Web Analytics 101: Definitions: Goals, Metrics, KPIs, Dimensions, Targets

Avanish Kaushik provides some simple definitions, graphics and examples for common web analytics terms.

Here are the filtered key points:

Business Objectives:
This is the answer to the question: “Why does your website exist?”
Or: “What are you hoping to accomplish for your business by being on the web?”
Or: “What are the three most important priorities for your site?”

The objectives must be DUMB: Doable. Understandable. Manageable. Beneficial.

Goals:
Goals are specific strategies you’ll leverage to accomplish your business objectives. Do x, increase y, decrease z

Metric:
A metric is a number – a count or a ratio (typically seen in columns). Number of visits, unique visitors, pageviews.

Key Performance Indicator:
A key performance indicator (KPI) is a metric that helps you understand how you are doing against your objectives. Example: One of bestbuy.com’s KPIs is “Average order size”.

Targets:
Targets are numerical values you have pre-determined as indicators success or failure. Continueing his example above, target for the KPI of Average Order Size is $90.00.

Dimension:
A dimension is, typically, an attribute of the Visitor to your website (typically seen in rows). Keyword, referal source, location, campaign, web browser, screen resolution, activity (played video, posted comment)

Segments:
A segment contains a group of rows from one or more dimensions. Examples: Visitors from a specific location, visitors who spend over X minutes on the site, visitors who click more than X pages, visitors who searched a specific key phrase.

Check out the full Web Analytics 101 article for more detailed explanations and graphics.

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Web Analytics 101: Definitions: Goals, Metrics, KPIs, Dimensions, Targets

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