This document discusses various web analytics metrics for measuring website performance. It defines metrics as quantitative measurements of website statistics and key performance indicators (KPIs) as metrics tied to business objectives. It then discusses common metrics including visits, unique visitors, time on site, bounce rate, exit rate, conversion rate, and engagement. It emphasizes the importance of segmenting data and diagnosing the root causes behind metric changes in order to understand what is driving website performance.
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Web Analytics - Metrics
This document discusses various web analytics metrics for measuring website performance. It defines metrics as quantitative measurements of website statistics and key performance indicators (KPIs) as metrics tied to business objectives. It then discusses common metrics including visits, unique visitors, time on site, bounce rate, exit rate, conversion rate, and engagement. It emphasizes the importance of segmenting data and diagnosing the root causes behind metric changes in order to understand what is driving website performance.
Download as PPTX, PDF, TXT or read online on Scribd
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Web Analytics -Metrics
Metrics • a metric is a quantitative measurement of statistics describing events or trends on a website.
• A key performance indicator (KPI) is a metric that
helps you understand how you are doing against your objectives. That last word—objectives—is critical to something being called a KPI, which is also why KPIs tend to be unique to each company Visits • Visits report the fact that someone came to your website and spent some time browsing before leaving. Technically this visitor experience is called a session. • When you run a report for any given period in your web analytics tools, Total Visits is the count of all the sessions during a given time period. Unique Visitors • When you run a report for any given time period in your web analytics tool, the Unique Visitors metric is the count of all the persistent unique cookie IDs during a given time period. • If you run your reports at the end of day 2, you will see these details: • Daily Unique Visitors: 5 • Weekly Unique Visitors: 3 • Monthly Unique Visitors: 3 • Absolute Unique Visitors: 3 • Daily Unique Visitors is a useless number if you are looking at a period of more than one day! Time on site • Tp (home page) = one minute Tp (page 2) = four minutes Tp (page 3) = zero minutes Ts = five minutes (Time on Site, also known as Session Length) • Bounce rate: the percentage of sessions on your website with only one page view. • Measure Bounce Rate for your website’s top referrers. Your top referrers tell you who your true BFFs are. These are not the referring sites that just send you traffic but rather sites that send you traffic that does not bounce. • Measure Bounce Rate for your search keywords (paid and organic). Perhaps you are optimized for the wrong keywords, or perhaps your landing pages stink; either way, you need to fix them. Time on site Bounce Rate • You, don’t measure the Bounce Rate for a blog in aggregate. • Segment your data, and measure Bounce Rate for your New Visitors. • You don’t want them to just come and leave after reading the post. You want them to subscribe to your RSS feed. (That’s one click! No bounce!) You want them to read your About page (and be impressed with your magnificence and come to the site again). You want them to click ads (heavens!), and so on. All these actions are of business value to you. Bounce Rate • don’t measure the Bounce Rate for a blog in aggregate. Segment your data, and measure Bounce Rate for your New Visitors. You don’t want them to just come and leave after reading the post. You want them to subscribe to your RSS feed. (That’s one click! No bounce!) You want them to read your About page (and be impressed with your magnificence and come to the site again). You want them to click ads (heavens!), and so on. All these actions are of business value to you. Exit Rate
• Exit Rate measures is simple: how many people left your
website from a certain page • On paper, this metric is supposed to show the leakage from your website. In other words, where do people exit after they start their session? It should illustrate pages that you should fix to prevent leakage and get customers to buy more or sign up more • Can you separate good exits from bad exits without overlaying your own opinions on the data • Use Bounce Rate measures: of the people who enter your site on a given page, how many leave from that page without clicking anywhere on the site and without looking at any other pages? Those are “bad” exits. Exit Rate Conversion Rate • Conversion Rate, expressed as a percentage, is defined as Outcomes divided by Unique Visitors (or Visits). Outcomes are customarily the submission of an order on your ecommerce website. • If you choose Visits as the denominator, you assume that every visit to your website is a chance to get someone to place an order and get someone converted. If you choose Unique Visitors as the denominator, you grant that it is OK for a person to visit your website multiple times before making a purchase. • Check which denominator your web analytics tool uses. For example, Google Analytics and Omniture (and many others) use Visits by default ENGAGEMENT • defines engaging as “tending to draw favorable attention or interest. • The number of times someone visits your site, frequency of Visits, helps you understand the degree of Engagement • Degree The degree of positive or negative Engagement lies on a continuum that ranges from low involvement, namely, the psychological state of apathy, to high. An engaged person is someone with an above-average involvement with his or her object of relatedness.
