Traditional web analytics tools such as Google Analytics are a standard for tracking website performance. However, most web analytics tools fail to meet the needs of onchain apps in Web3, where users are identified by wallets rather than emails or social accounts. This guide explores what web analytics looks like in Web3, how it works, key metrics to track, real-world use cases, and the best web analytics tools for your onchain app.

Key Takeaways: 

• Web analytics helps you understand and improve user behavior on the browser, websites, and web apps.

• Web analytics offers essential insights for both marketing and product development.

• Key metrics like page visits, bounce rate, sessions, retention, churn, and conversion funnels distinguish engaged users from casual visitors.

• Tracking metrics such as Customer Acquisition Cost (CAC), Revenue Per Wallet (RPW), ROI, and campaign attribution helps you grow smarter.

• Formo combines offchain behavior (visits, clicks) with onchain data (wallet activity, token interactions), providing a complete view of web3 user behavior for onchain apps.

Web analytics in Web3 helps teams collect, analyze, and unify onchain and offchain user data from website interactions

What is Web Analytics?

Teams collect, measure, analyze, and report web data through web analytics. Web analytics helps teams track user behavior, traffic sources, conversions, and more, driving better decision-making. By leveraging insights from page views, clicks, conversions, marketing attribution, and user journeys, web analytics helps optimize marketing strategies, improve user experience, and accelerate growth. 

Activity Dashboard I Formo’s Analytics

In digital marketing, web analytics is the process of collecting, measuring, and analyzing data from websites and apps to understand user behavior, track performance, and optimize marketing strategies for better results. Web analytics helps marketers answer questions like:

• Where are my users coming from?

• What actions are they taking?

• Where are they dropping off?

• What’s converting and what’s not?

How Web Analytics Works in Web3

In web3, users are often anonymous visitors and pseudonymous wallet addresses. Traditional analytics often fall short because:

• The lack of user identifiers (no site-specific emails/logins) makes identity resolution challenging

• Onchain behaviors beyond your site (e.g., swaps, opening a DeFi position) creates data silos

A web3 user's journey spans across both on-chain and off-chain channels. Instead of email or IRL identifiers, users log in through crypto wallets. Key conversion events such as swapping on a DEX or purchasing on an NFT marketplace happen onchain, beyond the reach of existing tools. Traditional analytics tools like Mixpanel and Google Analytics cannot see onchain data, so you miss out on crucial information.

Today's top engagement and retention tools ignore the wealth of data available onchain. For example, marketing solutions like Hubspot and Klaviyo do not support on-chain actions and events, while product analytics systems like Mixpanel and Amplitude do not natively handle blockchain data. Data about user acquisition, drop-off, and retention from a large chunk of the web3 user's journey is missing.

Therefore, analytics in web3 requires two different types of analytics: onchain and offchain:

Web Analytics on Formo shows you where your web3 users come from

1. Offchain Analytics

Offchain analytics captures web-based activity in a website or app, such as:

• Website visits and pageviews

• Clicks and form submissions

• Session duration and bounce rates

• Referrer sources and UTM campaign attribution

• User journeys on the web through funnels and flows

Website analytics is offchain analytics.

2. Onchain Analytics

Focuses on user behaviors recorded directly on the blockchain, such as:

• Public wallet activity

• Token holdings

• Onchain interactions and conversions (swaps, transfers)

• Smart contract usage

• DeFi and staking positions

• Transaction volume and frequency

Wallet Attribution on Formo shows what wallets your visitors and users have installed

Onchain data, while transparent, immutable, and wallet-native, often comes in raw and noisy form. You need context to make it actionable — that’s where tools like Formo bridge this gap, enriching onchain data with behavioral insights to identify top users and opportunities.

Most importantly, website analytics does not handle onchain analytics.

Benefits of Website Analytics

Website analytics helps you decode what’s happening on your site so you can make impact decisions and optimize what matters: performance, conversions, and user experience.

1. Understand How People Use Your Site

Web analytics answers questions such as:

• Which pages attract the most attention?

• Where do users drop off?

• Who are new vs. returning visitors, and how do they behave differently?

• Are people engaging with your content or bouncing immediately?

Understanding user behavior helps improve content, simplify navigation, and guide visitors toward action.

2. Identify and Optimize Key Conversion Points

Teams define conversions as wallet connections, form submissions, downloads, or signups. Web analytics lets them:

• Track how often users complete these actions

• Identify where users drop off

• Benchmark conversion rates and test improvements

Traffic Page I Formo’s Analytics

Even small enhancements, like clearer calls-to-action or faster load times, can yield significant results.

