Value per Visitor

 

Are you using the correct measurements?

Measuring hits to your web site is a waste of time.




 

You should be measuring value per visitor!

 

This will change the focus from volume to quality.

This is true even if you do not trade online and only create enquiries for your off-line business.

 

There is no point attracting visitors to your site that are not interested in your products or services.

This is usually done by people who have tried to attract volume by achieving a high ranking for a high volume keywords like "free".

The people searching using keywords like "free" may visit your site but they are unlikely to be interested in your products or services, let alone buying them.

You should be attracting people who are searching for the products or services you offer and testing how many people buy or make an enquiry.

Identify the search terms people are using and attract those people to your web site.

This can be done quickly and easily using pay per click search engines.

Once you have established which search terms are attracting visitors who BUY or make enquiries you can start tracking the conversion rates for each search term and source of the visitor.

Some sources of traffic can be far more effective than others.

Example any that come from third party endorsed referrals.

This is were people link to your web site and also recommend your products or service.

This is much more effective than just obtaining links form other sites to increase link popularity.

How to calculate Value per Visitor

Divide you sales(or enquiries) by the number of visitors over a given time.

 

Value per Visitor = total sales / number of visitors

 

Example :  Sales of £2,000 divided 1,000 visitors

Gives a value per visitor of £2

 

The timeframe used could be months if volume is low, weeks or even days for higher visitor volumes.

If you are attracting qualified sales leads for your off-line business, you measure cost per lead the same way it will take longer to establish how much sales are generated from each lead.

You should always be improving your value per visitor

If you increase visitor numbers and your value per visitor figure drops you are only attracting lower quality traffic.

This is why it is important to measure all your sources of generating visitors in terms of quality and value per visitor.

You do not necessarily need drop the lower value sources as long as they are profitable, but you should always look for new source of higher quality. 

Knowing this figure will allow you to plan your budget for attracting new customers in a cost effective manner.

Never pay more to attract visitors than your value per visitor figure, unless you know the lifetime value of your customer will make this profitable.

 

 

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