In the digital landscape, selecting the right tools for web analytics is crucial for reporting marketing performance accurately and improving overall strategies. It's vital to meet specific requirements such as integration with other marketing information systems, ease of configuration, and cost-effectiveness. Here's a comprehensive overview:
Collecting site-visitor activity data
1. Historical Perspective: In the mid-1990s, web analytics relied on log files that tracked hits each time a user accessed a webpage. However, hits are an inaccurate measure of website effectiveness since they count each element on a page separately.
2. Better Metrics: Page impressions or page views and unique visitors provide a more accurate assessment of site activity. Companies like ABC electronic audit sites using these metrics to provide visitor numbers to advertisers.
3. Data Insights: Web analytics can offer valuable insights, including page per visit (PPV), visits per visitor (VPV), top pages, entry and exit pages, clickstream analysis, visitor origin, browser and operating system, referring URLs, and more.
Design for analysis (DFA)
Designing a website with analysis in mind is crucial. DFA allows businesses to understand their audience and their decision-making process, leading to better-targeted content. Examples include breaking long forms into parts, creating URL policies, grouping content by audience type, measuring attrition, and ensuring a single exit page to linked sites.
AB and multivariate-testing
To determine the best-performing design or creative alternatives for a website, experiments are necessary. AB testing and multivariate testing are two effective methods:
1. AB Testing: Compares two versions of a page or page elements, randomly serving visitors with either version. It aims to improve key performance indicators like click-through rate, conversion rates, and revenue per visit.
2. Multivariate Testing: Allows simultaneous testing of multiple combinations of page elements to find the most effective design.
Clickstream analysis and visitor segmentation
Detailed analysis of visitor behavior helps identify opportunities and problems on a website. Clickstream analysis involves studying visitor paths and their interactions with the site. On-site search analysis is crucial for understanding how visitors find content. Key metrics include the number of searches, results, and conversion rates. Visitor segmentation involves grouping visitors based on various factors like demographics, traffic source, behavior, and more.
Selecting a web analytics tool
Choosing the right web analytics tool is crucial and depends on various factors:
- Integration: Consider how well the tool integrates with other data sources, such as social media marketing and customer data.
- Accuracy: Evaluate the tool's accuracy in tracking and reporting data, comparing browser-based and server-based approaches.
- Media Attribution: Look for models that go beyond "last-click wins" to attribute referrals accurately.
- Visualization: Assess the tool's data visualization capabilities in reports and alerts.
- Customization: Check if the tool offers customization options for creating and distributing reports and alerts.
- Support Services: Evaluate the level of support provided, including configuration assistance and consulting.
- Privacy: Ensure the tool complies with data privacy laws, particularly regarding the use of cookies.
Strategic data
For senior managers, performance management systems should provide a big-picture view through scorecards or dashboards. These tools showcase trends in digital channel contributions to sales, revenue, and profitability across various products.
By considering these factors and effectively implementing web analytics, businesses can optimize their digital strategies and achieve greater success online.
Adapted from Chaffey, D. and Ellis-Chadwick, F., 2012. Digital marketing: strategy, implementation and practice (Vol. 5). Harlow: Pearson.