Thoughts on Deploying Measurement and Web Analytics Systems (as I discussed at Semphonic XChange)
Last week I attended the 1st Annual SEMPhonic XChange and led a collaborative discussion on “deploying measurement systems in distributed companies.” In case you hadn’t heard about SEMPhonic, the company is a boutique consulting firm in Novato, CA (near one of my favorite towns on Earth: San Francisco). They do some very unique work with web analytics (Functionalism) and other facets of new media technology. A fine gentleman named Gary Angel leads the group. He’s recently hired smart folks, like long-time web analytics expert, June Dershewitz, and notable blogger and author of the Web Analytics Report, Phil Kemelor.
A few months ago the idea came up for me to lead a “huddle” at their Xchange conference. I was intrigued with this huddle idea. It was different. New. I’d facilitate a discussion on a topic of my choice in a small, Socratic, group setting. No PPT!
Fast forward to last week, and I found myself sitting in Napa, CA at COPIA: The American Center for Wine, Food, and the Arts. COPIA was a brilliant place for an industry colloquy. Being a guy who likes culture (and conferences), this venue offered the best of both worlds. Instead of a hotel, I found myself surrounded by gardens, vineyards, art, food, wine, web analytics, and the brightest in the industry. Cool!
Thinking back on the event, SEMPhonic Xchange, in my opinion, is a “must-attend conference.” Not only is the “huddle” format unique and fun in which to participate, it’s also a format that promotes deep discussion that leads to truly actionable insights. It’s a conference based on dialog and collaborative discussions between participants. The huddle format provides 10 hours of free collaborative consulting (5 huddles) with employed people you can’t hire (and some consultants you can)! Compare a daily consulting rate to the conference cost, and it’s a no brainer.
My discussion on best practices for the successful deployment of measurement systems lasted a little over two hours. My group collaborated nicely (so I thought). It included very intelligent folks like Jared from Intuit, Scott and Christel from Xilinx, Sami and Fred from Adobe, Renata and Matthew from American Express, Aaron from Webtrends, Rupa from Cisco, Amy from JPMorganChase, Jeff from New England Journal of Medicine, and Kevin from Charles Schwab. Thanks to anyone reading this blog who attended. Your valuable insights and knowledge sharing contributed to the success of the huddle.
At the ends of the huddle I went over a tips for a successful deployment. Here are a few:
- Identify business goals, match those goals to business strategy, and align metrics and KPI’s to support those goals. I always say “metrics and kpi’s have significance in position and relation to a goal.” You can’t measure against performance unless you’ve identified your business goals. Goals are supported by strategy. You create KPI’s for measuring against goals and for guiding work toward objectives. Every business unit could have different goals. Management must align and support the standardized goals that you bake into your KPI’s (and any specific derivatives you create to support the goals of differentiated business units).
- Verify the technology implementation and the metrics collected. A web analytics or other measurement system must be verified to ensure conformance with “standard” best practices based on the company’s goals. You need to make sure the numbers can be trusted. That means, validating data and reconciling differences with historic reporting systems or whatever the business demands, understands (and possibly pays for in real dollars, time, or resources allocated), such as ABCe, WAA, IAB, MRC, XYZ, 123, FBCINSA whatever it takes…
- Provide education and training. While some analysts want to keep all the data within their analytics group, I don’t think that practice scales across a large enterprise unless you are lucky enough to have a large analytics team. I know I can’t individually and alone satisfy the metrics needs for thousands of stakeholders or hundreds of brands. Successful companies deploying on a large scale adopt a “train the trainer” approach. The trainers guide their business units, become local experts, and help foment a data-driven culture. Let the data be free and the people educated, I say.
- Consider the corporate culture. A metrics tool changes organizational culture (for the better or worse). Suddenly, everyone is being measured and perhaps evaluated on goals implicit in the measurements. Some will greet the tool with open arms while others will see it as a threat. Solid management needs to foster buy-in and support for the tool. That way, organizational resistance is overcome and clarity of mission is realized.
- Help business units ”use the metrics” to improve performance. My friend Eric Peterson likes to say “web analytics is hard.” Yes it is! That means the expert needs to work with global business teams to mentor and teach how to separate signal from noise. As the tool is used, business units will identify “pain points” that will need to be addressed. The analytics team should work with business units heal the pain and improve performance.
- Plan to ”get granular” and the “get integrated” with the measurement system. Additional requirements will come out of the woodwork due to organizational learning after you golive (even if you think you’ve elicited all reqs prior to deploying your tool and building reports). New requirements are an early sign of success (people are “getting it” after all). As the business learns, it will become necessary to extend the system. Consider brainstorming about the possible ways in which the system should be extended prior to rollout, and perhaps create a basic plan for extending the system. When the system is launched, modify that system enhancement plan and execute on it to support business goals. Employ a project manager to plan and help execute!
- Manage and guide stakeholder expectations to minimize risk. Be realistic when for guiding and setting expectations so that you can minimize risk (to your overall mission, your job, the company ;). Risk comes from incorrect metrics, organizatonal issues with adoption, changes in business goals, shifting managerial priorities, technology problems, and issues resulting from resource allocation. Make sure you manage around these issues or find ways to directly deal with them.
- Generously explain why the measurement system is being deployed and more. You must create a well-thought out communication plan for promoting adoption and use of a metrics tool. The communication plan should focus on answering:
- Why the tool is being deployed.
- What people are supposed to do with the tool.
- How people should use the tool.
- What key metric/KPI’s people and business units should be looking at to manage their performance.
- How to go from “insight to action” based on analysis of the metrics.
- Share best practices and lessons learned across the enterprise. As new insights are realized and the company starts taking action from the metrics, you should provide a way for the enterprise to communicate the “highest and best use” of the tool. By promoting collaboration and knowledge sharing, the company is more likely to succeed quickly with the measurement tool and realize a demonstrable ROI from it.
- Realize that “premature optimization is the root of all bugs.” When deploying a measurement system, you need to establish a baseline system before extending the system to get more “granular.” An implementation must be granular before integrating data from other systems. While these concepts will overlap in deployment and may occur in close proximity or in a waterfall (i.e granularity may be enabled via integration) you need to ensure you don’t put the cart before the horse. Make sure you correctly measuring and understanding the basics (like recency, frequency, clickstream, referrers, bounced visits, and depth) then moving forward with more advanced and necessary measurements and reporting (like bounce rate, conversions, view thrus, voice of the customer, and ”engagement.”) Set clear expectations and guidelines with the consultants. Don’t move too fast with development. QA, then segment away, I say… ;-)
A lot of more was discussed and shared over in Napa and throughout the SEMphonic XChange conference. Please share your thoughts, if you feel like it! Thanks for reading!





