Step 2: Build Measurement System

You can’t win the game of business without knowing your numbers

This statement is just as true for your website at an operational level as it is for your business that needs to know its cash flow and profit and loss situation.

The entire process of optimisation is a data driven process. In our scenario we are performing data driven marketing.

Why? Because there are two main types of marketing:

  • brand
  • direct response

Unless you are a Coca Cola or Pepsi sized company you can’t afford to do brand advertising..spending millions of dollars promoting your company with no direct idea on what the impact of every dollar spent is. For the majority of us business people we engage in direct response marketing. Direct response marketing entails promoting our products and services with a call to action on the viewer to respond to our marketing piece.  We measure the response rate and we’re looking to spend $1 and make a multiple of $1 in return.

To know if our marketing is effective we need to track and measure.  To improve our marketing so that we are achieving maximum return for our $1 spent we need to track and measure all steps of the sales process.

Put in place a measurement system very early on and start collecting that data…making sure that the data being collected is valid so that good decisions can be made when it comes time to optimise.

Garbage in …. garbage out applies here as it does everywhere

A basic starting point is to install Google Analytics onto your website.