I recently wrote about the young company that finally solved the Facebook 'Like' problem. SumAll just announced a data analysis tool allowing customers to place a monetary value on their website traffic. By closing the loop, and linking traffic and transactional data, customers are able to value a site visit and the revenue of a minute spent browsing.
The new tool allows you to view time on site, plus revenue through Google Analytics and draw a correlation between the two. According to the data reviewed by SumAll, the median value of a minute spent browsing an e-commerce store is worth $0.43 compared to a customer visit, which has a median value of $1.30.
Surprisingly, the variation in value per minute is less than that of a unique visitor; a more reliable indication of revenue.
The other surprise for me in discussing this with research firm SumAll's chief executive Dane Atkinson, was that SumAll's research included more than 10,000 e-commerce stores and over $1 billion worth of transactions and more than 7.5 billion transactions.
The big data research firm has created a multi-stage custom data-acquisition and data-processing engine based on Complex Event Processing principles with MongoDB backing the final reporting API. Everything is hosted in the AWS cloud for flexibility and infinite scalability.
Findings also indicate that people really are more distracted, with median time spent on e-commerce sites falling from 3 minutes 16 seconds in 2008 to 2 minutes 49 seconds this year.
But the good news is that revenue per visit has climbed 24 percent since last year, according to SumAll.
One of the most interesting aspects of this work was that while people can also spend too much time on a site, time that does not directly equate to revenue. This is represented in the green graphic below, where time spent on the site on Y-axis on the graphic below and money spent is on the X-axis. The dark green shows that the really hot time is three to four minutes per visit.
Folks who spend 14 plus minutes equates to window-shopping. There are some exceptions where some vendors are converting these customers to revenue, but these are the exception. This is surprising because the current thinking is that there is a positive correlation between time spent on site and buying.
There is also a lot of seasonally to these numbers when looking year-over-year. There is an index or benchmark that SumAll will be publishing in the next few weeks, which shows how seasonality affects these numbers.
They looked, but no one has this type of research today. Likely it is because not many people have access to these types of data sets. Again, 7.5 billion transactions analyzed, distributed over their infrastructure churned for almost nine hours, according to Atkinson.
"By combining Google Analytics data and revenue performance on a single, intuitive dashboard, SumAll gives the insights businesses need to maximize profits," observes Atkinson. "This has clear implications for business owners, who can now translate this information into actions that drive revenue."
SumAll provides big data to businesses through its free, real-time data dashboard. Enabling the integration of multiple data sources including Facebook, Twitter, Google Analytics, eBay, PayPal, Shopify, Big Commerce and Magento into one intuitive, interactive chart.