During one of the huddles at xChange, a good question came up.  What does Analytics look like?  Is it a report, a graph or even a conversation?

At first blush, this seams like a simple question.  It looks like Omniture or Google Analytics, right? Or does it look like Webtrends / Visual Sciences?  Wait a minute, I hired a web analyst and he gives me a report weekly with text on it.  Sometimes we even have a conversation about analytics.

During xChange, analytics looked a lot like conversations to me.  We all sat around tables and talked a lot about it.  The problem is, there is no answer for this.  I know what accounting looks like.  I know what my doctor’s office looks like.  I know what most other professions look like but there doesn’t seam to be a standard way to communicate analytics.

Just printing out a dashboard or special report doesn’t seem to cut it for me.  Neither does a dry report.  When I used to receive weekly reports from our web analyst, I used to insist that he sit with me and go over the report.  I wanted to hear a story about our traffic.  I wanted to speculate as to reasons why things were up or down. 

Data itself is not very interesting.  I think Analytics must tell a story.  It must tell us something we didn’t know before we started.  I want to know how analytics can help our user experience or how it can help us avoid problems.  Those are the stories that interest me.

What does analytics look like at your organization?

It’s been a few weeks since we signed up for Tealeaf and I wanted to give you all an update.  Here’s the situation.  In our environment, we require three new servers to make it work.  We need one server to collect the data on our Linux server, one to collect the data on our Windows server (for Endeca), and one to compile and serve the data so we can read it.

Our servers are actually in two different locations.  Our Linux servers are in Connecticut and our Windows server is at Rackspace.  So we physically must install new servers at both locations.  Well, Rackspace has been great.  They are a traditional co-location facility.  We’ve arranged to have our servers sent there and installed.

Unfortunately, our Connecticut host is not as hospitable.  They’re paranoid about allowing in foreign servers.  They only offer about 4 different configurations and everything must be purchased and installed through them.  If you are simply running a website and don’t need special hardware, that’s great; however, if you need a special configuration such as a special router or firewall, you’ve got issues. 

Moving out of Connecticut is not a simple option.  They are the most reliable hosts and experts for our shopping cart.  If we move from them, we’d need to bring in extra expertise to keep our shopping cart running.  Granted, we are in the process of changing our shopping cart and moving to windows, but that won’t be ready for at least 6 more months.

So what to do?  We are currently working with our hosts to see if they can come up with a solution.  I’d hate to delay our tealeaf implementation because of this.

A couple posts back, I mentioned that we are interested in using Tealeaf to analyze our visitor sessions with the hope of fixing any interface issues.  Well, we signed up for them on Friday.  I’ve decided to blog about our experiences using tealeaf and give you an inside look into the implementation.

Let’s start with the contract process.  Tealeaf isn’t cheap.  It’s a product that major companies use and it’s priced that way.  Fortunately for those of us on the bottom half of the IR 500, Tealeaf came out with an offering called the SMB Package.  If you’ve shyed away from them because of the price, this may be a good opportunity for you to take a second look.  I’m not going to get into the exact price we paid them because I don’t want to find out later that we paid too much or upset someone else because we got a better deal.

We purchased the SMB Package which includes Tealeaf CX (the part that gathers the data) and cxImpact (the part that allows you to see the data).  In addition, we added cxResults.  cxResults gives you multi session capability among other segmenting tools.  This is important for us because our average transaction takes 3 days from the time a visitor first sees our site.

Tealeaf also offers other products such as cxView which is their dashboard product and cxReveal and cxVerify (which are customer service optimization suites) and cxConnect which allows you to connect to third party applications such as Omniture.  However, since we are on a budget and only need the core functionality, we passed on those products.

In addition to the product costs, there is implementation and training which will certainly vary based upon the complexity of your architecture and your training needs.  Our environment is modestly complex because we have servers at Rackspace in Denver and also a Linux server in Connecticut.  Therefore, Tealeaf needs to combine those sessions into one coherent view.

