What Do You Expect From Web Analytics?

by Mark Shead on October 25, 2011

I have noticed that many businesses selling things on the web for the first time suffer from a common problem. They don’t understand what to expect from their web analytics. When you don’t know what you should expect, it is easy to be happy with whatever you get and not dig any deeper. In some cases, just a simple shift in expectations can revolutionize a business because it makes people start looking for the right things.

Consider this analogy. If someone has absolutely no experience with an automobile, they might assume that a vehicle that breaks down and needs to go to the shop every week is perfectly normal and just accept it as part of life. However, once they learn to expect something different, they will start looking a whole lot deeper at what is happening.

My goal for this article is to give you a few base level expectations about analytics in an e-commerce setting. If it seems overly simplistic it is likely that you already know what to expect out of your web analytics.

Expect to know where people leave your sales funnel

Do people fill up a cart with items and then leave when they see your payment options?  Do they leave after adding an item to their cart, but never clicking on checkout? These are questions you should be able to answer easily. You should be able to see exactly where people are leaving and then test small changes to see if they can improve your conversion rate.

Expect to know the value of a keyword

You should know exactly what a visitor who comes to your site for “blue widget” is going to spend on average. This ability is vital for knowing how much you can invest in targeted advertising to get visitors. If you are doing pay per click search engine marketing, you should know exactly the return on investments for each keyword and it should be trivial to remove the losers and up your spending on the winners.

Expect to know where your visitors are

You should be able to get a very good idea of where your visitors are geographically. You should be able to compare this information to sales data by keyword in order to focus on specific areas where the conversion rate is greater and avoiding those where it is too low.

Expect to track sales data

While it is implied in the expectations above, your analytics setup should know about a sale. It should be able to tell how much the sale was for and what items were purchased. You should be able to segment this data to answer questions like, “which entry page has the largest average order size?” and “which advertising campaign is producing the greatest ROI?”

So there you have four base-level expectations that you should have for your web analytics. If you aren’t getting at least those things, then it is probably worth digging a bit deeper.

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Functionality Before Look and Feel

by Mark Shead on January 7, 2011

There are a lot of businesses that could benefit from custom software. Unfortunately many small companies hire a firm to create software, have a horrendous experience and decide the custom software simply is to expensive to be cost effective. This is partially the fault of software developers that don’t know how to work with a client. However, many businesses looking for custom software, don’t really understand how software is made.  They go into things expecting a magical process and do all kinds of things that make things that makes the process worse.

One of the biggest problems in creating custom software is knowing when to focus on look and feel and when to focus on functionality. A good software engineer is going to use a number of tools to automate things in the early stages of development. This means if you need a screen where you can fill out employee information, he will be able to get a functional form up and working without needing to write the code to display the words, “First Name”, the code to display the words “Last Name”, the boxes to type in the first and last name, etc.  Instead he should be able to just program the screen to automatically create a form that lets you fill out the standard employee information.

This automatically generated form, may not be as pretty as what you’d like.  It might have a blue background instead of the green you prefer and it might have some fields in a different order than what you want.  However, it allows the developer to get something functional very quickly. This is vitally important because you may have a very different idea of how the application should work, once you are able to click through and actually do whatever that software does. Once the functionality is working and you know the software performs as expected, then it is time to go back through and make the software look the way you want.

The problem comes because many people are very visually oriented and will start asking the developer to change the way things look from the first meeting. You don’t want the developer spending 20 hours making a screen look pretty only to later discover that the screen isn’t needed after all. Lock in the functionality first and then come back through with a graphic designer and create the look and fine tuning to make it polished.

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