Measuring Key Performance Indicators

The problem with most companies marketing strategy today is that companies don’t understand how they use things like web analytics. Most e-commerce directors or web marketers are given a budget and told to stick to it, and good analytics don’t usually come cheap. Without web analytics you can’t even begin to measure key performance indicators (KPI’s), which should be a part of any good marketing strategy. We often see that marketers face a problem in that they know they need Web Analytics, they just don’t know why they should pay for it and don’t know what to measure.

Developing KPI’s allow you to measure things on your website which directly effect your business objectives. For example, finding ways to improve the number of pages people view per session there is more chance that those users will complete your calls to action (buy, register, subscribe, whatever web business objective you may have).  For instance you could measure page views per session of visitors only hitting your shopping cart. Content websites could use page views per session in particular content groups to work out how compelling particular kinds of content are. It all depends on the web site business objective.