Any of you who are currently using web analytics to measure and optimize your online marketing efforts should applaud yourselves
. You have taken the proper first steps towards opening the window into the minds of your visitors.
With these vistor behavior reports, over time, you should be able to:
1) Effectively drive more traffic and increase conversions, revenue, and leads.
When tracking the conversions of your pay-per-click campaigns, you'll find that you can raise the bids on good performing (conversions over 1.25%) keywords. Raising bids will raise your ranking in the sponsored links and drive more traffic, increase conversions, and improve revenue. More traffic means more sales and leads.
2) Immediately cut costs form your advertising budget.
When tracking the conversions of your pay-per-click campaigns, you'll find that you can lower the bids on non performing (conversions under 1.25%) keywords. The money you save from lowering or removing bids can be used for raising other bids.
3) Lower abandonment rates of your visitors and help clear up bottlenecks.
Using the bounce rate and funnel analysis reports, you'll find out which pages and areas your visitors are leaving your site. Once these areas are fixed and tested, you'll be able to clear up the bottlenecks and improve the navigation to a sale or lead.
4) Build a better web site and improve the amount or returning visitors.
Analytics are most efficient when they are used to test changes you make to your site. A good webanalytics package should provide you with a Most Requested Pages report, a Most Successful Path Analysis report, a Referrer report, a Search Engine Phrases report, and others to help you build a better web site. You need to constantly review these reports and make the necessary changes based on your visitors' behavior. Build a site based around your visitors, not based around what you think will work. "The only way to meet the needs of your customers is to know your audience and what they're interested in."
Here are a few articles that stress the value of using web analytics. Enjoy!
Optimizing Online Business Performance
The Rebirth of Web Analytics
Web Analytics Red (and Green) Alert