Web Analytics and SMEs

Running a web consultancy advising SMEs on developing their online business strategy I meet many small businesses that have are totally un prepared for the challenge of taking their business online. Many companies spend far too much on the initial web development without a clear online business strategy and most do not set aside enough resource to market themselves successfully online resulting in disappointment and disillusionment.

In their first year of operation we advise clients to split their web budget 50:50 between web development and online marketing. Effective search engine optimisation, pay per click advertising and building links with other quality websites does not come cheap. However, most small business and even many web development companies have not yet woken up to the central importance of a new technology that can help businesses become successful online.

Web analytics is a relatively new technology that allows the measurement of web site performance through the statistical analysis of visitor behaviour. Web analytics allows the measurement of the cost effectiveness of online marketing channels such as email marketing, pay per click advertising and search engine optimisation allowing the small business owner to maximise their advertising spend. It provides information on visitors arriving from search engines such as Google which is critical in developing profitable search engine marketing campaigns. While providing insights into patterns of visitor behaviour, web analytics can identify places where potential customers exit the site, help improve customer conversion rates, reduce lost sales and provide valuable customer intelligence.

Used correctly the small business owner can use web analytics as a dash board to drive their online strategy forwards, improve website performance and achieve their business objectives.

Jim Williams
Managing Director,
www.ju2.com