On Sept 5th I had the distinct pleasure of being invited to present as a part of the Authors@Google series. As the author of a new book it was such a thrill to be invited, especially when you look at impressive authors who have been invited (some of my favorites: Seth Godin, George Soros, David Brooks, Ben Cohen, Clotilde Dusoulier).
The title of my talk was: Redefining Web Analytics.
The presentation covered the back story about my book, Web Analytics: An Hour A Day, the back story about why traditional web analytics finds itself in a pickle and presented my vision, definition and outline of Web Analytics 2.0.
I had presented the idea of Web Analytics 2.0 in the Achieving Marketing ROI Online workshop series in July. But it took the invite from the Authors@Google to get me to formalize it and present the details of what the big hub hub was all about.
Before we do anything else, here is a formal definition:
Web Analytics 2.0 is:
(1) the analysis of qualitative and quantitative data from your website and the competition,
(2) to drive a continual improvement of the online experience that your customers, and potential customers have,
(3) which translates into your desired outcomes (online and offline).
Wordy? Yes. Bland? No. Could mean anything or everything? No. Specific & direct? Yes.
Hopefully you'll agree (I absolutely welcome suggested improvements, especially from all you with a Masters in English!).
Here's the delightful video:
(YouTube: Authors@Google: Avinash Kaushik)
For those of you who would like to skip forward and go directly to what interests you:
- The book's back story: 00:00 – 09:30 (mm:ss)
- Why is web analytics in a "soup": 09:30 – 18:00
- Introducing Web Analytics 2.0: 18:00 – 20:00
- Specifying the Web Analytics 2.0 mindset: 20:00 – 39:30
- Lots of work? Expensive? Priorities?: 39:30 – 42:00
- Interesting Q&A with Googlers: 42:00 – 55:55
Here in higher resolution is Web Analytics 1.0:
You'll have to watch the video to learn what that little circle is (I think you know what it is but you don't want to admit it!!! :)).
Here in higher resolution is Web Analytics 2.0:
Each circle representing a key component of what your web analytics strategy should be, regardless of what your size is. Each circle also approximately represents the amount of data that you'll have access to as you try to find insights / correlations.
Can Web Analytics 2.0 be explained in plain English? What are you solving for here? Yes……
It is not enough to simple pontificate randomly about a vision or a new methodology. People demand specific details!! :) Absolutely – if you have not already then please consider watching minute twenty through minute thirty nine of the video were practical real life examples were presented to help you understand exactly what each component entails (for example what does "multiple outcomes analysis" mean in a Web Analytics 2.0 context?).
After that segment of the video you'll learn exactly what you need to do to fill out the missing components to ensure you are executing with 2.0 in mind and not still in the world of 1.0.
I want to assure you that while this might seem a lot, it is not. It does not have to be expensive. It does not have to all happen overnight. You can start small, you can start cheap/free, you can start tomorrow morning.
What is critical is that you "get" the mindset and that you have enough details to get going. At approximately minute 40 in the video I even provide a prioritized (rank ordered) execution strategy for you.
I cherish and value the readers of my blog more than any audience in the world! So just for you all I have cooked up something extra special that was not a part of the original presentation….
The big challenge for crossing any chasm, like this one, is not technology or tools or other related items. It is mindset. It is entrenched mindsets. For me and you and all of us the challenge will be to evolve our mindset to think 2.0. Here is the mindset evolution that is absolutely required if you are to move yourself / your organization to Web Analytics 2.0:
In the world of Web Analytics 2.0 clicks don't rule rather it is the combination of the "head and the heart" where you care just as much about what is happening on your website as you do about your competitor's all the while automating as much decision making as you can so you eliminate reporting and even to some extent some analysis. Your world is one of continuous actions (surveys, testing, behavior targeting, keyword optimization…) and continuous improvements where Customers rule and not HiPPO's.
