Web Analysis of an E-commerce website.

1. Web Analytics Report:
Elite Toy Store
Viviana Talledo
03/22/2013

2. Introduction
• This document presents an analysis for the Elite Toy Store Website
(http://www.elitetoystore.com).
• The analysis is based on the following business goals:
– Create awareness about the products
– Create loyalty
– Increase revenue
• The following page shows the Web Analytics Measurement Model
(WAMM), which lists:
– The strategies decided upon to accomplish these business goals
– The key-performance indicators (KPIs) used to measure them
– The target values for the KPIs
– The way in which the KPIs are segmented to obtain insight into the data
2

3. 3
Web Analytics Model For Elite Toy Store
1 Business Objectives Website Goals KPI's Target Segments
Create Awareness about
the products
Increase visitors from direct and
campaign traffic
% of visitors from direct
and campaign traffic
Traffic sources: 50%
organic, 15% referral,
25% direct, 10%
campaign Revenue
Advertise product through PPC
campaign
PPC: Revenue per
Acquisition vs. Cost Per
Acquisition
RPA = $2
CPA = $0.4 PPC Campaigns
2 Create Loyalty
Increase number of returning
visitors
% of visitors that
regularly come back to
the site (> once per
month) 2% increase per month Conversions
Understand and improve
customer experience using
surveys; Create fans and evagelist
of the products
Task completion rate
survey
Task completion rate >=
60%
Primary activity on the site
(customer service, shop, buy)
3 Increase revenue Increase sales
Average Order Value,
Conversion Rate AOV = $130, CR = 2%
Traffic source category
(referral, search, direct, etc.)
Reduce cart abandonment rate Cart Abandonment Rate 45% abandonment rate
Traffic source (referral, search,
direct, etc.)

4. Executive Summary
The main objective to the company is to increase revenue. The Elite Toy Store website has a very low number of returning visitors (14%), a very low
conversion rate for new and returning visitors (1% and 4% respectively), too high of a dependence on organic search visitors and low number of visitors
from direct or referral sources. Elite Toy Store gets 27% of its revenue from pay-per-click (PPC) campaigns, yet only one of the four campaigns that have
been executed yielded a better profit-per-acquisition than non-paid traffic sources.
Paid
Search
Traffic
19%
Non-
Paid
Search
Traffic
32%
Direct
25%
Referra
l
24%
Average Order Value per Traffic
Source
0
2000
4000
6000
8000
10000
Mar-12
Apr-12
May-12
Jun-12
Jul-12
Aug-12
Sep-12
Oct-12
Nov-12
Dec-12
Jan-13
Feb-13
New vs. Returning Visitors
Returning Visitors New Visitors
4
E-commerce Visitors
Total Revenue Total PPC Cost New Returning
Conversion Rate for
New
Conversion Rate for
Returning
$140,542 $5,614 86% 14% 1% 4%
Dashboard
71%
7%
14%
8%
Visitors per
Traffic Source
Organic search
Direct
Referral
Campaign
$0.00
$0.50
$1.00
$1.50
$2.00
$2.50
$3.00
Calico Critters Elite Toy Store Product
Listing Ads
Geographic Jeopardy
PPC: Revenue vs. Cost
Cost Per Acquisition Revenue per Acquisition
Target CPA Target RPA
59%
88%
33%
17%
Shopping Buying Customer service Other
Task Completion Rate
Q: Where you able to find the info you needed?
(segmented by primary activity on the site)
Task Completion Rate
67%
65%
64%
62%
Search Direct Referral Campaign
Cart Abandonment Rate, per Traffic Source
Cart Abandonment Rate

