Editors Note: The HSMAI
Internet Marketing Advisory Board and
TIA’s eCommerce committee joined together to explore the important
topic of
online metrics. Although driven by an interest in developing benchmarks
for
online metrics, all participants were also eager to define a broader
scope of
online data for common reference in the travel industry.
By Cindy Estis Green
The objective
of The Online
Metrics Handbook for Travel Marketers was to get the pieces of the
travel
industry online metrics puzzle laid out clearly. There are many
anomalies and
variations in terminology and methodology that make a discussion of
metrics challenging.
Throughout the data collection process, there were several themes that
emerged
to help inform and impact the role metrics plays for travel marketers:
- Trends in online travel
marketing
- Consumer trends in online
usage
- Differences to other
online-dominant industries
- The impact of company
culture on the use of metrics
- The limitations of available
data sources
- Best practices in the use of
metrics
- The value of benchmarking
There are a few principles that
jumped out from the interviews:
- Reporting does not equal
analysis.
- Data does not equal business
intelligence.
- Having reams of slick
reports does not make you a better web marketer or mean you have a
better web analytics package.
- Although essential, there is
far more to online metrics than a web analytics package.
- The costs of perfection are
far too high relative to the benefits of achieving “an acceptable level
of inaccuracy”.
- Online metrics are marketing
data and should not be confused with financial data.
- Some metrics are much better
than no metrics.
The report illustrates many different types
of metrics and helps explain some concepts in online metrics including:
- Web analytics for traffic,
transaction and campaign tracking
- Consumer online attitudes
and behavior
- Key Performance Indicators
(KPIs)
- The value of benchmarking
- The role of industry wide
data
- The role of profiling Web
visitors
- Emerging new metrics based
on social media
The report provides guidance and explanations
about the following aspects of travel Web marketing:
- Translating technical
details into meaningful marketing information.Travel marketers need
to learn about the nuances of their online data. They cannot delegate
this to a technical team since these details affect the quality of the
data. Many of the underlying files that describe online activity are
coded in a way that can be difficult to understand when transferred to
marketing reports. By establishing meaningful coding, the resulting
marketing reports will yield useful.
- Online data is messy.
So its users must learn how to gain benefit from it which will mainly
come from the trend information, specific tactical reporting such as
campaign-specific data and customer survey data. There are many aspects
of online analytics that may prove inconsistent or less reliable than a
marketer would want. In spite of this, the trend lines will always
prove helpful when analyzed over time.
- Limiting the scope of the
metrics. A practical method of analysis is to limit the number of
metrics reviewed regularly and organize them into meaningful reports
around the organization’s key performance objectives. This will create
a greater benefit because it will be possible to create a greater focus
for the analyst that maintains a better connection between the data
collected and the actions planned.
- Building bridges to
customer-centric data is key. Knowing that the scope of metrics
goes well beyond the web analytics package into more customer-centric
data sources is important. Most web analytics packages track a
website’s direct usage but when this data is combined with attitudinal
and behavioral data collected through direct customer feedback (usually
surveys), a powerful foundation is built for consumer intelligence.
- Segmented information can
be more useful than the aggregate. There can be more benefit from
filtering data than from looking at the aggregate so the findings
reflect on specific actions for specific market segments.
- Integration of data from
different sources is essential. Understanding that the integration
of travel data is crucial and that this integration might include
online/offline (reservation/call center), behavioral and attitudinal
data and external industry data. If the travel executive is not
examining a full picture of the customer experience throughout all
distribution channels, the organization is more liable to reach
inaccurate judgments skewed by partial input. Some analytics vendors
are equipped to assist in this regard, some travel organizations can
handle this internally, many tap outside specialized resources.
- Travel is unique.
While every industry has anomalies and nuances that distinguish it from
the others, those interacting with travel organizations should
recognize that the travel industry is different from other major online
marketers such as retail, financial services, automotive and wireless.
There are many issues that will make adoption of all forms of web
analytics different. Some relate to underlying reservation systems,
others are driven by the nature of consumer behavior in this sector and
others are driven by the financial and/or organizational structures
within some sectors of travel.
- Everyone loves a horse
race. But appreciating the value of benchmarking between travel
organizations, and when comparisons can be meaningful and when it is
best not to pursue them is important. These comparisons may not always
be apples vs. apples. Internal benchmarking is always a good practice.
Comparing an organization’s performance against its objectives will
always be effective. Comparing to organizations that are presumed to be
similar can be riskier because the underlying differences may result in
inconsistent metrics. When comparable though, this practice can be
useful.
- Continuous improvement is
the best policy. The approach needed for online metrics is one of
continuous improvement. A marketer needs to have goals, assess results,
make changes and examine the effect of the changes until there is
gradual and systematic improvement in the Web site performance.
Online
Metrics Data Model
This model developed through interviews with travel organizations and
analytics vendors illustrates the many data types used for the purpose
of online marketing. It also shows the data sources used for each type.
Although there should be a connection between the data categories,
these links depend entirely on the online marketer. Being an emerging
new field, online metrics analysis is part art and part science. Some
organizations are more integrated in their interpretation of data than
others. The goal should be to move toward a higher level of integration.
There are additional internal data sources often used by travel
marketers that, although important to marketing decision making, are
not shown in this model since they are not specifically online in
nature (e.g. frequent traveler program data, offline reservation data).
Web analytics is usually defined to be the study of clickstream,
behavioral and attitudinal data, although the majority of web analytics
software packages on the market in 2007 focus mainly on clickstream
data with some basic behavioral components (like limited content and
navigation analysis). The Online Metrics Handbook extends beyond the
web analytics data sources to illustrate how the marketplace data fits
into a travel marketer’s analysis. It also extends beyond the typical
purview of the web analytics software to explain how in-depth
behavioral and attitudinal measures can inform the marketing strategy
and tactics. Some web analytics vendors are equipped to help in the
comprehensive analysis of data. This skill set is important whether it
is tapped from within a travel organization or through the use of
outside consultants and vendors.
|
This is a summary of a
report that will be available
for sale by www.tia.org.
|
.
© Hospitality Upgrade, 2007. No reproduction or transmission
without
written permission. |