[I am sure you have also noticed my riff of the iconic Apple Think Different campaign in the image above – Apple used Einstein, Muhammed Ali, Pablo Picasso and others, I could not think of anyone in our context more iconic to honor than Jim Sterne.]
Here's something that inspires me, and hopefully you as you take on this 2.0 evolution, the text of the Think Different campaign:
Here's to the crazy ones.
The misfits.
The rebels.
The troublemakers.
The round pegs in the square holes.
The ones who see things differently.
They're not fond of rules.
And they have no respect for the status quo.
You can quote them, disagree with them, glorify or vilify them.
About the only thing you can't do is ignore them.
Because they change things.
Good luck and God speed.
Ok now its your turn. Please share your perspectives, critique, additions and subtractions via comments. Thank you in advance.
Via 
Thank you very much for your material. Today is very difficult to add the "2.0" to something without a hackneyed phrases
As employee of the ad agency that invented the "think different" campaign for Apple I wish I could change my own mindset and the mindset of my team easily :-)
Great speech Avinash (seems like you're really into animal analogies?lol).
Do you think Ask's approach of bidding on uncompetitive keywords on Google Adwords makes any sense? Im really wondering if the branding and market share they can gain this way can make up for the money spend on it.
How reliable do you find there data? I checked a few sites I was interested in (around 5-10k visitors/month). Compete.com said only a rough estimation was possible, b/c not enough data was available. Is there any use at looking at data for such rather small sites on compete.com or is the confidence interval usually way too big in such cases to get a real idea of what's going on?
Also, what's going on with your blog's data on compete?
http://siteanalytics.compete.com/www.kaushik.net/
Great speech Avinash – I am always amazed at how useful these type of things are – you definitely 'pooped' big! :)
One comment. There was a question in there about how you analyze open-end responses when the scale gets too large. I would have said that the great thing about surveys is that they follow all the laws of statistics – the most useful one being that the accuracy of a sample has significant diminishing returns once that sample gets large. So for instance, once you get over 1000 responses to your question, getting 2000 doesn't really add to your level of accuracy much. So there is no real need to analyze 10k open-ends to figure out what the major themes are.
I like the Web Analytics 2.0 definition but I would add one more thing to point no. 2:
I would add that an additional purpose is to drive more traffic. For example by analyzing the keywords that show up in the log files from a PPC campaign you can get ideas on keywords to optimize for natural search.
Simply brilliant Avinash! I am always amazed at how practical and real your posts are. This one is simply in a league of its own. You have eschewed catchy acronyms in favor of providing a meaningful framework with details of how to be successful at it.
Thanks for defining Web Analytics 2.0, pardon me as I go draw up my own plans to move to the "new world". :)
Nathan
Great talk! Thanks.
Avinash,
Tremendous speech. You've done such a solid and sincere job of bringing conceptual clarity (and pragmatism!) to this space.
You're exactly right in emphasizing a mindset of continuous improvement and devout respect for the customer.
It's all about multiple streams of insight. A decision maker who limits him/herself only to analyzing dry clicks is like a painter trying to reproduce the Sistine Chapel ceiling with one color. Ain't gonna work!
Michael
Wow – You keep on raising the bar in terms of your contributions to this space. Conceptual clarity, straightforward language and tremendous insight!
What needs to happen to turn the hippos worldwide into analytics believers / evangelists?
Chris
I'll join the chorus Avinash, really great talk. Very interesting in terms of content and very engaging (your personality comes through clearly!).
The mindset evolution image clearly illustrates the challenge, I am very impressed at how clearly you have articulated such a complex issue.
The think different image with Jim Sterne is touching and perfect. I have seen Jim present and share his passion, you could not have chosen a better person.
There are lots of web analytics and online marketing blogs and your's truly falls into the "crazy ones, misfits, troubles makers, round pegs in square holes and no respect for status quo" bucket. I have been reading your blog for a long time now, this is by far my favourite post.
I am sure this is not as easy as you make it look.
Andy
Great stuff Avinash. Is there a downloadable version for us frequent fliers to take with us?
