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INTERNET MARKETING : INTEGRATING ONLINE AND OFFLINE STRATEGIES Chapter 11 Measuring and Evaluating Web Marketing Programs

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 3 THE POWER OF THE CLICKSTREAM TO PRODUCE INTERNET METRICS

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 4 USES OF METRICS Possible Site Usability Problems Program and Site Management  Web Pages, , Search and more  Advertising Rates Referring Sites (Search & Social Media) Visitor Behavior Tracking Essential for Marketers  Tactics Concern Some Users

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 5 MULTIPLE PERSPECTIVES ON EFFECTIVENESS

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 6 USABILITY TESTING

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 7 WHAT IS THE PURPOSE OF USABILITY TESTING? Can the Visitor Successfully Perform Desired Tasks?

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 8 TYPES/STAGES OF USABILITY TESTING Concept Testing Prototype Testing Full Usability Testing

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 9 JACOB NIELSEN’S USABILITY LAB circa 1995 Figure 11-2

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 10 PARETO CURVE FOR USABILITY TESTING Figure 11-3

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 11 USABILITY TESTING CAN LEAD TO SITE REDESIGN

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 12 METRICS FOR RELAUNCH Human Factors International

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 13 ENTERPRISE METRICS Site Performance

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 14 WEB PAGE PERFORMANCE

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 15 SITE PERFORMANCE IT Specialists Maintain and Tune Site Marketers Must Be Aware of Site Performance > Visitor Experience

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 16 ENTERPRISE METRICS Business Performance

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 17 MAP METRICS TO OBJECTIVES Sample ObjectiveCorresponding Metrics Increase Number of Captures by 5% in Q1 Number of Unique Visitors Referral Source Length of Visit Number of Unique Visitors to Registration Page Number of Completed Registrations Number of Incomplete Registrations Last Form Box Completed Reactivate 10,000 Lapsed Customers in Q4 Number of s Sent Reactivation Message A/B Number of Click-Throughs A/B Bounces From Reactivation Landing Page Incentive Offer Accepted Convert 2,000 Newsletter Recipients to New Customers in Last Six Months of FY Number of s Sent Monday/Friday Product Offer A/B/C Number of Click-Throughs M/A...F/C Number of Sales M/A...F/C Value of Average Sale M/A...F/C Bounces From Offer Page M/A...F/C Heat Map of Offer Page

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 18 ENTERPRISE METRICS Site Administered  Hit Counters Free Services  Google Analytics, HubSpot, QuantCast, etc. Purchased Services  Server Request Log Data  Coded Web Pages  Customer Panel Data

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 19 COMPREHENSIVE METRICS SERVICES

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 20 MANY FREE HIT COUNTERS SIMPLE BUT USEFUL REPORTS

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 21 WHAT IS A SERVER REQUEST LOG?

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 22 SERVER REQUEST LOGS RECORD The IP address of the requesting computer Date and time of request Code indicating whether request was successful or not Number of bytes of data transferred Referring site Type and version of Web browser making request Operating system of computer making request

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 23 TRACKING WEB SITE VISITORS Coded Pages  Also called -Pixel Tag -Transparent gif -Web bug -Web beacon -Tracking tag -And others

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 24 HOW DOES IT WORK? A 1 x 1 Pixel Image (usually invisible) Used In Combination with Cookies Sends Data About Visitor Activities, Usually to a Marketing Services Firm Necessary to Trace Path Through Site

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 25 COLLECTING PANEL USAGE DATA Software On Panel Member’s Computer Collects Clickstream Data Source Of Data Known Can Measure Both Home & Work Usage For Same Person Can Collect Demographic & Lifestyle Data Produces Longitudinal Data

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 26 BASIC METRICS Site Traffic Hits Impressions Page Views Campaign Measures Programs Products/Offers Search Effectiveness Site Audience Visitors Unique Visitors Identified Visitors Unduplicated Audience

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 27 AJAX-DATA LOADED IN BACKGROUND

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 28 ENGAGEMENT CURRENT BUZZWORD Like Conversion- Probably Best To Define For Your Own Situation Nielsen – Duration of Visit ComScore -- Visits QuantCast – Affinity (Open Panel) Microsoft Engagement Mapping

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 29 NEW METRICS FOR SOCIAL WEB Widgets, “Slide Wall”, etc/ Blog/Widget networks; Targeted packages Impression measures for social web

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 30 BASIC METRICS ALMOST INFINITE NUMBER OF SPECIFIC VARIABLES 

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 31 METRICS DASHBOARD Figure 11-7

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 32 METRICS REPORT--SEM Figure 11-8

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 33 SELECT REPORT, TIME FRAME Figure 11-9

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 34 METRICS DISPLAYED ON PAGE Figure 11-10

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 35 SCENARIO ANALYSIS SHOWS PATH THROUGH SITE Figure 11-11

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 36 REPORT CONTENT AND PRESENTATION CAN BE CHOSEN - DASHBOARD Figure 11-12

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 37 CHANNELS CAN BE COMPARED Figure 11-13

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 38 ALMOST AN INFINITE NUMBER OF Variables  Traffic, Audience, Campaign Reports  By Single Variable  By Multiple Variables  By Day  By Time  By Specific Page  Etc., etc., etc. Objectives Guide Choice of Variables and Reports

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 39 PANEL DATA CAN COMPARE COMPETITORS Figure 11-14

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 40 EXPOSURE versus ACTION CPM – Cost Per Thousand Impressions CPA – Cost Per Action  Cost Per Order  Cost Per (Sales) Lead

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 41 Question: Which Is Best? - CPM or CPA Answer: It Depends On Objectives.

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 42 Reliable Metrics Are Essential To Continued Development of Internet Marketing.

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 43 MARKETERS ARE NOT CONFIDENT

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 44 TWO GOOD BLOGS

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 45 THINK FUNNEL! Sample ObjectiveCorresponding Metrics Increase Number of Captures by 5% in Q1 Number of Unique Visitors Referral Source Length of Visit Number of Unique Visitors to Registration Page Number of Completed Registrations Number of Incomplete Registrations Last Form Box Completed Reactivate 10,000 Lapsed Customers in Q4 Number of s Sent Reactivation Message A/B Number of Click-Throughs A/B Bounces From Reactivation Landing Page Incentive Offer Accepted Convert 2,000 Newsletter Recipients to New Customers in Last Six Months of FY Number of s Sent Monday/Friday Product Offer A/B/C Number of Click-Throughs M/A...F/C Number of Sales M/A...F/C Value of Average Sale M/A...F/C Bounces From Offer Page M/A...F/C Heat Map of Offer Page

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 46 SOCIAL METRICS FROM PLATFORMS

Internet Marketing: Integrating Online and Offline StrategiesCopyright 2008 Atomic Dog/Thomson Publishing 47 SUMMARY Clickstream As A Powerful Source Of Data Usability Testing For Site Development And Improvement Traffic And Audience Measures For Marketing Decisions Tremendous Number Of Reports Available Matching Metrics To Objectives Essential Get Reliable Metrics > Use In Good Decisions Metrics Must Keep Pace With Change