• by editor , David Baker , August 7, 2006

To borrow from a famous ad slogan, "nobody doesn't like" the idea of being able to correlate direct response marketing with online behavior. At its most visionary, e-mail is a channel that offers a personalized, timely outreach, which, combined with online behavior tracking, can tell you a great deal about a customer's actions and interests.

On July 25th at Ad:Tech Chicago, I sat on a panel with several other professionals who work daily with Web analytics and e-mail. The session started out with an overview by Bill Nussey, CEO of (e-mail service provider) SilverPop, who should know a lot about analytics systems since most e-mail technology companies are striving for seamless integration with Web analytics systems. Next, Leona Green of Texas Instruments demonstrated how Web analytics support her business. John Sheldon of (marketing company) Customer Portfolios shared several customer experiences and key learnings.

When it was my turn, I opened with a series of questions to bring context to the issues we face when we discuss this topic. I framed the questions first by saying that I was addressing Web analytics as they apply to direct response and e-mail marketing only, not for the purposes of site user experience/design or SEO. It went like this:

"How many of you use a Web analytics tool?" Everybody raised their hands. "How many of you feel you are using it well?" No one raised a hand. When I asked, "How many of you feel you have the team or expertise in-house to manage this function?" only a few brave souls volunteered an answer. I was thinking, if you aren't doing your own Web site analytics well, how on earth will you manage site tracking and analysis for direct response programs? How will you use that to create a better customer experience?

Many of the principles and examples I brought forth after these questions were designed to illustrate how users can apply tracking and measurement to e-mail, integrate it with site tracking and balance it with actionable insight. So, while my presentation was structured to speak to the "why," "how" and "who" of using Web analytics with e-mail marketing, I did not provide tactical details of using it for a particular program.

Here are the a few key points I shared with the Chicago audience that I believe apply to any business.

There is a big difference between quantifying analytics and "monetizing" them. You can't have one without the other--and the lack of the latter leads to poor implementations of Web analytics, and under-trained staff.

There are key distinctions between "reporting" and "analysis." One drives knowledge while the other dictates action.

Be bullish when it comes to testing. Once you add Web analytics into the fray, program complexity increases greatly--as do the expectations of everyone depending on your group to deliver. Delay advanced testing until you have the expert staff needed to do a proper analysis.

Get the most out of your tools. There is a wide array of tools available for every budget, but don't overlook the fact they need to be integrated with a future vision of your business and how you plan to manage your Web and response data overtime. One hundred percent of attendees in our Ad:Tech session felt that they were not using their Web analytics tools to their fullest potential.

Categorize reporting and analysis. Using Web analytics for direct response programs is different from running analysis for SEO or site optimization exercises. The practice and reporting are different--and if not considered closely, can skew your global view of your site, traffic and customer Web experiences.

Designate a responsible individual (or DRI). Someone needs to own the analytics function. While the tools make it easy to pull up traffic reports, you need someone who can position the data properly to help the business understand what it really means, its value, and how to "action" it.

Get to the "why." As I've heard many times, keep asking "why" until you get to the root cause of the question. It will simplify where you should focus. Start with statements, not questions:

--I should track e-mail response to Web site traffic. WHY?
--This integration is important to my business. WHY?
--My business units will find value in this analysis. WHY?
--I should spend $X to do this right. WHY?

If you are interested in hearing more about this, we'll be doing the same session at Ad:Tech N.Y. in November with a bit of a different spin.