The Web Analytics Business Process

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At the Emetrics Summit in Washington, D.C., Eric T. Peterson presented his thoughts about how companies should approach the overall process of "doing" web analytics. In other words: how to drive web analytics ROI with the tools and people you already have.

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  • Impressive presentation of 'The Web Analytics Business Process'. You’ve shown your credibility on presentation with this slideshow. This one deserves thumbs up. I’m John, owner of www.freeringtones.ws/ . Hope to see more quality slides from you.

    Best wishes.
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  • outstanding presentation..convinced me to have a hardlook at my company model..brilliant
    Anisa
    http://financejedi.com http://healthjedi.com
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The Web Analytics Business Process

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

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