Analytics – Why its so bloody important

Web analytics is the measurement, collection, analysis and reporting of internet data for the purposes of understanding and optimising web usage.

Web analytics should be the foundation for most of the decisions made when it comes to trading your e-commerce business. It can take
away the subjectivity from user experience and design, and make decisions around improving the online performance purely ‘fact-based’.” Martin Newman.

Web analytics should be the foundation for most of the decisions made when it comes to running your online business.

You can use analytics to tell you what customers are searching for on the site itself using the site search tool, and you can
take this insight to modify your search engine marketing campaign byadding additional keywords, or by increasing spend and focus on certain keywords and product categories.

Another example is where certain keywords on a PPC campaign might be driving a lot of traffic, but they might also not be converting
well. Of course, multi-variate testing (MVT) and A/B split testing can also play a big part in driving marketing strategy and the performance
of marketing activity, as you can serve up different creative on the same landing page to customers to see which ones convert best. Different
creative might well convert better for different customer segments arriving at the site via different marketing channels.

Contact us today and we'll help you with actioning insights based on your analytics.

Some Key Analytics Terminology

Average Lifetime Value: The average amount of sales revenue website visitors contribute to website business over the life of the relationship.

Bounce Rate:

The percentage or number of webpage visitors that leave the website immediately.

Conversion Rate:

This rate measures the percentage or number of visitors to a website who take a desired action, known as a conversion, such as making a purchase or completing a request for more information.

First-Party Cookie:

For most business models, first-party cookies are seen as the most reliable method of accurately capturing visitor activity. A first-party cookie is set by the e-commerce business, with whom the website visitor has selected to do business. Due to the nature of
this direct relationship, first-party cookies are considered to be more secure by the user.


Any request from a file or a web-server. A single page usually contains multiple hits as numerous image and text files are downloaded from the web-server.

Multivariate Testing:

This refers to the testing of more than one component of a website, in a live environment.

Page Tag:

A piece of JavaScript code embedded on a web page and actioned by the browser when the page is loaded.

Page View:

is a request to load a single page of a website. This action can result from a web surfer clicking a link on another page that leads to the page in question, or by typing a web address into the browser to bring up a specific site or page.

Third-Party cookie:

A third-party cookie is normally set by an analytics vendor, that is, an organisation the website visitor does not have a relationship with, as opposed to the business running the website. Such vendors track visitor activity by introducing a small piece of tracking code onto each website page.