• Kind Customers can be positively or negatively engaged with a
company or product. A more in-depth examination of kind would reveal its content, usually a mixture of emotional states and rational beliefs, such as in the case of positive engagement, sympathy, trust, pride, and so on. Engagement • The more pages a visitor sees, the deeper their journey and the higher the degree of Engagement. But this metric again does not distinguish the kind of Engagement. • some other metrics and tasks that can capture degree of Engagement: Time on Site, registering on the site, subscribing to RSS feed or newsletter, submitting a comment, or downloading content. Kind of Engagement • Use inline or on-exit surveys and ask your customers. You could ask them directly, “Hey, buddy, are you engaged with our site?” OK, maybe reword that a smidgen. The point is, get qualitative data. • Go for an indirect approach with your survey’s by measuring the likelihood to recommend as a metric. Likelihood to recommend is a strong proxy for Engagement because it measures the greatest gift you can get from your customers: that they will recommend your business to others • Use the other awesome proxy: customer retention over time. Do long-term analysis of people who come back again and how often (non-ecommerce) or make repeat purchases (ecommerce). We’re talking months of data, segmented for online and offline (then compare) and for various micro- segments of your online population. Great Metrics • Uncomplex • Relevant : to business model and strategy • Timely: • Instantly useful Root Cause Diagnosis • diagnosing root cause, is a technique to help you unravel insights from your critical few metrics. The second element, leveraging custom reports, argues that creating custom reports can accelerate understanding of the site’ performance. • Starting with a solid understanding of the macro view of your site’s performance rather than wandering around in the weeds. Example • Increase Conversion rate by 10% • Conversion Rate depends on your acquisition strategy (where you spend money to acquire traffic), your organic search keyword ranks, the ease of your checkout process, the distribution of why people come to your site (primary purpose), the website “scent” (ability of your campaigns to deliver traffic to the most relevant pages), and so forth. Example Macro • Q1: “How many Visitors are coming to my website?” • Measure Visits to your website (sum of sessions) and measure Unique Visitors (sum of unique persistent cookie ID s). • For both of these metrics, focus on the long-term trends. • Go as far back as you can to look for seasonal trends and look for other patterns in the data • Q2: “Where are Visitors coming from?” • Look at two reports: Referring URL s and Search Keywords. • Referring URL s help you understand which websites are sending you traffic and which are not. • It is a great way to begin to understand both what you are doing that is causing traffic to come (relationships, direct marketing, other campaigns, affiliates, and so on) and what you have not done that might be causing traffic. • look for how much traffic you get for search engines (in your referring URL ’s report), and then dive deeper into what keywords and key phrases send traffic from each search engine • Look for non branded keywords. They will indicate that you are getting prospects— people early in the consideration cycle— and that you are getting traffic at the right level for your branded keywords. Intent • Q3: “What do I want Visitors to do on the website?” • Why does your website exist? • What are your top three web strategies (paid campaigns, affiliates, trying to get Digg’ed)? • What do you think should be happening on your website? Metrics • Q4: “What are Visitors actually doing?” • Look at these four details in your reports: • Top entry pages Home pages are dead. Thanks to search and marketing campaigns, people come directly deep into your website. Identify the top 20 “home pages” of your website. • Mark these as important, Metrics • Top viewed pages This is a great way to know what content is being consumed, and it will probably be different from what you think should be consumed. The top viewed pages can also help you, in conjunction with top entry pages, see why people end up looking at what they do. • Abandonment analysis You have surely created your first couple of funnels right now (for your order-taking process or for the steps it takes to submit a lead or take a donation). • Check out the funnel steps where the highest abandonment is happening. • Visitor behavior there will identify big opportunities that will improve outcomes for you, fast Conversion Funnel Foundational Metrics Traffic Sources Acquisition Strategy • Visitor acquisition methods: what are they? Direct Traffic represents all those people who show up at your website after typing in the URL of your website or using a