Why ‘Voodoo’ is concerned with specific measures and analysis on the web? We believe that most business owners and marketers when asked the question “Do we need better analytical tools to measure the effectiveness of your campaign?” Will immediately raise their hands. We all want to measure improved performance of our budget dollars, but are unwilling to understand the mechanics of data or even how to produce detailed reports. Quite simply, no one wants to measures of data, or be responsible for reporting it.
A simple explanation of the origin of the phrase “Lies, damned lies, and statistics” states as follows: “use of statistics to support a weak argument, and the tendency of people to disparage statistics that do not support their position.”. Here lies the second problem we, the numbers are correct, but the interpretation and use by individuals sometimes be suspect.
In a three-part series, it is my intention to get rid of the Voodoo with metrics on the web, and provides a methodology to evaluate and measure the success of your online program.
Part 1: Keep it simple – too much data is just that – too much data!
In 1969 in Vietnam, the ratio will kill the American jet that crashed during the fighting dogs. At one point, 20-30 enemy aircraft shot down by U.S. jets for every one. At the end of the decade the ratio is 2:59. Jet America and their technology is far better for Jets Russian MIG but worrying trend going forward.
When they interview a very successful pilot in the air to air combat, they have something in common. As a fighter of advanced information technology, as well as dashboard and instrument pilots. Pilots have been identified and focused on some of the equipment; ignore the rest. One pilot who managed to tape even during the dormant instruments. In the decision to engage the enemy air, live or die based on the information of key importance.
Most analysis software program, Omniture, Google, and so offer the user, so MUCH information about their web marketing dashboard to send users screaming in the hallway in frustration. Try to keep things simple because only the data too much – too much data.
Part 2: Where do I begin to start analyzing the data on the web?
Knowing that you have so much data available for you to be enlightening and frightening. The question you need to ask is where I started. Start with your company’s goals for this year. If you do not have anything, be it a blog topic for another day. Of the objectives of the company, you can create specific marketing objectives above to your website. From marketing objectives, you will identify and measure key performance indicators (KPI). Your web activities KPI or key steps you want to focus on.
It is unrealistic to say “I want to increase web traffic to your website.” It is more useful, for example, to determine the purpose of increasing web traffic by 10% to support product launches in September.
Let us consider the following examples:
Company Goals:
Acme sells widgets consumer company and one of their 2009 business goals is to increase customer loyalty.
Website Marketing Objectives:
Benchmark, measure and improve online customer satisfaction KPI for the first quarter of 2009.
Key Performance Indicators (KPI)
= Retention Ratio KPI “Visitors will return” / “to all visitors”
What are the steps: determining how you are doing on visitors to maintain
Metric: 10% increase
The trick: to promote the webinar and product announcements
Action:
First determine your key performance indicators to identify the purpose of benchmark% increase. I usually weighs towards the same period the previous measurement. Since we measure the performance for Quarter 1 2009, we recommend you compare the measures for the December Quarter 2008. Use your attention here, if your company has strong sales cycles you may want to measure the same period the previous year.
Section 3: What should I Key Performance Indicator (KPI) measurements mean?
Congratulations! After reading Part 1 and 2, the challenging web-based measures do. There is still work in progress is required, but a methodology to identify clear goals and define KPIs that are relevant (KPI) is a sound business practice.
In addition, make good use of a process of continuous improvement. Realize that the corporate objectives will change and so might your website goals and key performance indicators need to be adjusted. A change of goals and key performance indicators appear difficult task to manage but do not. If you focus your web site around a small number of changes, your Web metrics program that is more manageable. In a previous position, I manage Symantec worldwide enterprise marketing. During the dotcom boom days of crazy, web quarterly goals are set and then converted in the first month. With the rampant growth in new markets, “changing the tires while driving” is the modus operandi of our company. But this should not happen to you … hope.
Using actual numbers, let’s look at the example I used in “Part 2 – Where do I start start to analyze web data” Our company goal is to improve customer retention rates for online 1st quarter 2009. We will measure this goal by using the following KPIs, aimed at a target to increase by 10%:
Results:
% Return visitors
December Quarter: 50%
March Quarter: 45%
Change%: 10%
At first glance, we fail to achieve our goal of improving customer retention. However, you should be more interested in understanding what it can contribute to customer satisfaction levels are lower site – so, further research into the required data. We soon learned that the national marketing launch occurred in January. As a result, a large spike in traffic from new visitors to the website. Marketing and public relations work to encourage new visitors to the site but the cause of the decline in exchange% of customers.
During difficult times, there is great pressure to justify every marketing dollar spent. A web analytics program that binds the company’s objectives with measurable key performance indicators, is now expected that the Senior Managers.
Senior Marketing Michael senger is energetic, results-oriented professional with over 10 years of experience in both Internet marketing and marketing communications.
Tags: Web Marketing
