Sunday, August 23, 2009

Web Analytics, When You Need It?


Web Analytics: When You Need It


Web analytics have been around for a long time. It has been used ever since the companies began using the internet for marketing purposes, or in other words, e-commerce. With the rise of e-commerce, Web analytics came into subtle existence.

The OLD Analysis

Web Analytics before made use of certain tools to analyze how well websites perform. Page Views and Hits counter are one of the most tools used by companies before to determine how popular their website is. Of course, before, it was the only thing dependable.



Weaknesses of the OLD Method

Although some would argue before that website popularity is measured by the number of site visitors, most people do not really understand the depth and implications of "hits". I, for one, believe that although having a number of "hits" in one's site isn't bad, it cannot be accounted for everything. For instance, as Avinash Kaushik said in his book, Web Analytics: An Hour a day, we need to measure both the "what" and the "why", quantitative and qualitative, or simply, the numbers and motivation behind the website.



Before, websites are deemed a success when it reaches a million hits, or a million page views. This is because of the assumption that the more people who view it, it must mean its helpful. In some cases, it is true, but considering there are more than a million people world wide who have access to the internet, and the fact that page views and hits counters neglecting the fact that web visitors always have a tendency of going back to the same site over and over again, that million hits may be as good as 20,833 people going back and forth from to the website everyday, for the whole year.

In a nutshell, what old method lacks is the ability to give substantial data as to "why" people visit the website. People may just happen to see the website, but leaves almost immediately. That would count as a hit, but you have no way of knowing whether or not they found the website helpful.

Introduction to the NEW Analysis

Now, there is little need to panic. Even though the old Web Analytics tools are somewhat becoming obsolete in this age of information, there are new replacement for them, most of which can and will give companies a more substantial data to work on. Web Analytics should be like the following: (note: the following, and more, are listed in Avinash Kaushik's Web Analytics: An Hour a day.)

1. Click Density Analysis: This tool is simple enough to grasp. It measures which links get the most amount of traffic from web visitors. This is much better than "hits" counters, since it lets you know which of you links are actually being used, allowing you to remove underused, or obsolete links.

2. Visitor Primary Purpose: A survey, or a simple question to your online visitors, either by sending to their e-mails, or interviewing them in person. The idea is to gather answers as to what your visitors' primary purpose in visiting your website. This will provide you that much needed "why" or qualitative data. With this, you can further improve the website with the things your target customer needs.

3. Task Completion Rates: This provides an analysis of how "successful" visitors are after visiting your website. By "successful", it simply means they completed the task they have by visiting your website. Things such as "Did you find our website helpful?" every time a user exits the site will give you a good overview of how useful your website was to your customers.

The one's mentioned above are the ideal use of Web Analytics today. They provide a certain degree of data that the old Web Analytics cannot provide.

Measuring Both the What and the Why

Avinash Kaushik states that: "Combining the 'what'(quantitative), and the 'why'(qualitative) can be exponentially powerful."

Most of you will ask why? To put it simply, you need not only the "numbers" when determining how productive your website is. You also need to know the "motivation" of the people using your website. Why did they visit your site? Why did they stayed in your website? or Why did they leave your website? Why are some of your links overused/underused? These are some of the "Why" questions most e-commerce website owners should be asking.

Methods To Use?

There are several methods to use to gather qualitative (why) data. The following are examples of the methods used (note: can also be found in http://www.webanalyticshour.com/):

1. Lab usability testing

2. Site visits, follow-me-homes

3. Experimentation/testing

4. Unstructured remote conversations

5. Surveying

Web Analytics, When You Need It?

Overall, Web analytics is needed NOW, by companies and businesses with websites. The need for efficient, and productive website is a must, not only to maximize the use of websites, but also to help customers get what they need. A good website is always a welcoming experience for both old and new customers.