Comments on: Some More Thinking about Key Performance Indicators for Web Analytics http://judah.webanalyticsdemystified.com/2008/05/some-more-thinking-about-key-performance-indicators-for-web-analytics.html Judah Phillips, Web Analytics Practitioner at Web Analytics Demystified Thu, 7 Aug 2008 20:04:05 +0000 http://wordpress.org/?v=2.3.2 By: Judah http://judah.webanalyticsdemystified.com/2008/05/some-more-thinking-about-key-performance-indicators-for-web-analytics.html#comment-2271 Judah Fri, 09 May 2008 02:51:10 +0000 http://judah.webanalyticsdemystified.com/2008/05/some-more-thinking-about-key-performance-indicators-for-web-analytics.html#comment-2271 Hi Stephen, Thank you for your comment! I'm glad to hear you enjoyed my preso at Unica MIS. Your question about "extracting the ROI from KPI's" is a smart one. While I can't say everyone who uses KPI's understands the impact of their changes on ROI, it's a good idea to attempt to estimate it. That's one of the reasons why I recommended always tying KPI's to the site's value drivers. That way you are positioned to understand the impact of changes to the KPI on the bottom line. For example, if you track some sort of "conversion rate" as one of your KPI's and it goes up one month, then an annotation to your KPI report might be something like "conversion rate" has gone from 2% to 4%. The 2% increase means that we sold an additional X number of products last month. Each product was worth Y. Thus the page optimizations we made that resulted in this lift yielded Z (i.e. X * Y) in revenue. Judah Hi Stephen,

Thank you for your comment! I’m glad to hear you enjoyed my preso at Unica MIS. Your question about “extracting the ROI from KPI’s” is a smart one. While I can’t say everyone who uses KPI’s understands the impact of their changes on ROI, it’s a good idea to attempt to estimate it. That’s one of the reasons why I recommended always tying KPI’s to the site’s value drivers. That way you are positioned to understand the impact of changes to the KPI on the bottom line. For example, if you track some sort of “conversion rate” as one of your KPI’s and it goes up one month, then an annotation to your KPI report might be something like “conversion rate” has gone from 2% to 4%. The 2% increase means that we sold an additional X number of products last month. Each product was worth Y. Thus the page optimizations we made that resulted in this lift yielded Z (i.e. X * Y) in revenue.

Judah

]]> By: Stephen Dantu http://judah.webanalyticsdemystified.com/2008/05/some-more-thinking-about-key-performance-indicators-for-web-analytics.html#comment-2266 Stephen Dantu Mon, 05 May 2008 03:13:49 +0000 http://judah.webanalyticsdemystified.com/2008/05/some-more-thinking-about-key-performance-indicators-for-web-analytics.html#comment-2266 Hey Judah, Thanks for the post. We are actually in the process of aligning on KPIs for the organization and this will definitely hep me. I had a question on measuring ROI for the analytical tool, is it a practice to extract the ROI from the KPIs? I also was at the Unica MIS last week and enjoyed your presentation. Thx, Stephen Dantu Hey Judah,
Thanks for the post. We are actually in the process of aligning on KPIs for the organization and this will definitely hep me.
I had a question on measuring ROI for the analytical tool, is it a practice to extract the ROI from the KPIs?

I also was at the Unica MIS last week and enjoyed your presentation.
Thx,
Stephen Dantu

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