I’m excited about this new implementation and will be happy to let you know how it goes.  If you have any advice for me or any questions, please feel free to comment.

One of the huddles I attended at xChange was entitled “Getting Analysts to Produce Analysis and Getting the Business to Listen.”  I was mostly interested in the first part on how to get the analysts to produce, but I was far outnumbered by the others who wanted to know how to get the business to listen.

This seams to be a super important issue among analysts and here’s why.  Real ROI comes from action.  There really is no ROI in analytics.  Unless your analysis results in a positive change, it doesn’t really help, does it?

So how do you get the changes implemented?  Many analysts don’t have front line control over their websites — particularly in large companies.  The website is tightly controlled by the managers or executives.  In those cases, the analyst needs to become a salesperson.  They have to sell the idea of changing a website. 

One interesting perception from this huddle is that there is often some level of hostility between the analysts and the decision makers.  They don’t always respect each other. 

So how do you get a hostile manager to listen to you and do what you want them to do?  Matt Crenshaw from howstuffworks.com had a brilliant suggestion.  Matt suggested a technique called the “Upfront Contract.”  If you’ve ever bought a new car, you’re probably familiar with this technique.  This is where the salesperson will say to you, What will it take to sell you a car today.  Once you tell them your requirements, they’ll say to you.  If I am able to fulfill those requirements, will you sign the paperwork today?

It’s a very effective technique that can save everyone time.  The salesperson doesn’t want to waste time dealing with someone who won’t buy a car, and the buyer can get all his or her requirements listed up front. 

You can do the same thing with your decision makers.  The next time they ask you for an analysis, or during your next meeting, just ask them what information would they need to see in order to make a change to the website.  If they say, I would want to see an A/B test were the proposed change beats the control by 40%, then you write that down and get them to sign the paper.

Then you run off and perform the test.  Assuming you get the result they were looking for, then you present the signed contract to whoever made the decision and inform them that you’ve met their criteria.  It’s time to make the change.

That’s just one great idea.  How do you get your managers to listen?

One of the huddles I attended at xChange was titled: Integrating Customer Experience and Marketing Data with Web Analytics.  We went around the room and discussed what we do to measure the customer experience.  Here’s what we do at my company:

• We review our Product Reviews to see the problems or successes our customers experience.
• We have a suggestion box on every single page of our website where customers can tell us if any page is confusing or needs additional information.
• We monitor blogs with a tool from bloglines.
• We use Google Alerts to monitor new web pages that reference us.
• We look at new referrers to our site to see what they say about us.
• We have a self serve testimonial page where our customers can share comments.
• We monitor our e-mail to sales@ or orders@ or webmaster@ using help desk software.
• We regularly perform usability studies in our own lab.
• We regularly perform multivariate testing using Google’s website optimizer.
• We use Alertsite to monitor our website performance.  Gomez is a more expensive competitor.
• We monitor our 404 errors by studying our log files, not just our Omniture reports.
• We poll our customer service reps. to get an idea of our customer’s thoughts.
• We monitor high bounce rate pages.
• We monitor zero site search results.
• We use a newspaper clipping service from Cison (formerly Bacons).  A competitor is Burrelles Luce.
• We regularly crawl our own site looking for problems.

You may think this is excessive but I am paranoid about good customer service.  We are an e-commerce site in the Internet Retailer top 500.  We can’t afford to have unhappy customers.  Just one mistreated customer can affect thousands of future sales.

In the future, we are considering using Tealeaf to detect problems.

Any other suggestions on what we could do better?  I’m all ears.

I just got back from Xchange 2000 (the premier web analytics conference) last night and I’m inspired.  The conference was amazing.  Gary Angel and Eric Peterson were the perfect hosts for this conference. 

Unlike traditional conferences, Xchange is mostly a collection of huddles with a small group of like minded participants who really dive deeply into the issues.  I attended 5 huddles titled: 1) Getting Analysts to Produce Analysis and Getting the Business to Listen, 2) Slicing and Dicing Visitors: Segmentation Strategies, 3) Integrating Customer Experience and Marketing Data with Web Analytics, 4) Searching for Success with SEO and SEM, and finally, 5) Driving Visitors Up the Value Chain.

