Articles Comments


» Web Analytics » Why are we scared of Analytics?

Why are we scared of Analytics?


As web marketing budgets continue to rise into the webosphere, it is surprising to me that only a small percentage of companies are using "full-service" web analytics, and of those companies using analytics, are they really getting the most out of it? Are they looking at ROI% at the keyword level? Are they looking at at their Referrers and contextual based networks and excluding sites that are not converting?

The future of web marketing is not increasing traffic conversion, it’s filtering out unqualified traffic and then finding out what is NOT converting. When you can find areas of low conversion and ROI% and then react and make the right adjustments, then and only then are you winning the game.

Don’t get me wrong, applying the right techniques and methods to  SEO, SEM, email and Blogging can greatly improve the quality of traffic, but it can only only take your company so far.  Companies that have the typical tunnel vision strategy of driving large volumes of traffic and maximizing the Top Line  are either arrogant with their "direct mail throwing advertising in the consumer’s face" mentality or they are not aware of what web analytics can do for their business.

It has been my experience that the initial setup costs, monthly fees and page view contracts are a main reason that companies do not have analytic software packages. However, lower cost analytics programs do exist and it’s only a matter of time that more and more analytics companies will surface and offer even lower prices.

But I think the biggest issue as to why so little companies use analytics is lack of exposure. Do they even know it exists? Once VPs, CMO’s and Web Directors get some exposure to this, then understanding and convincing them is the turning point in determining if they "really get it" and see the investment potential. If not, then they cannot see past their own tunnel vision. Either case, it will eventually catch up to them and when the balance sheets start to show an increase in ad spend and a decrease in ROI$, they will start to dig a little deeper into their corporate piggy banks.

Filed under: Web Analytics

Leave a Reply