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The Web Analytics Business Process Web Analytics Demystified

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  • 1. The Web Analytics Business Process How to Drive Web Analytics ROI with the Tools and People You Already Have* Eric T. Peterson Web Analytics Demystified
  • 2. Technology Deployment Technology Deployment 1998 1999 2000 2001 2002 2003 2004 2005 2006 By 1999, the really smart companies were calling WebTrends to buy a copy of Log Analyzer™ By 2001, everyone had deployed log analyzers; the really smart companies began moving to page tagging By 2003, everyone had page tags; the really smart companies began hiring web data analysts By 2005, everyone was trying to hire web data analysts; the really smart companies began aggressively A/B testing It is now 2006; what will really smart companies do in 2007?
  • 3.
    • I predict that in 2007, the really smart companies are going to re-examine how web analytics “gets done” internally
      • They’ll re-evaluate their investment
      • They’ll look for obstacles preventing their success
      • They’ll start to formalize the process of doing web analytics
    • The results will be a gradual shift from web analytics as an ad hoc process to web analytics as a business process
    In 2007, the Smart will get Serious! In 2007, the Smart will get Serious!
  • 4. Business Process and Web Analytics
  • 5. What is a Business Process?
    • Wikipedia defines a business process as:
      • “ A business process is a recipe for achieving a commercial result. Each business process has inputs, method and outputs . The inputs are a pre-requisite that must be in place before the method can be put into practice. When the method is applied to the inputs, then certain outputs will be created.”
      • “ Business processes can be thought of as a cookbook for running a business and reaching business goals defined in organization's business strategy. ”
    What is a Business Process?
  • 6. The Usual Inputs
    • Web analytics is informed by a variety of data:
      • Clickstream data
      • Performance logs
      • Customer data (feedback, relationship information)
      • Usability testing and controlled experiments
      • Marketing delivery and cost data
      • Costs and inventory data
    • This data is often augmented with data from other channels (POS, IVR, etc.)
    The Usual Inputs
  • 7. The Unfortunate Outputs
    • Most companies simply settle for “canned” reports and hope to make heads-or-tails of summary data
      • Assumes that all businesses are alike
      • Assumes some base level of understanding and comfort with the data
    • To compensate, companies create custom reports designed to highlight business relevant data
      • Key performance indicator (KPI) reports
      • Digital dashboards
    The Unfortunate Outputs
  • 8. The Undefined Methods
    • The disconnect between investment and use has led to numerous attempts to describe appropriate methods
      • Most often you see the Continual Improvement Process
      • Designed to highlight that ACTION is the key to success with web analytics …
    • Unfortunately, the Continual Improvement Process over-simplifies the problem
      • Describes the problem at too high a level
      • And so I propose a “new” set of methods for web analytics …
    The Undefined Methods
  • 9. The Web Analytics Business Process
  • 10. Management & Operational Processes
    • Management Processes:
      • Describes how the web analytics organization will be structured and how it will be integrated into the larger marketing and IT organization
    • Operational Processes:
      • Describes how web analytics will actually get done within the organization
      • Fundamental goal: To deliver “value” back to the “customer”
      • The “customer” is another internal group (marketing, merchandising, design, management, etc.) or external business partners
    Management & Operational Processes
  • 11. Management Processes
    • The management processes describe to the organization how web analytics will be strategically integrated into the existing online channel
      • Defining business objectives
      • Assigning internal ownership
      • Establishing goals and targets for improvement
      • Hiring and allocating resources
      • Defining change management hierarchies
      • Tracking return on investment
      • Selecting technology vendors
    Management Processes
  • 12. Operational Processes
    • The operational processes are the actual “doing” of web analytics and the process generating the most tangible outputs
      • Collecting and integrating data
      • Generating reports and writing analysis
      • Providing training to “customers"
      • Presenting analysis and recommending changes
      • Making and tracking changes
      • Tweaking data collection as necessary
      • Researching and integrating new ideas
    Operational Processes
  • 13. You Diagram EVERYTHING!
    • Yes, it will seem pedantic
      • But far too many companies have far from optimal use of their web analytics applications
    • Business process diagrams are fairly well understood
      • They enforce rigor in your approach to data and analysis
      • They help identify gaps in communication
      • They simplify process optimization
      • They serve as a basis for process checklists
    You Diagram EVERYTHING!
  • 14. Decision Points & Events … Decision Points & Events …
  • 15. Specific Tasks & Sub-Tasks … Specific Tasks & Sub-Tasks …
  • 16. Example: Web Page Deployment Example: Web Page Deployment
  • 17. How To Get Started
    • Get process modeling software
      • Microsoft Visio or SmartDraw
      • Business Process Visual ARCHITECT from Visual Paradigm
    • Diagram your existing processes
      • Start with “Launch New Campaign” and “Modify Landing Page”
      • For extra credit, diagram the management process “Establish Goals for Improvement”
    • Insert measurement steps as appropriate
      • Pre-deployment for baseline data
      • Ask: Is controlled experimentation appropriate?
      • Post-deployment report and analysis distribution
    • Distribute the new process!
    How To Get Started
  • 18. Some Do’s and Don’ts
    • Don’t be sloppy
      • Carefully consider tasks and sub-tasks
      • Carefully label decision points and events
    • Don’t assume you’ll get it right the first time
      • Be prepared to re-engineer your Web Analytics Business Process
      • Take careful notes about what goes wrong
    • Do assign ownership to each task
      • Tasks are completed by people and groups
      • Eliminate “I thought you guys were doing that …”
    • Do share your processes up the food chain
      • Let management see you’re focusing on this
      • Gather (and welcome) their input
    Some Do’s and Don’ts
  • 19. In Summary
    • Yes, you still need great technology and smart people
      • This process simply allows you to do more with the investment you’ve already made
    • Deploying the Web Analytics Business Process will help your organization “get serious” about web analytics
      • The worst case is a formalization of what you already know
      • The best case creates structure and identifies opportunities
      • You’ll be on your way to the cutting edge before you know it
    In Summary
  • 20. Thank You
    • Eric T. Peterson
    • Web Analytics Demystified
    • [email_address]
    • Learn more about the Web Analytics Business Process at:
    • http://www.webanalyticsdemystified.com/weblog
    Thank You