5. Business Objective: Create Awareness of Products
Goal: Increase visitors from direct and referral traffic
KPI: % of visitors from direct and referral traffic
Target: Traffic sources: 45% organic, 20% referral, 20% direct, 15% campaign
Segments: Revenue
Analysis:
• Visitor traffic source relies heavily on organic search
(47%).
•Bottom chart, Search and Campaign traffic fluctuate
heavily with season; Direct visitors also show some
increase on season.
•Revenue per traffic source is closely correlated to visits
per traffic source. Therefore, fluctuations in visits result
in fluctuations in revenue.
• Referral traffic is trending downward.
Recommendations:
•Fluctuations in traffic directly affect fluctuations in
revenue. By decreasing reliance on search and
campaign traffic, revenue fluctuations will decrease.
• Increase Direct traffic by creating a blog and engaging
visitors with content describing the benefits of
educational toys, to encourage visitors to return to the
site outside the holiday season.
• Increase referral traffic by experimenting with a word
of mouth campaign in social media to see which social
media source brings more referrals.
Source: Google Analytics
14%
32%47%
7%
Visitors per Traffic Source
Direct
Campaign
Organic
Search
Referral
13%
27%
54%
6%
Revenue per Traffic Source
Direct
Campaign
Organic
search
Referral
0
1000
2000
3000
4000
5000
6000
7000
#Visits
Visits Trend, Per Traffic Source
Direct
Campaign
Organic Search
Referral

6. Business Objective: Create Awareness of Products
Goal: Advertise product through pay-per-click (PPC) campaigns
KPI: PPC Revenue-per-Acquisition (RPA) vs. Cost-Per-Acquisition (CPA)
Target: RPA = $2, CPA = $0.4
Segments: PPC campaigns
Analysis:.
• As shown in previous page, 27 % of all revenue
comes from PPC campaigns. But is it worth the cost?
• PPC campaigns have on average the lowest RPA
compared to other traffic sources, and have a higher
cost (see Table 1).
• However, if we segment the revenue and cost per
acquisition by PPC campaign, we notice that the
Jeopardy campaign has an RPA of $2.82 and a CPA of
$0.24, which gives a higher profit per acquisition than
other traffic sources.
Recommendations:
• Stop PPC campaigns that don’t meet the target RPA
and CPA, since other traffic sources are (organic
search, referral, direct) provide a higher profit.
Source: Google Analytics
$0.00
$0.50
$1.00
$1.50
$2.00
$2.50
$3.00
Calico Critters Elite Toy Store
Product Listing Ads
Geographic Jeopardy
PPC: Revenue vs. Cost
Cost Per Acquisition Revenue per Acquisition
Target CPA Target RPA
1. The cost for PPC includes a simulated cost for a PPC campaign called “CPC”, which Google
Analytics shows brings revenue but with zero cost. The cost for this campaign has been simulated
to be 14% of the revenue,.
Table 1. Revenue vs. Cost, All Traffic Sources
Source
Revenue per visit /
acquisition
Cost per visit /
acquisition
PPC $1.47 $0.23
Organic Search $2.10 $0.00
Referral $1.77 $0.00
Direct $1.59 $0.00
6

