Collection, measurement, analysis and reporting of web data for purposes of understanding and optimizing web usage is Web analytics. Web analytics is not only a tool for measuring web traffic but also used as a tool for business and market research, for the website to be effective. Web analytics provides information about the number of visitors and page views. It helps understand traffic and popularity trends which are beneficial for market research.
Web analytics applications help companies measure the results of traditional advertising campaigns. It helps one to estimate the changes of traffic to a website after the launch of a new advertising campaign.
Web analytics is both off-site and on-site. Off-site web analytics is mainly web measurement and analysis of the opportunity, visibility and buzz that is happening on the Internet overall. On-site web analytics measure a visitor’s activity once on your website. It measures the performance of your website in a commercial context. This data is used to improve a website or marketing campaign’s audience.
Historically, web analytics has referred to on-site visitor measurement However in recent years this has changed, mainly because vendors are going wider with tools creation and usage that span both categories.