3. Optimize Marketing Spending

Whether running paid campaigns, organic content, or partnerships, Web analytics helps teams see how each traffic source drives real outcomes like signups or onchain actions. This enables you to:

• Double down on effective channels

• Eliminate ineffective ones

• Allocate budget and time for maximum return

4. Improve User Experience

Slow pages, broken links, and dead-end flows hurt conversions and damage reputation. Web analytics reveals these issues in real-time, allowing you to fix them before they frustrate users. A clean UX benefits both your audience and your SEO.

5. Drive Organic Traffic

Organic traffic and SEO remain one of the most overlooked growth channels. With the right web analytics, you can:

• Pinpoint the pages and keywords driving organic traffic

• Spot traffic or ranking declines early

• Optimize high-intent pages for better performance

Your analytics stack should give you a clear view of visitor behavior and the insights needed to act quickly. Formo Analytics delivers actionable data on how users interact with your site—helping you make changes that truly drive growth.

Key Web Analytics Metrics for Web3

In Web3, traditional web analytics (page views, bounce rate, time on site) only cover the offchain side of the funnel. To understand product growth end-to-end, teams need to combine web analytics with onchain analytics.

Traditional Web Metrics:

• Page Views: How many times users view a page.

• Bounce Rate: Percentage of users who leave without further interaction.

• Time on Site: Average time spent per session.

• Conversion Rate: Percentage of users completing a desired action.

Web3-native Onchain Metrics:

• Connected Wallets: How many users connected their wallet

• Token Holdings: What assets or NFTs do they own?

• Wallet Cohorts: Power users, whales, airdrop hunters

• Onchain Activity: Number of transactions, NFT buys, staking actions.

• Churn & Retention: Track wallet activity over time

• Onchain Attribution: Which channels or campaigns result in wallet connections or onchain actions?

• Revenue Per Wallet (RPW): Average revenue generated per unique wallet.

Top Web Analytics Tools

Web Analytics Use Cases for Web3

1. Onchain Attribution & Campaign Tracking

Track exactly which X/Twitter post, Farcaster cast, or creator drives the most wallet connects, transactions, or DeFi conversions. By tying traffic sources to onchain activity, you get a complete view of what actually moves the needle.

Example:
A DeFi protocol runs two campaigns with UTM links.

• Campaign A: 100 wallet connects → 60 users provide liquidity

• Campaign B: 200 wallet connects → only 10 users deposit funds

Even though Campaign B drove more initial connects, Campaign A delivered higher-quality conversions. With onchain attribution, you can double down on the channels, creators, or messages that generate meaningful results—not just clicks.

2. Funnel Optimization and Analysis

Visualize where users drop off across key steps:

• Website visit

• Wallet connection

• Onchain transaction

Use these insights to optimize your onboarding flow, streamline the user experience, and reduce friction.

3. Audience Insights & User Segmentation

Segment users into meaningful groups, such as:

• First-time wallets vs. returning visitors

• Stakers vs. non-stakers

• Whales vs. new wallets

With these insights, teams can run personalized campaigns—for example, airdrops for active DAO voters, rewards for loyal liquidity providers, or tailored messaging for high-value users.

4. Wallet Intelligence and Analytics

Wallet intelligence and analytics provide deep insights into onchain user behavior, helping teams understand transaction patterns, wallet activity, and engagement trends. By analyzing wallets, projects can identify high-value users, segment communities, and track retention across DeFi and Web3 ecosystems.

With wallet intelligence tools like Formo, teams gain the data needed to personalize campaigns, optimize growth, and drive meaningful conversions.

5. Retargeting

Build wallet-based profiles that let you retarget users in a privacy-respecting way via Farcaster, email (if collected), or wallet-native channels (e.g., XMTP).

Then, create personalized content based on tokens owned, community activity, demographics, and competitor engagement, and retarget users who interact with your content or site.

How to Implement Web Analytics in Web3

Step 1: Define a Tracking Plan

Before setting up your analytics stack, outline clear goals for what you want to measure. A tracking plan ensures you collect the right data without noise. In Web3, goals go beyond traditional web KPIs and include wallet behavior, onchain events, and cross-platform attribution.

Questions to ask when defining your plan:

• Do you want to improve payment completion rate or track failed transactions?

• Can you identify which community or campaign a user came from (Twitter, Farcaster, Discord, Telegram)?

• How many wallets staked your token, provided liquidity, or participated in governance after holding it?

• Which funnels matter most—website visit → wallet connect → onchain transaction?

