Web Analytics Blogs

Eric T. Peterson has been working in web analytics for over ten years and has built up an incredibly rich body of knowledge about the subject, knowledge Mr. Peterson works to share every week here in his Web Analytics Demystified weblog. Whether you're new to the subject or the most experienced practitioner, you should join the thousands of people around the globe already subscribing to Peterson's blog and start reading today.

Subscribe to Eric T. Peterson's weblog

Archive for 'My Books'

« Previous Entries Next Entries »

A question I get with some frequency these days …

As I have been doing more and more lately to help folks find and fill web analytics positions it seems like more emails like the following come in:

“I have just been promoted into a Marketing position and one of my primary responsibilities is web analytics. I do not have any formal education or experience with web analytics and I am expected to educate myself by any means necessary. After doing some research online, the first thing that I did was order your book, Web Analytics Demystified. I also picked up a copy of Waiting for Your Cat to Bark by Bryan and Jeffrey Eisenberg.What kind of advice would you offer to help me outline a practical education process? I know reading, as much as I can, will be expected and I have already begun the process. What about web marketing conferences? What about online courses like UBC Award of Achievement in Web Analytics? Would my company receive a greater ROI by having me take online classes or sending me to conferences? My gut tells me, to buy more books and take online classes, before I start worrying about going to conferences.”

The advice I would offer to anyone in this position is to do the following:

  1. Read the rest of my books, especially Web Site Measurement Hacks and The Big Book of Key Performance Indicators. The former is an excellent overview covering the breadth of things that web analytics professionals are tasked with doing and the latter is a deep-dive into the use of KPIs to help drive awareness of web data throughout the organization.
  2. Take the UBC Web Analytics Award of Achievement classes, offered via the Web Analytics Association. All of the feedback I hear from people who have taken the classes is excellent. The folks they have teaching the courses are world-class and the content that I’ve seen is both fresh and well-written.
  3. Join the Web Analytics Forum at Yahoo! Groups. While the conversation has a tendency to drift away towards the banal at times, the group is still the single largest and most active web analytics conversation on the planet.
  4. Read some of the web analytics weblogs to keep up on current happenings. I personally like mine (go figure), but I also highly recommend Avinash Kaushik and Gary Angel.
  5. By all means, go to the Emetrics Summit. Jim Sterne’s event is the single best place to meet the brightest minds, hear the best presentations, and meet the nicest people in the entire industry. There are upcoming events in London (March), Germany (April) and San Francisco (May).
  6. Ask your vendor what classes, documentation, presentations, etc. they have that might help you better learn how the technology is best used to create value. You’d be surprised at how much helpful information the vendors have when you ask.

If you think I’m forgetting anything I’d love to hear your comments.

So you want to be a web analyst?

As I’m finally starting to catch up on things around here I noticed that Jason had recently published a Clickz article titled Becoming an Experienced, Invaluable Web Analyst in which proposes a few strategies for folks who want to get into web analytics. One of the things he proposes is to get a job working in an analytics position at an interactive agency, something I had been thinking about while reading the first job posted on my new job board.

This posting, advertising for a VP/Associate Director of Digital Media Analytics and Technology, sounds like a dream job for any fairly senior consultant with a heavy background in web analytics. Some of the qualifications the interactive agency is looking for include:

  • Familiarity of view-through conversion technology and cookie-based tracking, rich media vendors as well as ad serving platforms and paid search engine marketing data sources
  • Deep functional expertise in database marketing, integrated channel marketing (including online based channels such as websites, banners, email and search), analytical tools, techniques, and other infrastructure requirements
  • In-depth experience in website analysis and knowledge of infrastructure requirements to deliver measurement solutions
  • Strong understanding of blue chip internet business models and online processes, terminology, concepts and strategies

Clearly this isn’t the entry level position that Burby is talking about … but this person is going to join a Strategy and Analysis team of 150 people and have a substantial impact on his or her customers online business. And this person is going to need entry-level folks, folks who don’t have the same experiences necessary to fill this position, but people who:

  • Are technology-savvy, but business-minded;
  • Are good at writing, but great at presenting;
  • Are enthusiastic about data, but recognize that not everyone else is;
  • Are patient, but unwavering in their desire to improve the current situation;
  • Are willing to pay their dues, but unwilling to generate great analysis that is ignored;
  • Recognize that reports are a necessary evil, but know the real value is in the analysis

(Oh, and it doesn’t hurt to have read one or all of my books!)

