Web Analytics

Are web analytics tools a part of your business plan?

With the growth of online marketing and sales, web analytics have become a crucial part of any business strategy. They monitor the health of a website, allowing administrators to gain valuable insights into user behavior and examine the return on online spending. These website analytics tools are beneficial to many people within a company, from designers and developers to marketing departments and business analysts.

Web analytics software uses a series of tags added to the codes on website pages. When each tag is set off by a user's interaction with the site, data is gathered and compiled in a database. The data is then sorted into various reports on different user behaviors. These web traffic analytics reports might include new user analysis, page views, abandonment rates, demographics and much more. Sophisticated web analytics software allows users to monitor not only their websites, but also associated online marketing campaigns such as e-mail marketing, banner advertisements or site promotions, and real-time activity.

Features and Benefits

• Visitor behavior reports allow you to monitor trends and patterns
• A/B testing allows for continuous website and usability enhancements
• Advertising and site promotion tracking options help increase value for the investment
• Lower abandonment rates on website and customer registration areas
• Increase conversion rates

Top Choices

• Coremetrics
• WebTrends
• Omniture

Major Considerations

• Do I require real-time website monitoring as well as standard web analytics?
• Do I have enough traffic to invest in sophisticated web analytics programs, or will basic programs do?
• Will the analytics software integrate with other types of business and marketing software I already use?
• Can I get training and support from the web analytics product provider?
• How easy is it to implement and update the tool on my website?

Price Range

Most web analytics tools are sold as packages, so the cost of your particular package will vary. Web analytics firms usually charge between $25 and $10,000 a month, depending on the needs of your business – basically, the more you pay, the more features and services you will enjoy.

Summary

Though web analytics may seem like an unnecessary expense, the data these tools provide can significantly lower business costs and help you gain a better understanding customer behavior to make your business more profitable.

You'll also be happy to know that most web analytics firms are happy to go over your business requirements with you, and many offer free trial versions of their products. This allows you to select the best product for your needs. With the right tools and an appreciation for what web analytics can do for your website and your business model, you'll have no trouble getting a return on your investment.