-chris
Avinash –
From Godfather to Einstein?
Surely you jest!
But I thank you none-the-less.
You are far too kind.
Gives me an idea for my keynote at the next
eMetrics Marketing Optimization Summit….
Avinash,
You never cease to amaze me! As always you insight is miles ahead of everyone else and I'm always thankful you share this insight with your audience.
Always waiting for your next nugget of insight,
~Li
Hi,
Definitely there is a need for the analysts to think differently and focus on the core derivatives of the analytics. Every analyst should have a vision on how to leverage the best insights to be kept in to practice. Also I feel that there is going to be a lot of change in the way the world is viewing analytics today.
Great going .. Good Luck…
Rohit.
Good show, Avinash. Your introduction of the Web Analytics 2.0 concept is timely. I've been pondering the same issues over the past few months..thanks for articulating it so eloquently.
Jennifer LeClaire
Conversion Press
http://www.conversionpress.com
Hi
I watched the video late last night. I didn't think I could possibly watch 55 minutes of any video on web analytics but it was a pleasure to watch.
Having an open mind about who and what shoud be running the show is one thing; practical advice is another.
So thank you for the video.
I built a survey in Surveymonkey – their service looks good.
kind regards
David
Nice post and I feel lucky because I get to quote and paraphrase Sir Tim Berners-Lee with this post.
Developerworks Interview of founder of the web .
"…the Web as interaction between people is really what the Web is. That was what it was designed to be as a collaborative space where people can interact."
So proper Web Analytics has always been about helping people interact and improving customer experience, satisfaction, loyalty and conversion.
In other words this is what Web Analytics is all about there is no Web Analytics 2.0 :-)
regards,
raf
Richard : Great quote and a great comment from you. I completely agree with the quote and the thought you've expressed (thank you!).
If nothing else then "up-versioning" is my attempt put to rest the mindset that web analytics has taken on since its inception and move us forward to think differently (and based on your comment it is moving everyone back to what it was supposed to be in the first place! :)).
Everyone : Many of you have asked about downloading the video. Here's the link:
http://snipurl.com/weba20
That link will start a download of a flv file. It will be called get_video and you'll have to rename it to avinash_is_nice.flv, whatever you choose. :)
[Just in case need a player to play any youtube movie you can get the Wimpy FLV Player.]
Thanks so much for the kind words and insightful comments!
-Avinash.
Groundbreaking. That was the first word that came to my mind when I read this post. The video cemented for me why you are a much sought out speaker.
Great work Avinash, the quality of your blog posts is impressive and I am amazed that you give away all this valuable content.
Thanks for all your efforts.
Hi ,
Great post and great video, I'm pleased that your book will be translated into Portuguese and several other languages.
Finally i have to say that your very good in your presentation's
Greeting's from Lisboa, Portugal
I disagree! Sorry but I can't accept this as Web Analytics 2.0. It is not the 2.0 piece that drives me mad, but the focus is all wrong – it is not about web analytics but customer analytics. What you are doing is defining the way to better customer insight, not re-defining web analytics.
I like your approach, as you know Logan Tod & Co have been using a similar approach for a number of years, but this is all about people. I don't need to convince you of this though. This post should be the 'Why Web Analytics should be put to sleep" or something similar. What you are defining so eloquently is Digital Customer Insight 1.0, a new more rounded methodology. Yes, web analytics forms part of the process but this is so big it deserves a rebrand. I have ribbed Jim Sterne in the past that the WAA should have had a different name!
The only part of this methodology I disagree with is the lack of usability within the voice of customer section. We find that simple usability studies, like those advocated by Steve Krug (http://www.sensible.com/) add to the picture, and more importantly give you a picture of a real customer telling the HIPPO’s how it really is. Nothing is more powerful than a customer’s voice, backed by data from 100,000 other people trying to do the same thing. Buy the book and learn the basic usability techniques he talks about and you will be able to achieve more.
