Data Analysis for Online Business
Data Analysis for Online BusinessFeb 14 2007 - Advertising - Farhad Divecha
The Internet provides a significant source of information that site owners can collect in order to maximize and complete their client database. The information provided by Internet users visiting a site is essential when devising an online strategy and can help answer several questions about the business and targeted market.
It is important for webmasters and marketing professionals to ask themselves if they really know their sector and their customers. Some important questions that every site owner should be asking are:
- How often do people visit the site?
- What share of traffic for the sector does the site receive?
- How loyal are the site visitors compared to the competitors’?
- How can visit frequency be increased?
- How effective is online advertising at driving new visitors?
- How can the audience be better segmented and targeted?
- How is online behaviour in the sector changing?
Using Data Analysis For Strategic Planning
It is now a necessity for most companies to concentrate on the critical business information retrieved from Internet visitor data. User behaviour analysis can highlight issues such as visitor attrition and its causes, performance versus the competition, and even segmentation of customers by lifetime value. Armed with this information, companies can implement strategic business processes, marketing campaigns and operational procedures to maximise sales and profit.
Systematic data analysis can enable companies to answer business-critical questions and build a solid foundation to base strategic decisions on. The database or Internet user behaviour can thereafter be used as a source of data on regional, country, sector and site level, data including behaviour and demographic data.
As the amount of information gathered and analysed increases, the importance of the Internet as a primary source of customer behavioural data increases. Companies must not forget this and should use this rich data source to make the right business decisions.