Friday, September 25, 2009

Metrics

I think most people have heard of the saying “if you can’t measure it, then you can’t manage it” and yet many people seem to be failing to even do basic measurements. Give the plethora of free measurement tools that are available on the Internet these days (Google Analytics is probably the best example), there really isn’t any excuses.

What prompted me to write this post was a blog post from Seth Godin called “Everyone gets paid on commission”. It details how a writer got laid off from the Washington Post because his blog posts where no generating enough traffic. It illustrates how in today’s world you can very quickly determine how many people are reading or looking at the stuff you have on the Internet. As Seth concludes, “in a digital world where everything can be measured, we all work on commission”.

It again illustrates that fact that we are living in a very different world from the one that many people believe they inhabit. Personally, I spend a regular amount of time each week recording a number of key metrics around my business online. Such monitoring has highlighted issues that I am working to address. It has garnered results from tests that I have performed so I know what does and doesn’t work online. I have really come to appreciate in the last year or so how important metrics are to a business and why if you are not performing metrics you are simply fooling yourself.

It may take some time to determine what key metrics you need to track but the more you invest in determining, tracking and reacting to these the more profitable your success will become. I am always on the look out for more quality information sources as well as tools to provide metrics on how my business perform. If you know of any that work well for you please let me know via director@ciaops.com.