysis. Not only page views, but also scrolls, clicks and other specific actions are recorded.

Cross-platform analysis

• UA: was mainly limited to website analysis. Seamlessly integrating 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 into 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 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: increasingly relies on machine learning to deliver automated insights. This helps companies 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 designed for the future of data protection-compliant analysis. It supports companies in operating in a data protection-friendly manner 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?

New features in Google Analytics 4 give users a clear idea of ​​how their business compares to others. The median values ​​within a comparison group show whether your company is one of the pioneers in the industry or is perhaps lagging behind. This can be crucial for long-term growth as it provides the basis for informed decisions. A special highlight is the trend line, which shows users how their performance has developed over time. The data used for these analyzes is updated at regular intervals - typically 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 to by selecting from various criteria. These include, for example, seven different traffic volume classes, which ensures better comparability with companies of similar size. It is also possible to limit 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. This includes:

• New users
• The percentage of new sessions
• The bounce rate
• The average session duration

Additionally, Google Analytics 4 provides detailed data on acquisition, engagement, retention and monetization. All of this information is crucial for identifying weaknesses and taking targeted measures to optimize your own strategy.

Data protection remains a top priority

Although the use of Google Analytics makes competitor analysis easier, data protection remains a central pillar of the platform. All data used as part of benchmarking 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 aggregate form. This means competition remains fair and transparent without endangering the privacy of individual companies. An important point: Only companies that are willing to share their own data will have access to the benchmarking reports. This promotes a fair environment in which all participants can benefit from the information shared.

How to enable benchmarking in GA4

If you want to take advantage of the new benchmarking function, you must activate it in your 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 “Audience” in the “Reports” area and then “Benchmarking”. However, it should be noted that the feature may not be available to all accounts immediately 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 important not only for strategic management, but also for operational optimization in areas such as marketing, customer loyalty and monetization. By regularly updating the data and flexibly adjusting the comparison groups, companies can ensure that they are always up to date and can make informed decisions.