Go back

Google Tag Manager: Why businesses should implement it and how to set up GTM.

google analytics

Google Tag Manager: 7 important reasons why your business is missing out on opportunities without GTM.

Imagine the situation: you’re spending significant amounts on advertising but don’t understand which channels are driving sales and which are just wasting your budget. Many small business owners don’t track the effectiveness of their marketing campaigns in the right way, even though analytical tools are available for free!

Google Tag Manager (GTM) is the tool that will change your approach to data analysis and budget optimization.

Companies that use GTM correctly significantly increase the return on their advertising campaigns. Meanwhile, their marketers and developers save hours every week thanks to automation. Google Tag Manager allows you to deploy and manage various tracking codes (tags) on your website without needing to interfere with its code every time. But what exactly makes GTM such a valuable tool for businesses, and why its implementation is no longer a luxury, but a necessity? Let’s explain it in detail.

What is Google Tag Manager and how does it work?
Google Tag Manager is a free tag management system that allows you to add and update tracking codes (tags) on your website or mobile app without touching the source code. Essentially, GTM acts as an intermediary between your website and analytical services.
The system works on a simple principle: instead of adding dozens of different tracking codes directly to the HTML of your website, you insert a GTM container once. Through this container, you manage all your tags via a user-friendly interface.

Main components of GTM:

  • Container — a code snippet that is inserted once on all pages of the website
  • Tags — code snippets for tracking (e.g., Google Analytics, Meta Pixel, TikTok, etc.)
  • Triggers — conditions under which tags are triggered
  • Variables — additional parameters used in tags and triggers

Why should your business use Google Tag Manager?

Independence from Developers
Do you know the situation when to implement a simple ad pixel, you have to wait for weeks until a developer is available? With GTM, you can add and modify tags on your own, without the need for programming knowledge or involving technical specialists.
This is particularly important for small and medium-sized businesses, where one employee often handles multiple areas. Many entrepreneurs cite technical limitations as the main obstacle to implementing new marketing tools.

Resource and Time Savings
Every request to a developer costs time and money. GTM significantly shortens the cycle of implementing new analytical tools:

  • Before implementing GTM: from a few days to two weeks to add a new code
  • After implementing GTM: from a few minutes to one day to set up and publish
    E-commerce businesses and others save many hours of developer work every month after fully transitioning to GTM.

Improved Website Load Speed
Website load speed is a critical factor for conversions and SEO. Google Tag Manager loads tags asynchronously and optimizes their operation:

  • Reduces the number of HTTP requests
  • Allows tags to load gradually without blocking page rendering
  • Uses "accelerated loading" technology for optimization
    A properly configured GTM significantly improves load speed, which directly affects search engine ranking.
    ![Graph comparing website loading speed before and after GTM implementation. Visualization shows improvement in key speed metrics (place after the last paragraph of this section)]

Centralized Management of All Tags
Imagine that all your analytical and marketing tools are gathered in one place:

  • Google Analytics
  • Google Ads
  • Meta (Facebook) Pixel
  • TikTok Pixel
  • Remarketing codes
  • CRM integrations
  • Conversion tags
    GTM allows you to manage all these tools from a single control panel, making it easier to:
  • Monitor the functionality of tags
  • Quickly detect and fix errors
  • Audit installed tags
    Businesses that use GTM have significantly fewer critical errors in analytics setup compared to those who install codes directly.

Detailed User Behavior Tracking
Google Tag Manager opens up new opportunities to understand the behavior of visitors on your website:

  • Tracking clicks on specific elements of the page
  • Analyzing page scrolling
  • Measuring time spent on the page
  • Tracking interactions with forms
  • Monitoring video views
    Understanding the customer journey helps optimize the conversion funnel. Companies that use advanced GTM features to track user behavior report significant improvements in conversions.

Testing Before Publishing
One of the most valuable features of GTM is the ability to test new tags before publishing them:

  • Preview mode allows testing tag functionality in real time
  • Versioning system allows easy rollback to previous settings
  • Ability to test on different devices
    Most marketers note that errors in analytics setup often appear only after launch. GTM significantly reduces these risks.
    ![Screenshot of GTM interface in preview mode showing the process of testing tags before publishing (place after this section)]

Server-Side GTM for Increased Performance
Traditionally, GTM works on the client side (in the user's browser), but Google also offers Server-Side GTM — a new approach that moves tag processing to the server:

  • Improves website load speed
  • Increases data accuracy
  • Bypasses ad blockers
  • Complies with GDPR and other regulatory requirements
    Implementing Server-Side GTM reduces data losses caused by ad blockers compared to regular GTM.

