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UTM Parameters: What They Are, Why They Matter, and How to Use Them Effectively

alecho882

Updated: Oct 19, 2024

Tracking the effectiveness of digital ads is crucial for making informed decisions, not just to optimize ad campaigns but also for strategic business planning.


In today’s digital world, where advertisements are spread across multiple platforms, it's important to know where your customers are coming from and how each channel contributes to your campaign's success. In this article, we'll explore how UTM parameters can be used to track Meta (and other) ads in Google Analytics 4 (GA4) and why they are so valuable for businesses.



What Are UTM Parameters and Why Are They Important?

Imagine you are running a large-scale campaign for a new product across various platforms like Facebook, Instagram, Google, YouTube, Reddit, Pinterest, and LinkedIn to reach your audience.


Without UTM parameters, when you look at the data in Google Analytics 4, all these traffic sources will be lumped together, making it difficult to understand how much each channel contributed to the campaign's success (or failure). The result is a “data cocktail” that makes it impossible to identify each channel's specific contribution. Therefore, analysis and subsequent decision-making become less informed.


Основните видове UTM параметри включват:


  • UTM Source: Identifies the source of the traffic (e.g., Google, Facebook).

  • UTM Medium: Describes the type of traffic (e.g., cpc, social, email).

  • UTM Campaign: Allows you to name your campaign (e.g., summer_sale).

  • UTM Term: Used to track paid keywords.

  • UTM Content: Helps differentiate different versions of ads or links.


Most platforms have fields where you can easily add your UTM parameters, or you can use a tool like the UTM Builder.

Tracking settings screen for ad campaigns, showing options for website, app, and offline events, with a section to build URL parameters for tracking campaign performance.
Setting up tracking and adding URL parameters

For a business that utilizes multiple advertising channels, attributing revenue to each one can be a challenging task. This is especially important for allocating the budget correctly to maximize return on investment (ROI). While GA4 automatically tracks results from SEO, Google Ads, and referral traffic, proper tracking of Meta (and other social networks) ads requires additional setup with UTM parameters.



Form to build URL parameters for ad campaigns, including fields for campaign source, medium, name, and content, with an example of dynamic parameter usage.
Configuring UTM parameters for tracking campaign performance.

Campaign Source: Set to "facebook" – This tells you where the traffic comes from.

Campaign Medium: Set to "cpc" (cost per click) or another term like "paid" or "social." Note that the term should be distinct from other UTM parameters you use.

Campaign Name: For example, "fb_summer_sale2024" – This makes it clear that the campaign is a summer sale in 2024. Including "fb" makes it easier to distinguish the specific network in GA4 if you use multiple social media platforms.

Campaign Content: You can use a dynamic parameter like {{ad. name}} to directly pull the ad name at the Ad level. Ensure there are no spaces in the name (e.g., "Banner_1080x1080").



Viewing Results in GA4


To view results in GA4, you can use the demo account provided by Google.

Google Analytics 4 home dashboard showing metrics such as users, new users, average engagement time, event count, and active users in the last 30 minutes, with country breakdown.
Google Analytics 4 dashboard overview for user engagement and activity.

Navigate to Acquisition > Traffic Acquisition.

Google Analytics 4 acquisition report showing the number of new users over time, with breakdown by primary channel groups including Direct, Paid Search, Organic Search, and Referral.
Google Analytics Dashboard - Traffic acquisiton

By default, you will see "session primary channel group," which gives an overview of traffic channels (e.g., paid ads, organic search). To see specific traffic sources, switch to session source/medium. This breakdown shows precisely where the traffic is coming.


Here's a useful article about different channel groupings in GA4.

oogle Analytics 4 interface showing traffic acquisition report filtered by session source and medium, displaying metrics such as engaged sessions, events, engagement rate, and event count.
Analyzing traffic acquisition by session source and medium in GA4.

Since Google has its own communication channels and specific UTM naming conventions, it can be confusing—keep this in mind. Here is an example of an account with properly defined UTMs, as shown above.

After selecting "Session source/medium," click on the small blue plus icon to add "session campaign" to display the specific ad.

List of session source and medium combinations, including Google organic, direct traffic, Google CPC, Facebook CPC, Bing organic, TikTok CPC, and other referral sources.
Session source and medium breakdown for traffic analysis.

If you need more information or assistance, feel free to connect with me on LinkedIn.

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