There are a variety of metrics when measuring your
company’s website performance and one that has always been a little murky for
me was the difference between unique visitor, visitor and visit. According to
the Web Analytics Association, the definition for unique visitor is “The number
of inferred individual people, within a designated reporting time frame, with
activity consisting of one or more visits to a site”. Each individual is
counted only once in the unique visitor measure for a reporting period.
According to Web Marketing All-in-One for Dummies, a frequent resource for easy simple
explanations, the metric of unique visitors, albeit an important number, will
not provide insight into how much the visitors liked the web site. The metric can
reveal if advertising choices are performing or if a blog link or mentions are
getting activity or sparking some noise on the Internet.
For the novice web analytical individual, what this
means is that when an individual visits a website such as Nordstrom.com for the
the first time, a cookie will be created by the enterprise with a unique identification
value (ID). The ID value tracks the individual every time when visiting the
site over a certain timeframe. If the same visitor visits the Nordstrom site
ten (10) times in one week, that translates into one unique visitor. To place a value on this
metric, let’s think of a business website as a virtual brick and mortar.
If we look at the unique visitors of Nordstrom in March of 2016 of 9 million, as
demonstrated in the graph below, if 1% of these visitors convert to a sale of
$100 that is equal to $9 million in revenue.
The unique visitors’ metric is often used to
measure audience size. The unique visitor metric needs to be tracked over a
range of time because companies have already established that they do not buy
in the first visit and if counted multiple times it will inflate the visitor
count. Typically, it may take four or five visits before the shopper empties
the shopping car or takes action. This metric is important because if a
business knows in advance the average number of visits it takes before a
purchase, then a strategic acquisition strategy can be established to entice
the prospect throughout the buyer’s journey. We all can agree that a business
should be aware of how many virtual visitors are visiting the company’s website
because visitors equal traffic. Again, when compared to a brick and mortar
store, foot traffic equals prospects and the more foot traffic a business
cultivates the higher the potential for increased sales.
But wait, a visitor came to the website ten times, doesn’t that count? In
this particular example it would probably be better to track and measure
what is called visit (sessions) for each time the visitor came to the website. This
metric will count the number of pages visited or viewed, according to the
Digital Analytical Association Standards Committee. One could think
of it as how many times a shopper walked into the store and just looked. It is a little deeper than window shopping,
the visitor actually walked around to different departments and spent some time
looking at different merchandise. These are
comparable to visits and sessions. Unique visitors are a fundamental universal
metric that can often be viewed in a site overview page of the software programs
such as Yahoo, Web
Analytics, Omniture, and WebTrends. The unique visitors can be viewed,
daily, weekly, monthly and in some cases even absolute unique visitors, which
de-dupes the unique visitors over a certain time period. This
metric is helpful for marketers when tracking market share. One caveat as
an example is if a visitor has multiple devices and logs into the website using
different browsers. Essentially, each unique device along with the different
browser counts as a unique visitor. However, it is actually the same visitor.
As you can see the numbers can be skewed. In this particular case, we all have
multiple devices and should be a concern for the web analytic
professional.
Thank you for reading and I would love for you to
follow my blog over the next 7 weeks. What
is your takeaway on how this information might work for you in your
business? Let me know and join the conversation.
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