As long as you can illustrate the bottom line to the client in terms they understand, at that it is improving, then you as a search marketer have done your job.

Keep the pages indexed, backlinks, referrals by keyword and other non-client related data to yourself and present a concise simple report that even the CEO (who has 25 hours per day of work) can look at and understand that the SEO program is paying for itself.

Now let’s look at analytics from the client’s perspective.

If you are a client of an SEO firm, or just want to get a better idea of just how your site is doing online, first you must decide what it is you want to see. Do you want to see sales figures? Or would you rather just look at the aggregate numbers like total visitors and search engine referrals?

What has more value to you – reams and reams of data, or a simple, one page summary of overall performance?

As a recommendation, I’d say you only need enough data to make your business decisions.

In other words, if your website is e-commerce based, all you really need initially are the sales numbers over time. You should also understand how the sales cycle works, and perhaps look at your conversion funnel to see where people are dropping off. Most good analytics packages offer some sort of funnel analysis.

Understanding your sales funnel can also help you improve your sales. Sometimes an analysis of the sales funnel can help you determine where the drop offs occur. By modifying the funnel you can improve your drop off rate, increasing your sales. And really, this has less to do with SEO and more to do with traditional business marketing.

For example, let’s say your site gets 2000 visitors per month. Let’s also assume your site has a 3 step sales process, and your average sale is $11 per item.

If half of your site’s visitors start down the sales path, that means 1000 start (a 50% drop off rate at the first step – this could be due by a requirement to sign up to browse your site). If 40% of that total drop off at the second step, and 30% of that group complete the sale, that equates to $495 in sales, about a 2.25% conversion rate as only 45 of the original 2000 people purchased.

Now let’s experiment with the sales funnel:

If you can improve the final step of the sale by just 10% - that equates to an additional $165 in sales, a 3% conversion rate. However if you can improve the first step of the conversion, reducing that 50% bounce rate to 25%, you can increase your sales by $247.50 – a 3.38% conversion rate.

Further, if you shorten the conversion funnel by 1 step – making a 2 step sale, rather than a 3 step sale, you can increase your sales by over $330 – a 3.75% conversion rate. That’s still assuming the same number of monthly visitors start down the conversion path.

However, if you don’t or can’t find this data in your analytics package you wouldn’t be able to perform such analysis.

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