The nicest part about the huddles is that almost everyone participates and adds to the conversation.  There are almost 100 experts who attended the conference and everyone shared their ideas freely.  This is in direct contrast to some other conferences I’ve attended in the past.  Typically, a vendor will host a session and tease you with promises of great results if you follow their advice.  Of course, the advice is impossible to follow without help from the vendor.  Fortunately, the vendor will be happy to provide you their solution for a fee.  This conference was the opposite of that.  Ideas flowed freely from all who attended. 

The event was held at the Ritz Carlton in San Francisco and went off without a hitch.  The hotel was a perfect venue.  We got special pricing on our rooms and everything was well organized from a logistics point of view.  I must make a special note of the food.  Gary Angel is a gourmet and his influence on the meals was evident throughout.  All meals were both healthy and delicious.

So next year, be sure to attend this who’s who of analytics.  You won’t regret it.

Now that we know why people don’t convert on your site, let’s look at all the factors that can affect your conversion rate.  Here they are:

Trust Elements:
- Safe Shopping Icons (hacker safe, BBB)
- Toll Free Number visible
- Address visible
- Quality of Design
- Quality Domain Name
- Money Back Guarantee
- Risk Reversal (We’ll pay the return shipping)
- Accepts all forms of payment
- Nice Logo
- Testimonials
- Contact Us prominent
- Privacy Policy
- Order / Shipping / Invoice tracking
- Privacy guarantees (e.g. truste etc.)
- We don’t spam you messaging
- Clear and unambiguous optin/out for marketing & 3rd party marketing
- Ability to get offline help at physical locations

Look and Feel:
- Site is easy to navigate
- Easy to grasp what the site does
- Great site search returns relevent results
- Checkout / Conversion process is clear
- Forms are forgiving (e.g. taking dashes, spaces for credit card)
- Forms error handling - clear, concise errors & instructions for correcting
- Does not require registration up front
- Fast Page load times.  Ads Render last.
- Pages load consistently (high availability)
- Renders in all major browsers (yahoo has a good matrix)
- Accessibility / 508
- Pictures are good quality and highly optimised
- Good quality help / FAQ system
- No Broken links or broken images

Product / Selling Proposition:
- Product / Site Exclusivity
- Compelling Product
- Brand Name awareness and reputation
- Good Product Pictures, quality and quantity
- Compelling Offer / Price / Clarity
- price elasticity of demand
- Price easy to find
- Add to cart button is inviting and prominent
- Terms and Conditions highly visible
- Path to checkout is unencumbered with no distractions
- Extra charges (shipping) are low and easy to find
- Fast Shipping
- Free Shipping
- International Shipping
- Good Comparison Matrix (including competitors)
- Independent Product Reviews
- Good Headline
- Good Tagline
- Supporting Copy
- Scarcity (limited Qty or limited time)

Off Page Factors:
- Time of Day
- Day of Week
- Holidays
- The weather (Snow skiis vs. swim suits)
- Event Timing (product will be regulated, taxed or discontinued)
- Item / site gets significant press (front page NY Times)
- Relevent Advertising
- Pre Qualifying your advertising (i.e. from $1,000 up)
- Type of Advertising (banner vs PPC)
- Visitor profile of site were advertising appears
- Compelling ad copy
- Ad copy matches landing page
- Click Fraud
- Quality and efforts of Affiliates
- Reputation of your Site
- Size of your Organization
- Newsletter Quality
- Offline advertising
- Presence of offline locations
- Competitor Offerings and Marketing

Can you think of any others?

