In our previous newsletter we had discussed the significance of measuring the success of Online Marketing campaigns, and discussed the selection criteria of Key Performance Indicators (KPIs). In this issue, we would discuss the use of the available tools to measure the identified KPIs. This analysis would further help gauge, the defined goal conversion of the website' Online Marketing efforts.

Goal conversion, which is bifurcated into source conversion and medium conversion and further into KPIs, is a system to measure the collated data, and requires significant planning and proper execution. There are several tools that are readily available and can be used for the purpose of data collection and interpretation in the initial stages. Click Tracks, RedSheriif, Web Trends, Google Analytics etc. are widely used for this purpose. However a prudent choice should be based on the source of data used and the functionalities offered, and not on popularity. It is imperative to know the source of data being used by the appointed tool to adjudge its accuracy and reliability. Some common sources of data are as listed below:

• Data collected from a 'representative panel' of users.

• Anonymous data provided by Internet service providers.

• A combination of audience (panel based estimates) and measured data (data collected from tracking codes and cookies).

• Data assimilated from tool bar applications (Yahoo!, Google etc.).

• Data provided by book marking websites.

The data obtained in conjunction with other web analytic tools, provide information/metrics that can be used to analyze the performance of an Online Marketing campaign.

Employing a credible analytical tool would ensure precise measurement, and Google Analytic is the preferred choice for most Online Marketers, because of its inherent reliability, accuracy and ease of use. In addition to this, it generates comprehensive reports, incorporates flexible parameters like customized tags and is available free of charge. However, there are other analytic tools available that are equally effective.

After identification of the appropriate analytic tool, the next step is to follow the right methodology to collect
the analytic data. The objective should be to target and compute business-specific metrics like conversion ratios, browse-to-buy rates and customer-acquisition costs - in order to optimize the marketing strategy. This includes the use of log file along with applications like SFA (Sales Force Automation) and CRM (Customer Relationship Management), if available.

An integrated use of these applications would provide concrete answer in terms of ROI of an individual campaign (Paid or Organic).

While the fundamentals of goal conversion form the basis of this analysis, the parameters may vary depending on the nature of the Online Marketing efforts (Organic or Inorganic).

The first step of analysis is to check the strengths of the website that is being promoted. Certain website design aspects like Flash, Frames, Ajax etc. are not Search Engine friendly and require extended efforts to promote. However use of such design features cannot be neglected altogether because of their ability to enhance the visual appeal of the website. One should check the cached version of their website to ensure that these features (and the content contained within) have been registered by Search Engine crawlers.

Popular Flash websites (Disney, Reebok) perform effectively by the virtue of their brand value, and hence do not necessarily require SEO to capture audience. However, flash website for a business with comparatively lower brand recognition would definitely need to take measures to be able to attract visitors.

Following this, an analysis should be carried out to fathom the efficacy of the targeted Keywords. The targeted keywords should be analyzed, against its potential to generate sales. While it is established that keywords are selected on the basis of its searched volume, it is still important to ponder on the obtained results. After collecting data for a few weeks, you would be in a position to judge the effectiveness of targeted keywords. Industry trends show that 40% of the keywords yield traffic and 60% of that traffic is unbranded. A metrics like this would assist in identifying the most potent keywords and support the effectiveness of the campaign.

Example: A similar analysis of our website showed that only 10% of visitors coming to our website after searching for "SEO Company" contacted us, while the conversion ratio is 3 times higher for "website Marketing company".

Successfully managing a Paid campaign is more than just finding the right keywords, designing an effective ad and hoping for the best. It requires paying attention to regular bid management practices, be it banner advertisement,  Adwords, Adsense, etc.

It is imperative to calculate the potentials of business verticals, keywords, geographic locations, demographies, etc', for a paid campaign analysis. However, the most effective evaluation involves using manual intervention with a blend of automated data to provide choice of actions.

Example: Using 15 low priced keywords having a combined ROI of 20%, instead of 10 high priced keywords having a combined ROI of 6%. It is essential to note that though the cost of campaign may be the same in both cases, the ROI vary significantly.

Affiliates like Google review the CTR history of a Paid campaign to decide the final cost per click (high CTR equates to greater quality score and therefore lower bid cost). Using analytics to determine this would help you weed out under performing ads and enhance performance.

Example: It is an established fact that developing a richly-detailed Adwords campaign that suffices the specific need of the visitor, generates more traffic.

A unique analytic feature of Google provides “the industry benchmarking” metrics. This enables a webmaster to compare their website statistics to that of the industry average. It facilitates the comparison of site's visits, page views, pages per visit, Bounce Rate, Average time per visit and new visits data against benchmark data from similar categories of other participating websites. It flags and address all the actionable analytics. This assists in identification of areas that require improvement and thus achieve a higher level of performance.

The essentials of measuring a website performance is to compare the behavior pattern of visitors and profitability derived from links, Search Engines, and emails, and gain valuable insight into the conversion process of a website. Analysis of the results involve measuring the findings of the analytics, and comparing these to the Industry average or to the established benchmarks. It should however, answer the following points:

• Was there an increase in the Website' reach for brand value and ad awareness?

• Did the marketing message enhance customer acquisition?

• What was the percentage conversion and what was the intent of purchase (against the efforts consumed for conversion)?

• What was the impact of the marketing efforts on the retention-percentage of repeat business?

These results would demonstrate the factors that influenced the lift in traditional brand value, achieved by marketing?

An effective analysis of site's presentation could be obtained by developing a "Web page prototype" and observing what people do once they arrive on that page. While these metrics are also provided by analytical tools, it is essential to frame an appropriate website usability questionnaire and then try and identify the answers to them.

Example:

• Is the prototype easy to navigate?

• Do visitors perform the desired action?

• Do visitors understand what page they're viewing?

Mentioned below are five Website analytic tools that can be used to assess, through a qualitative impression, of how well the site is doing and how its marketing initiatives perform. 

Click density analysis: Segmenting different type of users across the site.
Visitor's primary purpose: Measuring why people come to the Web site.
Task completion rate: Migrating away from clickstream data toward successful task completion.
Segmented visitor trend: Segmenting customers and their behavior for a richer understanding of their interaction with your Web site.
Multi-channel impact analysis: Measuring the impact of other marketing activities such as newsletters, articles etc.

While it is not hard to reap the benefits of using web analytics, however interpreting these results incorrectly may be counterproductive. The right approach and analysis of the appropriate KPIs is helpful to correct any aberrations.