Many thanks for simplifying it into a single chart – it is beautiful!
Matthew
Matthew : It sounds like you are agreeing with me! :)
I have to admit I had visions of torching the name web analytics (for reasons you mention and others that I have thought of as well). But in the end after battling with my own demons my decision was to keep the term web analytics but to expand the definition.
Perhaps I should have come up with a new term, and you have a great suggestion, but the time just does not seem right. Of course time (!) will tell if that was the right choice.
I am moderately ok with Usability, I should have covered that. Here in the US it is perhaps over applied and usually not done right. I am much more fond now of remote usability testing on live users with tools such as Ethnio. You are taking to real people really on your site and at fifty bucks a pop it is cheap and it scales.
Digital Customer Insights. Hmm….. That actually sounds really good. I am going to try it in my next presentation. Thanks!!
-Avinash.
PS: And now even the readers of this little blog know why I am such a huge fan of Logan Tod & Co!
It took me a few days to grab the hour to listen to this, but it was an hour well spent. I love your enthusiasm (especially about a subject as frequently dry as people make analytics), and I absolutely agree about taking an outcomes-based approach.
Too many times (and you get into this at the end a bit), I've seen marketing people and executives use analytics and mine data, creating an ever growing mountain of numbers, and hoping that the answers will magically pop to the top of that mountain. It just doesn't happen. You have to ask the right questions and then build the architecture to answer those questions.
Hi Avinash,
Beautiful, simple charts – most inspiring!
I'm with Matthew on the Digital Customer Insights – I'm currently trying to get traditional market researchers to embrace web measurement as the obvious research function that it is, but they switch off at the term web analytics, as though it siloed off somewhere else for another team or supplier to deal with.
But how can you not want some digital customer insights with your donuts?
Thanks! Vicky
Another great post Avinash! Although the uber-close up of Sterne freaked me out at first. You inspired me to write about Web Analytics 2.0 on my ClickZ column this week, of course giving you credit for the inspiration.
http://www.clickz.com/3627107
Cheers,
Jason Burby
Chief Analytics & Optimization Officer
ZAAZ
Very nice.. great post Avinash! you give me so much idea of what Web Analytics 2.0 is.
Thanks! keep it up! More Power!
deviantz
HI,
I am working as SEO-SEM proj manager ans I have watched your video which has impressed me a lot. I would like to know more about your book web analytics 2.0. Could you please let me know from where I can get this book.
I would also like if you could keep me in your mailing list for any update and newsletters.
Thanks & Regards,
Rakesh Purohit
rgpurohit@gmail.com
I loved the video, and watched all 55 minutes of it. Thanks for posting it here.
The three questions were quite concise and helpful. They really cut to the chase for me.
One thing hit me, though. It came across to me that you were really just applying contemporary product management principles to website management. It felt like you were rehashing my product management course from business school, and reinventing it for the web. By this I mean focusing on the collected needs and desires of a mass of customers, current and potential, and adjusting the offering to meet those needs and desires.
This is not saying that you did it badly or didn't add value, you did it quite well. It was just that it was nothing substantially new to me, other than the website orientation. It made me think about web analytics in a different way. :-)
If I'm missing something here, please let me know.
Thanks again for posting the video on this blog. It was helpful and informative.
Regards,
Steven Kury
MBA 2004, William and Mary
Phenomenally comprehensive post, Avinash!
Thanks for providing some invaluable info to share with our clients.
One of the reasons we love working the web is the plethora of moving targets. Web analytics is the place they all come together.
What gets measured gets done, right?
Oh, how I wish it were that simple.
Also: You encouragement regarding "getting started tomorrow", one step at a time, not trying to eat the whole elephant in one bite… so key to beginning a successful web metrics program.
Tell me, in light of Google/Yahoo/MSN/Ask.com's Universal Search – Blended Search – 3D Search, how do you feel meb analysis needs to morph to better address these changes?
