Analytics are to traffic reports what shredded meat is to a burrito. They take the boring, unappealing numbers and transcend them into something deliciously more appetizing.  Basically, if you currently have website traffic reports but are not using analytics to their full potential then you are missing out on all the meat.

The big question is what do you do after you get the numbers? That’s where analytics comes into play – it’s the practice of interpreting statistics and numbers into action items and benchmarks. Three measures we will focus on are bounce rates vs. exit rates, referring sites/searches and goal setting.

Bounce rates vs. exit rates
When a visitor comes to your site and goes beyond the point of entry and leaves the site this is considered an exit. When a visitor only views the page they entered your site on and leaves, this is considered a bounce. Bounce rates are particularly important because if they are greater than exit rates your site may have a usability or content issue. High bounce rates are a sign that the visitor is not seeing the info they want or becoming disinterested because of another feature on the site or webpage. Pages with high bounce rates should be studied and changed where necessary.

Referring sites
Referrals from other websites and search engines usually are the primary source of traffic for many websites. Just as in the real world, the source of referrals often determines the quality and relative importance of it. If your site is part of a blind link referral system or you have subscribed to every free business directory known to man than you may need to reconsider your strategy. In order to gain higher ranking in search engines, links must be credible. Referral sources have a direct impact on how well your site is indexed in major search engines.  Search engines are most likely your largest referrer of traffic so play to them first. By seeing where your traffic is coming from, you will get a better idea of what marketing efforts are paying off.

Goal setting
Once you have identified different issues in your site using analytics the best thing to do is set goals.  Use analytics to track the progress of your goals on a scheduled basis. Concentrate on getting users to complete the actions you deem important.

Here is an example of how to set a goal based on analytics:
Problem: From using traffic reports you found the most popular pages on your website, but you notice they do not allow users to submit contact information directly from that page.
Goal: Create user intake forms for each of the specific subjects and monitor the completion rate against the exit rate for each page the form is implemented on. If the exit or bounce rate is higher than consider changing the approach to conversion or changing the page.

Goal setting is a very useful measure that should take all the aspects of your business and possibilities pertaining to your business online into consideration.  If done correctly, analytic based goal setting should act as a blueprint for success for site. You can see where your users are coming from and what they do while on your website. You can even tell what pages they are leaving from. So, put your traffic reports to good use.

Vegetarians are cool and all, but you definitely need the meat to make the most of your website.