Step 2: Set Up Event Tracking

Event tracking gives visibility into how users interact with your website and product. This is where you capture every key user action, from button clicks to wallet connections, and link them with onchain behavior.

Tools for event tracking:

• Web2 / website events: PostHog, Google Analytics, Mixpanel

• Both Web2 and Web3: Formo (track website events and connect them to wallet behavior and track onchain conversions)

Examples of events to track:

• Website visit and referral source (UTMs, campaigns, communities)

• Wallet connect / disconnect actions

• Smart contract interactions (swap, stake, mint, deposit, vote)

• Drop-off points in your onboarding funnel

Step 3: Connect Wallet Data

The key difference in Web3 analytics is connecting wallet addresses to user sessions. This allows you to move from anonymous traffic metrics to wallet-level insights. Because onchain data is public, every wallet represents a specific persona that you can target.

Benefits of wallet connection in analytics:

• Measure revenue per wallet (instead of per session)

• See cross-platform wallet behavior (e.g., user interacts with your dApp, then engages with your DAO)

• Build real-time segmentation (whales, stakers, repeat wallets, or first-timers)

• Attribute onchain actions back to campaigns or communities

Step 4: Visualize Insights

Once you have event and wallet data, visualization turns raw numbers into actionable insights. Dashboards and charts help teams monitor performance, compare campaigns, and understand user journeys across both web2 and web3 touchpoints.

What to visualize:

• Funnels: Where users drop off (visit → connect → transact)

• Campaign performance: Which social posts, creators, or communities drove the best wallet conversions

• User journeys: Combine onchain + offchain activity into a single view

• Cohort analysis: Track retention, repeat activity, or wallet lifetime value

Funnel Chart I Formo’s Analytics

Step 5: Take Action

Analytics are only valuable when they lead to meaningful action. In Web3, the combination of website analytics and wallet intelligence allows teams to move beyond vanity metrics like page views and focus on what truly drives growth.

Ways to act on analytics data:

• Improve onboarding flows: Reduce friction from website visit → wallet connect → first transaction

• Optimize campaigns: Double down on the social channels, creators, or communities that drive high-quality wallet conversions

• Boost engagement & LTV: Identify repeat users, stakers, or whales and create personalized incentives (airdrops, rewards, governance perks)

• Enhance product performance: Spot where users drop off in your dApp or DeFi protocol and iterate faster

• Grow communities: Understand wallet-level behavior to better serve users, liquidity providers, or token holders

By combining offchain signals (page views, clicks, referral sources) with onchain data (transactions, wallet activity, staking, governance), teams can make data-driven decisions that optimize user journeys, improve product adoption, and strengthen community growth.

Learn more: 

• What is Web3 User Analytics? Benefits, Metrics, and Tools

• Top 5 Web3 Growth Analytics Tools to Unlock Marketing Insights

• Web3 Behavioral Analytics: How to Track and Analyze

Formo makes it easy. Designed to be an alternative to Google Analytics, it combines the best features from web, product, and onchain analytics into one versatile platform.

Follow us on LinkedIn and Twitter, and join our community to learn how Formo supercharges growth for leading teams across web3!

FAQs

1. What is Web Analytics?
Web analytics is the practice of collecting, measuring, and analyzing data about website or app users to understand behavior, engagement, and conversions. With web analytics tools, teams can track key metrics such as visitor count, page views, session duration, traffic sources, and referral channels.

2. Why is Web Analytics important?
For Web3 apps, the web is often the first touchpoint for users before connecting a wallet or interacting onchain. Understanding where users come from and how they behave on the web helps teams optimize marketing, detect fraud, improve product experience, and increase user retention.

3. How does Web Analytics improve user acquisition and growth?
Web analytics provides actionable insights into user journeys, marketing performance, and site optimization. By segmenting users and identifying high-performing acquisition channels, teams can reduce customer acquisition costs (CAC), improve conversion rates, and drive higher ROI.

4. Can Web Analytics detect fraudulent traffic?
Yes. Web analytics can help detect not only bots but also more advanced forms of fraudulent activity, such as Sybil attackers, airdrop farmers, and users attempting to game incentive programs. By analyzing patterns in wallet behavior, traffic spikes, and abnormal session activity, teams can identify suspicious accounts before they skew data or drain resources. This ensures more accurate reporting, protects campaigns from being exploited, and helps maintain fair distribution of incentives to real users.

5. How does Formo support Web Analytics?
Formo combines website analytics with wallet intelligence, linking offchain signals (page views, clicks, campaigns) with onchain actions (transactions, staking, governance). This all-in-one platform provides deeper insights, user profiling, and actionable analytics to accelerate growth.