There are tons of people like this out there–trust me, I am in communication with folks like this all the time, it’s just a matter of companies understanding how to recognize them when they apply for open positions given that they don’t have “8+ years experience professional statistical analysis and modeling experience, e.g., advanced web analytics, advanced survey design and
analysis, econometrics, psychonometrics, data mining, or clinical trial analysis/biostatistics” plus a PhD (preferred) on their resume but be willing to report to the Director of Analytics.

Holy crap, huh? It’ll be easier to find a headless chicken who still walks than it will to fill that position!

If you’re interested in working in web analytics and wondering how to get started, I’d love to hear from you. And if you have tried to break into the field to no avail, I’d also love to hear from you. Between my new job board and dozens of friends companies who are constantly looking for the kind of people I describe above, I might just be able to give you a hand.

Good old oblivious Clint is building fun Excel stuff for all of us!

Clint, who unfairly criticizes himself for missing my reference to his work a few weeks back but responds with a cool tachometer visualization in Excel that you can download and use for your own key performance indicators. One of Clint’s readers wisely points out that the tachometer doesn’t provide any historical context when presenting a value but I would counter that as a component of a well-designed dashboard a tachometer can be the visual element that some people need to really grok the data.

And that’s all you’re really trying to accomplish, aren’t you? Getting “the man” to grok the data and understand that “something” needs greater attention.

I would caution user’s of Clint’s work to carefully select which metrics they choose to throw in their tachometer. I like Clint’s use of acquisition mode (he called it “acquisition index” but I think I defined it as “acquisition mode” in Web Analytics Demystified) but I’m not so sure about Visitor Growth percentage and Percent Returning Visitors.

Regardless, great work Clint!

Avinash proposes a Site Abandonment Rate

While I was on vacation Avinash was prolific as usual. Earlier this week he proposed something he calls a “Site Abandonment Rate” which he defines as:

Site Abandonment Rate (in percent terms) = [1 – (the total orders placed on the website divided by total add to cart clicks)].

Pretty good, except his metric as defined is not useful to the many non-commerce sites out there. I would propose that what Avinash has described is actually the “Transaction Abandonment Rate” — the likelihood that someone starting an online transaction will actually complete the transaction.

This metric can be added to the cart and checkout abandonment rates that are already well described, as well as to the cart and checkout usage rates that describe the likelihood that a visitor or session (depending on how you calculate it) will result in business-positive actions.

If you accept this change in nomenclature, then I would propose that a more inclusive definition of “Site Abandonment Rate” would be something like:

Site Abandonment Rate (in percent terms) = Total sessions where session page views is less than “some low number” / Total sessions

This way, each site can define what “some low number” is for themselves based on their observed distribution of page views per session. Perhaps a good place to start would be halving your average page views per session (you watch that KPI, right?)

Now Avinash comments to someone named Angie that he worries about extending his “Site Abandonment Rate” definition to a non-commerce world, worrying about confusion with “site exit rate” and “content non-consumption rate” While I have no idea what a “content non-consumption rate” is, I know that my “site exit rate” is 100 percent and so is yours — you cannot calculate a sitewide exit ratio since all sessions ultimately end in an exit.

Perhaps what Avinash meant was the site exit ratio for a page or a process, such as the “Search Results to Site Exits Ratio” I describe on page 67 in The Big Book of Key Performance Indicators?

Regardless I suspect that the number of analytics professionals who would benefit from a more inclusive definition of “Site Abandonment Rate” far outnumbers those who would confuse this definition with the “content non-consumption rate.”

All of this reminds me of the metric “Heavy User Share” which I first described in 2004 in Web Analytics Demystified based on Eisenberg and Novo’s Guide to Web Analytics and also my percent low/medium/high click-depth key performance indicators described in the more recent Big Book of Key Performance Indicators. All of these metrics (Avinash’s included) are an attempt to describe some aspect of visitor engagement and their potential for success (usually described in your terms, not theirs.)

Anyway, thanks to Aviash for pointing out this valuable addition to the body of key performance indicators in the world. I’ll surely make sure it gets added to upcoming editions of my books (and credit the author, of course!)

My son, the editor …

A totally uncharacteristic post from me just to see how images work with the Blogger platform. Pictured here is my son, Cooper, clearly enjoying his signed copies of Web Site Measurement Hacks and Web Analytics Demystified.

Cooper has been encouraging me lately to update Web Analytics Demystified. While much of what he says sounds like the inane ramblings of a toddler, I think what he’s saying is that the book is out-of-date and needs to be updated to reflect all the changes in the industry since 2004, not to mention all the exposure I’ve had to other technologies and ideas since my first tenure at WebSideStory.

Who knows … maybe Cooper’s right. What do you think? Would you like to see an updated edition of Web Analytics Demystified?

Mobilytics