How to Set Up Google Tag Manager for Your Business

Creating an Account and Container
The first step in using GTM is creating an account and container for your website:

  • Go to the Google Tag Manager website
  • Create an account (if you don’t have one yet)
  • Enter the account name (usually the company name)
  • Create a container, enter its name and platform (web, iOS, Android)
  • Accept the terms of use
    You will then receive a container code that must be installed on your website. It is important to place it on all pages:

html

<!-- Google Tag Manager -->
<script>(function(w,d,s,l,i){w[l]=w[l]||[];w[l].push({'gtm.start':
new Date().getTime(),event:'gtm.js'});var f=d.getElementsByTagName(s)[0],
j=d.createElement(s),dl=l!='dataLayer'?'&l='+l:'';j.async=true;j.src=
'https://www.googletagmanager.com/gtm.js?id='+i+dl;f.parentNode.insertBefore(j,f);
})(window,document,'script','dataLayer','GTM-XXXXXX');</script>
<!-- End Google Tag Manager -->

The code consists of two parts: the first is placed in the <head> section, and the second immediately after the opening <body> tag.
![Screenshot of GTM interface with instructions for installing the container code on the web (place after the paragraph about the container code)]

Setting Up Basic Tags
After installing the container, you can move on to setting up tags. Let’s start with the most important ones:

  • Google Analytics 4
    In GTM, click "Tags" > "New"
    Name the tag (e.g., "GA4 - All Pages")
    Select the tag type "Google Analytics: GA4 Configuration"
    Enter your Measurement ID (format G-XXXXXXXX)
    In the "Triggers" section, select "All Pages"
    Save the tag
    It’s important: if you’re setting up e-commerce, add the necessary parameters in the "Tag Configuration" section for tracking transactions and product views.
  • Meta (Facebook) Pixel
    Create a new tag
    Name it (e.g., "FB Pixel - Pageview")
    Select the tag type "Custom HTML"
    Paste the pixel code you received from Facebook
    Set the trigger to "All Pages"
    Save the tag
  • Conversion Tracking
    To track conversions (e.g., form submission):
    Create a trigger of type "Form Submission" or "Click"
    Enter the conditions (e.g., URL of the "thank you" page or button class)
    Create a tag to send the event to Google Analytics
    Set event parameters (category, action, label)
    Link the tag to the created trigger
    Professional tip: for complex forms, use a combination of "Form Submission" and "Click" triggers to increase tracking reliability.

How to Create an Effective Tracking Strategy with GTM

Defining Key Goals for Tracking
Before diving into technical settings, define what user actions are most important for your business:

  • Purchase or order
  • Form submission
  • Newsletter subscription
  • Downloading a catalog or price list
  • Viewing key pages (e.g., pricing pages)
    For each goal, define:
  • What value it has for the business
  • How to technically track it
  • What data needs to be collected
    Marketers say that clearly defined tracking goals significantly improve analytical effectiveness.

Implementing Advanced Event Tracking
GTM allows you to track not only standard actions but also specific interactions:

  • Scroll tracking: Find out what percentage of the page users are viewing
    Create a "Scroll Depth" trigger
    Set vertical thresholds (e.g., 25%, 50%, 75%, 100%)
    Create a tag that sends these events to analytics
  • Time on page tracking: Analyze how much time users spend on important pages
    Create a "Timer" trigger
    Set an interval (e.g., 30 seconds)
    Set a limit on the number of activations
    Create the corresponding tag
  • Click tracking on external links: Track transitions to external websites
    Create a "Click - Just Links" trigger
    Add the condition "Click URL contains http" and "Page URL does not contain Click URL"
    Create a tag to send the event

![Infographic with a visual of the user journey and key points for tracking via GTM (place in the middle of this section)]

Using dataLayer for Advanced Capabilities
dataLayer is a JavaScript object that allows you to pass data from your site to GTM. It opens powerful opportunities for personalized tracking:

javascript

// Example dataLayer for e-commerce
dataLayer.push({
 'event': 'purchase',
 'ecommerce': {
   'transaction_id': '1234',
   'value': 99.99,
   'currency': 'USD',
   'items': [{
     'item_id': 'SKU123',
     'item_name': 'Analytical Course',
     'price': 99.99,
     'quantity': 1
   }]
 }
});

Using dataLayer allows you to:

  • Pass dynamic data from your website
  • Create triggers based on custom events
  • Use additional variables in your tags
    Companies that use the advanced features of dataLayer record more valuable interactions compared to those using only basic GTM features.