The book Web Analytics For Dummies was recently released so I took the chance to ask the authors, Pedro Sostre and Jennifer LeClaire, a few questions.

Why should readers choose your book instead of such books as Web Analytics Demystified or Web Site Measurement Hacks that have been around for a while?

Jennifer: Eric T. Peterson is a Web analytics guru and we have worked together over the years in various aspects in the media, however, the approach to Web analytics is more mature today than when Eric first penned his masterpieces. Web Analytics For Dummies takes an ROI-driven approach to statistics, focusing on how to use the data to optimize Web sites, advertising campaigns, blogs, and other types of Web sites.

Pedro: Web Analytics for Dummies approaches the topic in classic ‘Dummies’ style so it’s a great way for Internet business owners and marketers to understand Web Analytics even if they don’t have a technical or analytics background. In addition, as Jennifer mentioned, our focus on using analytics to increase a web site’s effectiveness is beneficial for all readers, novice and expert alike.

What seems, in your experience, to be the biggest hurdle for web analytics adoption?

Jennifer: A lack of understanding of Web analytics deep value is the biggest hurdle. Fortune 500 companies understand that without measurement and continual optimization their Web efforts become stagnant. But many companies still view Web analytics as complicated and fail to recognize how the technology has evolved to become more user-friendly over the years.

What is the most common mistake you think people make when it comes to web analytics?

Jennifer: There are many mistakes. One of the most common is failing to benchmark the history of a Web site. You can’t determine how changes to your site, promotions around your products or any other initiatives you take are working if you don’t have a point of reference. Without this baseline, there can be no true measurement. Folks also tend to spend too much time on simple reports without putting them into context so they can see, for example, how keywords are impacting conversions or how one landing page performs against another and what elements contributed to the most successful design.

Pedro: Jennifer’s answer hits the nail on the head. To sum it up- the biggest mistake is not using your analytics data to inform business decisions. Too often the data is used to keep tabs on a business as opposed to using the data to guide the business.

Who do you think should go for a paid service and who do you think should opt for a free service such as Google Analytics?

Jennifer: If the goal of your site is to drive revenues, you will eventually come to a place where you’ll want a more sophisticated tool. But some paid tools, like ClickTracks, are less than $40 a month. That said, Google Analytics is also evolving and becoming more robust. A small business owner can go a long way with Google Analytics. Ultimately, though, a paid solution is the best way to go for a fast-growing company that wants more insight into their data.

Pedro: I’m excited about all the free tools out there. I’d say the vast majority of online businesses should use free analytics tools, whether it’s Google Analytics, or a server side app like AWStats, or another one that they’re comfortable with. I suggest that you start with the free tools while you define your KPI’s. Then if you get to a point where your free tools can’t provide the KPI’s you need, that’s when you look to upgrade.

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