Danny Ng - Analytics 101 SMX Boot Camp 2011Presentation Transcript
Analytics 101 Danny Ng Consulting Manager First Rate
What is analytics and how does it work?
What analytics solutions are available in the market?
Deciding which analytics to choose
How to decide what you should be measuring?
Insights and actionable examples derived from analytics data
1. What is Web Analytics?
Web analytics is the practice of analysing usage of a web site in order to demonstrate the value of the site, or to improve it.
2. What Packages Are Out There?
Yahoo! Web Analytics
Cheap (< $10,000/year)
Expensive (> $10,000 year)
Omniture Site Catalyst
All take time and/or money for setup and configuration
Make sure you know what you need!
3. Which web analytics to choose?
Questions to ask first:
What do you need to measure on your website that will impact the decisions made by your sales, marketing and customer service team?
What are your technical resource limitations that may affect your ability for implementation?
What kind of reporting do you need?
How much are you willing to invest? (Remember: Free does not mean it won’t cost your business in terms of technical & consulting resource!)
4. What to measure? Visitors Page views Time on site Bounce rates Conversion rates Visits Unique visitors Average value Pages/ visit
5. Questions to ask yourself
What are the business objectives for my website?
What goals do I need to aim for to achieve my business objectives?
What are my key performance indicators (KPI)?
You need to know what you want to measure and take action on!
The 4-Step Framework
Example 1 : Identify opportunity keywords Analysis: Cars for sale does well on organic search but is no where to be seen on paid search. Action: Start bidding on cars for sale in paid search account. Analysis: Cheap cars does well on paid search but is no where to be seen on organic. Action: Focus on improving rankings cheap cars on SEO. Keyword Paid Search Visits Paid Search Revenue Organic Search Visits Organic Search Revenue Organic Ranking Cheap cars 856 $12,468 48 $0 50+ Used cars 674 $5,491 670 $6,165 3 Buy cars 431 $4,683 342 $3,718 6 Cars for sale 0 $0 349 $2,495 8
Example 2: Identify ROI chann els Analysis: Yahoo CPC seems to be the most cost effective CPC channel due to the low competition of advertisers, however the volume isn’t necessarily the largest. Action: Assuming my acceptable CPS is $0.20, consider investing more into Yahoo CPC until CPS $0.20 is achieved to drive more volume. Analysis: Facebook CPC seems to have poor conversion rate which is affecting the acceptable CPS threshold. Action: Consider refining further Facebook’s target audience to drive better qualified traffic to improve conversion rates. Source /medium Visits Revenue (KPI) Cost Conversion Rate Average Order CPS (KPI) google/cpc 34,189 $63,378 $15,000 2% $100 $0.24 google/organic 24,137 $58,532 $6,000 2.5% $97 $0.10 facebook/cpc 5,498 $5,278 $1,500 1.2% $80 $0.28 yahoo/cpc 1,709 $3,759 $600 2% $110 $0.16
Example 3: Goal Funnel Analysis Analysis: High exit rate to the entrance point of the funnel. Form data lost due to AJAX driven pages. Action: Consider getting rid of AJAX driven pages to accommodate for user’s using the back button. AJAX driven
You need web analytics to make data-driven decisions!
Before choosing a web analytics package, make sure you know what you need and be aware of resource constraints.
Figure out your 4 step framework: Business Objectives, Goals, KPIs, Targets
Take action! Don’t just analyse, refine!
Always make data-driven decisions!
Questions? Danny Ng Consulting Manager [email_address] www.linkedin.com/in/dannyng www.firstrate.com.au