Team 2o7 – Web Analytics Competition IntroductionYieldConversionOrder SizeRecommendations Casey Jackman –Software Engineering Kirk Ouimet –Web Marketing Richard Taggart –Technology Instruction

Backcountryoutlet.com Background Business model: E-commerce Site objectives –“We want to be the leading seller of discounted snowboarding equipment” –Sell off last season’s inventory in order to free up cash to purchase more product –Move expired merchandise Current marketing methods –Heavy SEO and referrals from backcountry.com –Tuesday blasts IntroductionYieldConversionOrder SizeRecommendations

KPIs for E-commerce Sites VisitsOrdersRevenue IntroductionYieldConversionOrder SizeRecommendations YieldConversion Order Size

Yield = Revenue / Visits Primarily involved with how people are finding the site Relative indicators –Number of visits and visitors –Average position in search engine listings –Search terms (paid and natural) –Return on advertising spending –Error pages, referring domains, referring URLs IntroductionYieldConversionOrder SizeRecommendations

Yield – Revenue in January 2008 Yield = Revenue / Visits $1.1 million in revenue in Jan. (~$35,000/day) Most sold product: Nixon Gable Baseball Cap IntroductionYieldConversionOrder SizeRecommendations

Yield – Visits in January 2008 Yield = Revenue / Visits 808,874 visits in January (~30,000/day) 59% from other websites, 33% from search engines, 7% direct IntroductionYieldConversionOrder SizeRecommendations

Yield in January Monthly Yield = $1.1 million / 809,000 visits Yield for January = $1.36 / visit IntroductionYieldConversionOrder SizeRecommendations

Yield – Recommendations Stop paying for keywords that are already in the first position in search engine listings: IntroductionYieldConversionOrder SizeRecommendations

Example of Paying for Natural Keywords Stop paying for keywords that are already in the first position in search engine listings: IntroductionYieldConversionOrder SizeRecommendations

Reallocate Advertising Funds Term “backcountry outlet” – 1,857 clicks Term “back country outlet” – 564 clicks 2,421 clicks at a conservative 30 cent CPC = $726.3 of poorly allocated advertising spending per month ($8, per year) Recommendation: Spend the money on more specific keywords like product or brand names IntroductionYieldConversionOrder SizeRecommendations

Effects of Reallocating Advertising Funds Less money spent on keywords that are already ranked in the first position More advertising funds available to spend on valuable keywords such as “snowboards”, “prana”, “oakley sunglasses”, and “discount ski gear” – keywords which historically increase backcountryoutlet.com’s yield IntroductionYieldConversionOrder SizeRecommendations

Conversion = Orders / Visits Primarily involved with how people are interacting with your site Relative indicators –Number of visits and orders –Cart opens, additions, checkouts –Cart fallout percentage –Checkout initiation rate –Product browse to buy ratio IntroductionYieldConversionOrder SizeRecommendations

Conversion IntroductionYieldConversionOrder SizeRecommendations Visits Orders Conversion Rate

Conversion Breakdown Conversion = Orders / Visits (100,795 / 6,284,598 = 1.60%) Can be broken down into a factor of –Cart Opens / Visits –Orders / Cart Opens IntroductionYieldConversionOrder SizeRecommendations 5.3% x 30.0% = 1.6%

Increasing Conversion IntroductionYieldConversionOrder SizeRecommendations Conversion Cart Opens Visits Orders Cart Opens = x

Increasing Conversion IntroductionYieldConversionOrder SizeRecommendations Campaigns with most orders for October ’07 Feed1.65% Outlet 50% off discount code5.21% HP Featured Products1.27% 2nd Summer 2007 SAS - BCO 5.77% 3rd Summer 2007 SAS - BCO 5.67% BCO Google Net1.10% 2008 Cutting Edge Gear3.85% BC Google Net2.45% The gear slut’s rummage sale – BackcountryOutlet.com 1.37% Last day - 50% off code6.27% Campaign Conversion

Conversion – Recommendations Use more coupon codes –People are ~4% more likely to place an order if they have a coupon code Increase the number of feed subscribers –Make it easy to subscribe to a feed IntroductionYieldConversionOrder SizeRecommendations

Order Size – Search Engine Referrals Search EngineSearches% 1. Google163, % 2. Yahoo!16, % 3. Google - Canada3, % 4. Google - United Kingdom1, % 5. AOL.com Search1, % IntroductionYieldConversionOrder SizeRecommendations

Site Map IntroductionYieldConversionOrder SizeRecommendations

Most Popular vs. Highest Revenue Pages IntroductionYieldConversionOrder SizeRecommendations

Most Lucrative Pages PagePage Views Revenue 9.Category:Men's Clothing82, %$9, % 10.Category:Women's Clothing70, %$8, % 11.Weekly Promo 70_off_clearance_bin90, %$6, % 12.Subcategory:Men's Jackets77, %$6, % 13.Subcategory:Women's Jackets60, %$5, % 14.Customer Login10, %$4, % 15.Category:Snowboard49, %$4, % 16.Weekly Promo 50_off_clearance_bin56, %$3, % 17.Subcategory:Men's Shirts24, %$3, % 18.Category:Ski47, %$3, % 19.Subcategory:Sunglasses36, %$3, % 39. Product Group:Women's Snowboard Pants 9, %$1, % 40.Category:Shoes17, %$1, % 41. Product Group:Women's Snowboard Jackets 10, %$1, % IntroductionYieldConversionOrder SizeRecommendations

66 North Iceland Revenue Page Page Views Revenue 1. Subcategory:66 North Iceland Men's Jackets %$ % 2. Subcategory:66 North Iceland Women's Jackets %$ % 3. Subcategory:66 North Iceland Men's Pants %$266.47% 4. Subcategory:66 North Iceland Women's Shirts %$225.31% 5. Subcategory:66 North Iceland Women's Pants %$41.01% 6. Subcategory:66 North Iceland Kids' Jackets %$40.97% 7. Subcategory:66 North Iceland Hats503.47%$30.65% 8. Subcategory:66 North Iceland Men's Long Underwear %$20.53% 9. Subcategory:66 North Iceland Women's Long Underwear 50.35%$00.00% Total1, %$ % IntroductionYieldConversionOrder SizeRecommendations

Screen clipping taken: 2/22/2008, 10:46 AM IntroductionYieldConversionOrder SizeRecommendations

Revenue Comparison Currently Linked on SiteMap –Subcategory: 66 North Iceland : $408 –Category Shoes : $1447 Recommended Link on SiteMap –Category Men’s Jackets : $6,357 –Category Sunglasses : $3,376 IntroductionYieldConversionOrder SizeRecommendations

Screen Resolution Monitor ResolutionVisitors% x , % x , % x , % x 86439, % x , % IntroductionYieldConversionOrder SizeRecommendations

Landing pages IntroductionYieldConversionOrder SizeRecommendations

IntroductionYieldConversionOrder SizeRecommendations Stop spending advertising funds on highly ranked natural keywords Start spending advertising funds on specific product and brand keywords Utilize coupon codes Focus on RSS feed visibility and subscriptions Capitalize on Google’s sitemap Cater popular content to low resolution visitors