bookmark. • Referring Sites represents other websites that link to you, including blogs, industry association sites, forums, competitors, your mom’s site that proudly links to you, and so on. • Search Engines, well, that’s you know who: Google, Yahoo!, Bing, Ask, and others. This bucket will include both your organic as well as your paid (PPC/SEM ) traffic, so be aware of that. • Finally, there is Other. This bucket contains your display banner ads, email campaigns, social media campaigns, affiliates, and so on. • Typically you are spending money with these places to acquire traffic (except for search Analysis • Low Direct Traffic number could indicate issues with retention or truly connecting with customers. • Next, look at Referring Sites to identify sources that don’t know you but are sending you traffic. You might visit the referring pages and see why. • For some solid sites, you might want to establish a marketing relationship. Usually, referring sites link to you for free, and you want this number to be as high as possible, although it will never be 80 percent! Though, if this number is 2 percent, you may not be spreading your marketing message or value enough to get people to link to you. Segmenting paid and Search keywords Analysis • drilling down to specific websites that send you traffic and, of course, drilling down to keywords and key phrases that are sending you traffic. • Both of those help you understand that critical customer intent. Percentage Short Visits • Top entry pages, keywords, and bounce: what are they? • H ere’s a metaphor: you have many doors into your department store. • With Top Entry Pages and Bounce Rate, you identify doors that are not letting people come into your store. • The Top Entry Pages report shows you the top home pages that let your Visitors. • The keyword report helps you identify keywords where something is amiss. It’s even better if you look at just your paid search keywords. • Bounce Rate measures stinkiness from a customer’s perspective: “I came, I left.” Pages with a high Bounce Rate are not delivering on the promise that drives customers to your site. The ones in the top ten entry pages report need your attention. You fix ’em, and you increase the likelihood that people will go deeper into your site and maybe convert. • The keywords report is even more interesting. Here you have intent. The customer is telling you why they might be visiting, and keywords with high Bounce Rates are where you are not meeting that intent. You may be ranked for the wrong keywords, or the pages these folks land on may not have the right calls to action. Fix it. • What do you do next? I • Experimentation and Testing. Start with simple A/B tests. Start with a free tool like Google Website Optimizer; it can do 95 percent of what any paid tool can do. If you already have a paid tool like Optimost, Offermatica, or SiteSpect, then go for it with one of those. • Pick pages you want to fix, create a couple versions of the pages, and put them into a test. Change copy, content, images, and calls to action—everything is fair game. • With testing, you improve the pages based on customer feedback. Site overlay report • The site overlay report shows the number of clicks on each link on a page • The site overlay report shows % Page Views, Time on Page, Time to the Page, % Exits, and Keywords that brought people to the page. In a nutshell, it’s everything you would ever want to know to judge the performance of a page. • What is it telling you? W hen you look at the site overlay report, you are looking for clusters of heavy clicks. Look for the top two or three most clicked links, and try to reconcile that against links that you want Visitors to click. • See what people are clicking “below the fold,” and look for any surprises there. Also, look at links that ultimately drive high conversions (you can have conversions on an ecommerce website. • Look for things that connect with people. For example, do more people convert on the site when they click Product Comparison on the home page or when they go directly to a product page? Naviga tion report with page level effecti veness Actionable Insights • What do you do next? I dentify improvements to your pages. • Consider merchandizing and cross-sell and up-sell opportunities now that you know what people like. For example, no one is clicking your blinking promotion in the middle of the page because it looks like an ad! • If your tool allows, segment the clicks. Where do people who convert click vs. everyone else or vs. everyone from a search engine or an email campaign? Visits to Purchase report • Visits to Purchase: what is it? Your web analytics tool starts anonymously tracking a visitor from their first visit. When they purchase something from your website, that event is noted. • The Visits to Purchase report shows the distribution of the number of visits it took for someone to purchase