7. Business Objective: Create Loyalty
Goal: Increase number of returning visitors
KPI: % of visitors that regularly come back to the site (more than once
per month)
Target: 2% increase per month
Segments: Visitor conversions
Analysis:
• Returning visitors are a small % of all visitors (14%).
• The % of returning visitors that convert is very low
(4%). However, the % of new visitors that convert is
even lower (1%).
• The rate of growth of returning visitors is below the
stated target of 2% per month.
• Increasing the % of returning visitors would be
beneficial, since they are 4 times as likely to convert as
new visitors.
Recommendations:
• Increase the % of returning visitors by creating a
blog to engage visitors and provide news via RSS to
receive latest product information. This can also so
reduce money spent on campaigns.
• Create a page-level-survey to understand why so few
visitors are returning (14%).
Source: Google Analytics
0
2000
4000
6000
8000
10000
New vs. Returning Visitors
Returning Visitors New Visitors
0
200
400
600
800
1,000
1,200
1,400
1,600
Returning Visitors
(purchase vs. no purchase)
Returning visitors (no purchase) Returning visitors (purchase)
Target Increase (2% per Month)
Feb 2012 - Feb 2013
All visitors % New % Returning
% new visitors
that purchase
% returning visitors
that purchase
63,234 86% 14% 1% 4%
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8. Business Objective: Create Loyalty
Goal: Understand and improve customer experience using Task Completion Rate (TCR) survey.
KPI: Task completion rate
Target: Task completion rate >= 60%
Segments: Primary activity on the site (customer service, shop, buy)
Analysis:
• TCR is 49% on average, which means that less than
half of all customers felt they were able to find the
information they wanted.
• Customer service has a low task completion rate
(33%), indicating problems in the customer service
area.
• Other Non shopping/buying activities has a very low
task completion rate (17%). This is due to people that
were unhappy about the survey pop-up as soon as
they entered the site.
• Many customers that did shopping (without buying)
reported a bad experience. This points to problems in
how easy it is to search the website for products.
Recommendations:
• Improve customer service experience by adding
retraining customer service agents agents and
instituting a 1 month return policy, no questions
asked.
• Modify website so that survey pop-up only shows
for customers that have done significant activity on
the site.
• Improve the website navigation and internal product
search, to improve the overall shopping experience.
Source: simulated online survey
59%
88%
33%
17%
Shopping Buying Customer service Other
Task Completion Rate
Q: Where you able to find the info you needed?
(segmented by primary activity on the site)
Task Completion Rate
• Average TCR = 49%
25%
41%
17%
2%
19%
11%
46%
60%
56%
48%
38% 38%
Shopping Buying Customer service Other
Customer Response Type
Q: Share some words about your rating
(segmented by primary activity on the site)
Positive % Negative % No comment
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9. Business Objective: Increase Revenue
Goal: Increase sales
KPI: Average Order Value (AOV), Conversion Rate (CR)
Target: AOV = $130, CR = 2%
Segments: Traffic source category (referral, search, direct, etc.)
Analysis:
• AOV in pie chart is higher from non paid sources
than from PPC.
• High conversion rates around seasonality (Dec),
however, AOV shows decreasing trend.
• Feb 2013 shows one of the highest percentage of CR
of the year, yet the lowest AOV of the year. A decline
in # of orders combined with a decline in visitors
usually cause this difference.
Recommendations:
• Reverse negative trend in AOV by implementing
techniques that convince customers to buy pricier
products or more products on each shopping session.
For example, adding “continue to shop” button next to
the item selected in the shopping cart.
Source: Google Analytics
Paid
Search
Traffic
19%Non-
Paid
Search
Traffic
32%
Direct
25%
Referral
24%
Average Order Value per
Traffic Source
$117
$223
$155
$187 $178
$276
$126
$160 $151 $163
$116 $105
Average Order Value, One Year
1.78%
1.47%
1.75%
2.11% 2.00%
1.42%
1.91%
2.39%
2.86%
3.21%
1.81%
2.91%
Conversion Rate, One Year
9

10. Business Objective: Increase Revenue
Goal: Reduce cart abandonment rate
KPI: Cart Abandonment Rate
Target: 59% abandonment rate
Segments: Traffic source category (referral, search, direct, etc.)
Analysis:
• Cart abandonment rate is higher than bounce rate,
which implies that the shopping cart process performs
worse than the overall website.
• Abandonment rate for search traffic is highest, and
abandonment rate for campaign traffic is lowest,
reflecting the difference in commitment to purchase.
Recommendations:
• Reduce the cart abandonment rate by improving the
shopping cart process (e.g., adding a “continue
shopping” button, adding a “wish list” button).
Business Impact:
• If cart abandonment rate is improved to match the
bounce rate, the total revenue could be improved by
25%, a large increase compared to the small decrease
in abandonment rate.
Cart Abandonment Statistics (Feb 2012 - Feb 2013)
Cart
Abandonment
Rate Bounce Rate
Target Cart
Abandonment Rate
Potential revenue if
abandonment rate
is reduced to target
% revenue
increase
65% 59% 59% $35,451 25%
67% 65% 64% 62%
Search Direct Referral Campaign
Cart Abandonment Rate, per Traffic Source
Cart Abandonment Rate
Source: Paditrack
Elite Toy Store Shopping Cart Page
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