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Measuring Web Site Performance Are companies making the leap?

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Presentation on theme: "Measuring Web Site Performance Are companies making the leap?"— Presentation transcript:

1 Measuring Web Site Performance Are companies making the leap?

2 Background  Web sites are important marketing tools  Most sites share the same purpose  Big investment to build and maintain site but…. Attempts to measure web site ROI? Web Site ROI

3 Definition of return on investment(ROI) The financial impact of the web site vs. initial and ongoing maintenance costs Web Site ROI

4 Why Do The Research?: Find out if companies are measuring ROI If so:  How? --systems? tools?  Based on what criteria?  vs. other site objectives?  Expectations? Web Site ROI

5 Research Question Do web enabled businesses develop and apply criteria for measuring return on investment for their company web site? Web site ROI

6 Literature Review  Little accountability for web site ROI  Sites built with “foggy” expectations  Few resources to measure ROI  Success measured by opinion, not fact  Evaluation methods/tools: yesterday & today Conclusion: Can’t avoid ROI anymore!

7 Research Objectives Web Site ROI 1.Determine criteria for success? Is ROI a factor? 2. What kind of measuring is being done? 3. Specific ROI goals and expectations?

8 Who Will Care? Results will be valuable to anyone involved with making decisions about their web site! Web Site ROI

9 The Survey LIMITATIONS  No e-commerce sites  50 employees or more  6 months old SURVEY DESIGN  Online Web Site ROI TARGET RESPONDENTS  Webmaster  Marketing Mgr  Owners

10 The Results SITE PRIORITIES 1) Brand Image 2) New customers 3)Feedback ……….. 5) Profitability

11 The Results CURRENT MEASURMENTS & SYSTEMS  Number of daily visits  Database for customer information (leads)  Web site feedback Web Site ROI

12 Results Web Site ROI Initiatives

13 Results  Only 10% had ROI goals yet…  95% chose strongly agree/agree site when asked: “Is site doing what it is supposed to be doing” Web Site ROI

14 Results Web Site ROI

15 How are site evaluations performed? METHODS  Committee = 64% or individual  Surveys = 18%  Software = 18% Web Site ROI

16 Validity/Reliability  43 surveys out of 203  Diversity of the respondents  Average respondent: - 4 year old site - Publicly held - Web master Web Site ROI

17 Review of Findings Literature Review revealed: 1) a need - ROI 2) the market’s response – ROI Tools Research revealed: 1) lots of measuring and evaluating: --user hits, feedback, new leads etc. 2) No ROI focus

18 Conclusions  Companies are measuring web site activity, but… ROI is not a top concern.  In fact, -- less than 50% had ROI criteria --less than 20% had ROI measurement tools Web Site ROI

19 Conclusions/Key Learning brand image new leads site feedback rated above profitability content graphics navigation Web Site ROI

20 The Answer! Companies are NOT developing and applying criteria for measuring ROI. …but, the subject is not being ignored. Web Site ROI

21 Interesting Data Point Despite this apparent lack of focus, most believe their site is generating a positive ROI. But “how much” is usually a guess! Web Site ROI

22 Follow-up research WHY NOT ROI?  Software too expensive?  Too difficult to measure?  ROI evaluated with each component? Web Site ROI

23 The Future  ROI cannot be ignored.  Maximizing potential for web site success requires ROI as an evaluator.  Opportunity to improve with software

24 Think of it this way… “Enterprises are not in the business of increasing page views, they are in the business of making money. Web analytics should support this objective.” --Business Wire,2001

25 Web Site ROI QUESTIONS???


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