Thanks again for a phenomenal post.
And best to you in 2008.
Mark Alan Effinger
RichContent.tv
Great post! Now how about finding the reliable, appropriate and conceptually universal (fits-every-media-platform) metrics? And how about convincing researchers to add traditional model-based statistical methods to their analytical repertoire (in addition to data mining)?
Modern Metrix Blog mmx.typepad.com
Nice & crisp…& whats more is that its insightful. Talk about effective feedback loop!
Great speech Avinash!
I am always amazed at your posts!!!
Conceptual clarity and tremendous insight!
Today's ,i got a specail skill book for my career, "Web Analytic 2.0". wawooooo..thanks "avinash"
Great post keep it coming
Excellent Video Avinash!
Great tips and advise.
I loved that part with "Head & Heart" for web 2.0 and the way you have organized the content in the video material!
Congrats!
Hi Avinash,
Congrats on being the one who got the definition right on target for Analytics in general.
The reason for this message is one of your social media share icon – the FB one is acting funny and not letting me like your article on FB … please look into this and have a good one.
Just had to stop by since Google 'GA Academy' is referencing your quote and linking to your page.
Came across this from the Google training course. I agree with you on the priorities, I try to gather customer feedback first – I think its more relevant than seeing when they left my site.
Great insights, thanks for putting this together
Hi Avinash,
This is one of the most inspiring videos i have ever seen!
Thanks for providing this information in such a lucid and easy to understand language. The world of Web Analytics is so interesting!
The Lessons from Google Academy and Your Blog are like an Oasis to a desert traveler, thirsty of web analytics knowledge! This will help me a lot :)
Best Regards,
Sarang Sarage
Hi, Im surprised this was written in 2007.
I am doing a web analytics course because I´m running a new business, we offer digital marketing for Dentists, and google recommended this post, it opened my mind. Thanks.
Without question, still one of the most important individuals with regards to both qualitative & quantitative measurement, I really hope you never give up on the topic.
Loved to read the last lines.
This was awesome!
Thanks for clarifying to people why marketing isn't the same as advertising or sales. It's about building and maintaining relationships–of marketing to not only people's heads, but also their hearts.
Wow….Thanks so much Avinash for the valuable information you have freely shared here in the video.
As a search marketer, I very much treasured the information you proffered from frame 20:00 on the prioritized and ordered strategy that anyone can adopt and implement inexpensively and gradually.
Hopefully, with the constant working on one's mindset, we would gradually adopt and champion these changes to our benefits and those of our online visitors/users. Keep up the great work.
Regards,
Henry.
I enjoyed your presentation very much.
I love how Google's help pages have implemented your suggestion to survey by adding a
"Was this article helpful?" footer.
The section gives me the opportunity to 'engage' when I choose, which is nice (especially if it wasn't helpful and I have feelings of frustration that I want to vent..)
Thanks !
Hi Avinash,
I had been seeing your video and reading a number of your articles on web analytics again and again for the past few weeks.
My purpose –
Trying to figure out a digital strategy for my small skin & dental clinic located in an even smaller place but with rapidly expanding base of internet users.
The clinic may fit the bill of a very small business establishment. But somehow I am trying to develop a strategy for my clinic and in general a template for small health (business may be a wrong term I guess) establishments along the lines of your strategy.
I am not even sure if you will ever respond to this post. But still I felt like writing because I have learnt quite a bit from your blog.
Wanted you to see my measurement plan but that might be too much.
Still, Thanks very much for the guidance. I hope to gain much from your knowledge.
Have a nice day
Dr Amit Kr Agarwal
Dr. Kumar: My recommendation is to hire a GACP who can help you get going quickly, and their services are quite affordable. Here's a list: http://www.bit.ly/gaac
Additionally, here's a post that might help you get going a bit more quickly. See the part about Small Businesses:
~ Best Web Metrics / KPIs for a Small, Medium or Large Sized Business
Avinash.
2020 and this is still so relevant.