This is the first in a two part post about conversion rates.  But before I get into details about what your conversion rate should be and how to improve it, I wanted to explain why people don’t convert.  Essentially, there are only 5 basic reasons folks don’t convert:

• Reason #1: They don’t need your product or service.  To overcome this problem, you can either pre-qualify your customers or do a better job convincing them that they need your product.  For example, at CableOrganizer.com, we sell products designed to eliminate clutter.  We even advertise the term clutter in our PPC campaigns.  A few years ago, we noticed a lot of people coming to our site using the keyword phrase “Clutter Family Murders.”  Obviously, those people had no need for our products.  The solution there was to use negative keywords to pre-qualify our customers.
• Reason #2: They don’t trust you.  This is another big one.  If people don’t trust you, they’ll move on to someone they do trust.  There are many things that go along with this such as making your site more professional, having testimonials, making your contact info obvious and accepting major credit cards.  I’ll provide a more complete list in my next post.
• Reason #3: They can’t afford your product or service.  This is similar to the “no need” problem.  Again, the solution is to either pre-qualify your customers or make your service affordable through some creative financing.  To pre-qualify someone in your ads, you may wish to indicate your product’s price directly in the advertising.  That way only folks who can afford it are likely to click through.  Beware, however, that Google will penalize you for this because they have no desire to reduce the click through rate on your ads.
• Reason #4: No sense of urgency.  I feel sorry for a lot of diet programs and stop smoking products.  Most people know they need to lose weight and stop smoking, however, as long as they can start tomorrow, it’s hard to get them to act today.  To combat this problem, you should consider adding urgency to your offers.  “Offer expires today”, for instance.
• Reason #5: Technical problems.  OK, so you’ve got a customer who can afford your product and needs it.  They trust you and want it now.  Then they go to click the “add to cart” button and nothing happens.  You probably lost the sale.  Poor website performance, 404 errors, JavaScript errors - these are all technical problems that will keep your buyers away.  Find those problems and fix them. 

 In my next post, I’ll list in details all the factors I’ve found that affect conversion rates.

A good friend of mine runs a company called Health Formula.  They sell health and wellness supplements.  I visited him today to compare notes and ended up gathering some great ideas.  Here are some of them:

1. Start tracking your payment errors.  Whenever someone hits the submit button at a Health Formula site, all the messages back and forth from the payment gateway are recorded and logged.  Normally, you’d expect to get a successful transaction.  However, a certain percentage result in errors.  Health Formula analyzes all the errors to try and correct them.  They’ve discovered some gateway problems and other situations where they were able to intervene and fix.  If you have control over your shopping cart, I’d recommend this approach.
2. Use Test Director to QC your website.  This is especially important if you control your own shopping cart and make changes.  This neat tool, recently purchased by HP, lets you run hundreds of orders through your system automatically.  You can test for as many scenarios that you can think of.  It’s a very cool tool.
3. Use Subversion to track your version changes.  Subversion is an awesome open source program that runs on a server and provides version control.  It integrates easily into both Windows and Linux environments and I think there is even a plug in for Macro Media.

I love talking to other professionals in our industry.  You never know what you’ll learn.

A friend of mine is starting a business where he’ll be displaying his products at trade shows.  I’ve often attended and displayed at trade shows and have wondered how to capture the metrics I need to determine if the show or our approach was a success.

You hear the neighbors complain about traffic and what a bad show it is - but is it really?  How do you compare a good show to a bad show?  Obviously, if you had a lot of sales or good leads, it’s a good show.  But could you have done better?

In the online world, we are blessed with reams of data.  We know how many folks are visiting our site, when are our busy times, how many are engaged with the site and how many convert.  However, in the physical world, we don’t have these luxuries.  This makes it hard to compare different shows and different booth workers.

What if we had a way to simply gather traffic and engagement at a trade show?  I think I have a way to do it, but I can’t figure out how to implement my idea.  Here’s what I propose; I would like to have a cell phone sniffer that counts the number of unique cell phones walking by my booth and also the length of time each phone spends at my booth.  I realize that not everyone carries a phone (similar to how not everyone has JavaScript or cookies enabled) and not all cell phones use the same carrier (similar to the different browsers we see) but at least, we could use the numbers for trends.

Could you imagine how useful this would be?  Then you could measure your conversion rate and compare different shows and periods of time.  Anyone know where I could find this system?