from your website. A “purchase” can also be a submission or a lead or another such outcome. Visits to Purchase rates Days to Purchase • What do you do next? The sister report of Visits to Purchase is Days to Purchase. The intersection of these two reports helps you understand how many days pass between visits. • For example, most people may make a purchase after three visits to your site. But those three visits could be more than fifteen days. Or it could be that those three visits were on the same day. • This analysis helps you understand customer behavior in a very actionable way. • Now you can go back and optimize how you sell each item and how you advertise and market it, and you can even optimize your inventory system! Outcomes by all Traffic Sources reports Customer acquisition analysis • Sources of Traffic: What kind of people are coming to our website • Whether the sources are quality sources? • Which sources are leading to our Goals(outcomes)? Monthly Revenue Trend Segmented Monthly revenue Trend Home Page effectiv eness in driving engage ment Aggregate metrics Distribution of pages read during each visit Internal site search Analysis: Site Search Overview Internal site search keywords usage Comprehensive site search data by specific site search terms Measuring site search quality: Site Search Usage • When you look at how your internal site search is used, you need to answer the basic questions first: how much is the search function used, and what keywords are used most? • Remember Bounce Rate? Some web analytics tools provide a Bounce Rate for site search. It is called % Search Exits. It measures the same phenomenon as Bounce Rate: the number of people who leave your website immediately after seeing the results provided by your internal site search engine. Bounce Rate for site search Measuring search quality with Results Page Views/Search % Search Query Refinements for site searches Search refinement for keyword “segmentation” Segmentation options for site search data Analysis • Do New Visitors to your site search more than Returning Visitors? For example, for my real estate website, Visitors from which city search more, and for what? • Is there a difference in internal site searches done by Visitors from yahoo.com vs. those from google.com? Visitors who enter the site from my campaigns on custom landing pages should not be doing internal site search because I have created the most glorious and relevant landing pages, so are they still searching? Goal Conversion Rate for Visits with and without site search SEO ANALYSIS: Optimizing organic search traffic SEO ANALYSIS:Organic and Paid traffic trend Analysis • Why did the paid search strategy get increasingly successful while the organic search strategy went nowhere? What is unique about our website and content? Is our business (content, products, services) so dynamic that organic search won’t work for us? Why the “overreliance” on paid search? • An effective search strategy is a portfolio strategy. You must optimize for all major search engines, and you must effectively use paid and organic search. Doing only paid or only organic is suboptimal. Content Coverage • You can measure the impact of your SEO efforts in terms of content coverage in two ways: • • You can measure the amount of content being indexed over time (this should go up if you publish new content). • • You can measure the number of pages on your site that get traffic from search engines. • If your website is being indexed correctly and • your SEO efforts are working, then over time the number of pages that get direct traffic from search engines will increase. Google webmaster tools Crawl stats report Content coverage report: organic search landing pages Keyword Performance: Top Search Queries report, Impressions vs. Traffic OUTCOMES, GOALS REVENUE AND ROI Segmented conversions: All Visits vs. organic search traffic (Non-paid Traffic) Ecommerce metrics for organic traffic Correlating organic search traffic with Goal Conversion Rates DIRECT TRAFFIC REPORTS ANALYSIS E COMMERCE REPORT OF DIRECT TRAFFIC • Content analysis Note what pages/content directories these (UNIQUE VISITORS) people visit most often. Look at their click pattern in the site overlay (click density) report—what does it indicate in terms of their preferences? Note whether the internal site search data indicates particular needs in terms of products, services, or other needs. • For example, analyzing Visitor Loyalty and Depth of Visit could reveal that most Direct Traffic visits frequently and tends to read only about sports and entertainment, while all other traffic sources seem to gravitate toward politics and culture. Actionable insights • Purchase behavior Visitors who come through Direct Traffic are often, but not always, existing customers, and understanding what they buy is an insightful exercise. • Or in case of non-ecommerce websites, you want