This week i have been asked several questions regarding web analytics and ROI tracking. So i decided to revamp an article i published last year.
Here's the article i recently published on ezineArticles
Web Analytics and ROI Tracking
By Eric F Martin
The main goal of a web site is providing information and content to its visitors, but how do you know how many people visited your websites, which pages did they visit, which content is more likely to attract visitors, are there any returning visitors... Usually when you invest time and money optimizing your website, or promoting it, or managing a pay per click campaign, you have to know how effective it was, that way you can decide If it's worth it or not. In fact, every webmaster has to track his online visitors and their behavior.
Web analytics is the measurement of a web site's visitors behavior. It refers to the measurement of the best converting pages, the number of visitors, unique visitors, returning visitors, goals, entry pages, exit pages, geographic localization... in order to determine which pages of the website succeeds and helps you reach your objectives. For example, You need to understand where your traffic comes from, which landing pages encourage people to make a purchase, which affiliate or partner site sends the most converting traffic, which one sends low quality, low converting traffic, which marketing effort generates the best Return On Investment or R.O.I ... thus Web Analytics is critical to improving the measurable results of a marketing campaign in order to improve the return on investment or you are simply wasting your money.
The main advantages of log file analysis are the fact that the data is already logged by your web server. Every transaction is recorded by the web server regardless of the visitors browser, and this data is on your server directly in standard format so you do not rely on a third party server. Another advantage is the fact that log files provides information about visits from search engine spiders, robots, and failed requests which is really important if you want to optimize your website.