to understand the behavior around submitting leads or contributing donations and other such Outcomes. • This data can be especially useful for future targeting possibilities; this is a delight if you have analyzed the behavior to understand seasonal impact RICH EXPERIENCE ANALYSIS:EVENT TRACKING CAR CONFIGURATOR EVENT TRACKING MODEL VIDEO EVENT TRACKING MODEL Car confi gurat or event tracki ng optio ns Goals, Goal Values, and Econo mic Value From a strategic perspective, what is the most important thing that your website is solving for? • If one metric could identify that your business is going up in flames or not, • which one would it be? • • Which metrics will tell you that the three business priorities you are executing • against are having an impact? • • Have you separated the nice to know from the have to know? • • If you had $100 to divide amongst all your web activities, how would the distribution of money look? Who gets the most investment? • • What is the biggest threat to your existence, and how do you know whether it is already harming you? Actionable Outcome KPI’s • Task Completion Rate is the percentage of Visitors to your website who rate if they were able to complete the primary purpose for their visit. • Share of Search is the percentage of traffic you get from search engines compared to your key competitors. You are doing search engine optimization, and you have invested in paid searches. You may be happy with your slow but steady improvements with traffic from search engines or from specific keywords. But what about your competitors? How are they doing, and how are you doing in comparison? • Visitor Loyalty measures the distribution of the number of Visits by each Visitor to your site; that is, it answers this question: “How many times did Avinash come to my website?” • Recency measures the gap between two Visits by the same Visitor • RSS /Feed Subscribers measures the raw number of people who have signed up for your website or blog’s RSS feed. Measuring Feed Subscribers is key because the content from your site is being consumed off-site, in feed readers that might be web-based or software-based. This activity is usually invisible to your web analytics tool. • The % of Valuable Exits metric measures the percentage of people who leave your website by clicking something of value to you. • Cart and Checkout Abandonment: • Cart Abandonment (percentage) This is 1 minus (the total Visitors who start checkout divided by the total number of add to cart clicks). • Checkout Abandonment (percentage) This is 1 minus (the total Visitors who complete checkout divided by the total number of people who start checkout). • Days to Purchase shows the distribution of the number of days it takes someone to make a purchase on your website. Visits to Purchase shows the number of Visits until purchase. Each metric helps you understand the stretch of time it takes someone to make a purchase on your site. Based on what the data reveals, you would change your marketing, messaging, and calls to action. • Average Order Value is the total amount of revenue divided by the total number of orders received • Opportunity size: 2% conversion rate. What is the opportunity. You can do this by analyzing the content Visitors consume on your website. For example, 20 percent of the Visitors went only to Jobs, 20 percent downloaded your press releases, and the last 60 percent went to your product pages. There you go: a primitive realization that your opportunity pie is not 98; it’s 60 Suggestions for micro conversions • Call Avoidance: This is the amount of Visitors who see the phone number page (hypothesis: if the site is good, this amount goes down over time). • • Content Consumption: This is the number of Visits over time to each technical support core area (for example, different products or types of problems). • • Tickets Opened: This is the number of technical support tickets opened on the website (and over time compared to those opened over the phone). • Sales: This is the Revenue from referrals from the tech support site to the e-commerce site (sometimes the best solution to fix a problem is to buy the latest version of the product or an upgrade). • • Net Promoters (or Likelihood to Recommend): This is the percentage of people (or an indexed representation) who will recommend the company products after an experience on the tech support site. • The term economic value is the imputed value of an action taken by someone on your website. The question you must answer is, “As a result of this action by a Visitor, was any value created for my business?” • The way I compute economic value is to figure out the value of a highly qualified list of people. It turns out a recent qualified mailing list cost $4 per email address. • I can take that as a proxy for each of the 23,000 Feed Subscribers I have. Last month I added 470 new subscribers. Value? 470 × 4 = $1,880.