Frost & Sullivan Research Service   Published: 27 May 2011
World Web Analytics Market
   Research Overview

This Frost & Sullivan research service, titled World Web Analytics Market, provides market sizing, market share analysis, strategic growth drivers and market restraints, and global demand analysis. In this research, Frost & Sullivan's expert analysts thoroughly examine the following: clickstream analysis, analytics design and reporting, and multivariate and A/B testing.

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Market Overview

Changes in Web Business Models Fuel Growth in the World Web Analytics Market

Capability for Diverse and Rich Data Reporting Ramps up Value Proposition for Web Analytics

The dynamic world Web analytics market is witnessing fast-paced growth, with the spike in demand for analytics, measurement, performance management, predictive modeling, and recommendation engines. In a world that is increasingly data dependent for marketing, performance, and strategy development, the quality of detail and quantity of data Web analytics provides make it the keystone around which further data analysis and decisions should be built. Web analytics is quickly expanding to include virtually any online platform, from multiple devices, such as mobile phones, tablets, and apps, to the social media and local marketing environments. Currently, Web analytics is positioned to lead the data revolution, with capable solutions and expanding services. “Within the Web analytics industry, five key vendors dominate the landscape, defining, demonstrating, and innovating the technologies, capabilities, and solutions that are driving growth and continuous technological advancements,” notes the analyst of this research service. “Beyond the five market leaders, a handful of larger technology vendors are moving into the online analytics space while dozens of smaller vendors carve up niche markets, offering unique technologies and analytical capabilities.”

Development in the Web analytics market will depend on wider recognition of the Web analytics value proposition and the importance analytics plays in quantifying digital advertising deployments and spend on the Web. Besides this, growth will also depend on expansion into additional digital spaces (social, mobile, online video) and the potential for increased market penetration, which right now is lower than the solution justifies. This growth is contrasted against the realities of how Web analytics is typically deployed today, without the right level of talent and operational appreciation in client companies. Many companies do not have the expertise to optimize analytical results and do not allocate the appropriate level of resources required. These impediments are expected to be overcome within the next few years.

The largest hurdle for the Web analytics industry is not achieving market recognition of the value proposition of Web analytics, but the growth of maturity among users within the marketplace to match the capabilities of the solutions. There is a shortage of qualified experts that can both design the right kinds of data generation and translate the reporting into actionable strategies and site success. “Although this shortage of qualified experts is expected to be reduced over time, today it is a significant problem for the industry,” says the analyst” “As much as the value proposition is valid, until companies grow and dedicate the expertise needed to translate analytics into results, the market cannot adequately integrate Web analytics solutions.” The real value in analytics is generated by how the data is collected, read, interpreted, and integrated into performance improvement and long-term strategies. This requires expertise, intelligence, and people and is yet a short-to-medium-term weakness for the market. Over the next five to ten years, market demand for expertise and the application of data analytics at all levels will lead to considerable industry growth.


The following technologies are covered in this research:

  • Clickstream analysis
  • Analytics design and reporting
  • Multivariate and A/B testing

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  Table Of Contents

1. Executive Summary
   1.1 Market Overview
       1.1 a Introduction
       1.1 b The Value of Analytics
   1.2 Market Research Findings
       1.2 a Market Structure
       1.2 b Market Opportunities and Projections
       1.2 c Conclusions

2. Analysis of the World Web Analytics Marketplace
   2.1 Overview and Definitions
       2.1 a Definition
       2.1 b Overview
   2.2 An Introduction to Web Analytics
       2.2 a Changes in Web Business Models are Driving Growth 
       2.2 b Web Analytics and Online Advertising
       2.2 c Search Engine Marketing
       2.2 d Justified Revenues
       2.2 e How Web Analytics Works
       2.2 f Data Reporting Tools
   2.3 Web Analytics Technologies
       2.3 a Unique Visitors
       2.3 b Time On Site – Session Time
       2.3 c Bounce Rates
       2.3 d Calculations
       2.3 e Granular Data
       2.3 f Analysis Tools
       2.3 g Segmentation
       2.3 h Click Density Analysis
       2.3 I Multivariate Testing and A/B Testing
       2.3 j Usability and Funnel Testing
       2.3 k Search Engine Optimization
       2.3 l Recommendation Engines
   2.4 Social Mobile Video and Local Analytics
       2.4 a The Social Internet
       2.4 b The Mobile Web
       2.4 c Online Video Analytics
       2.4 d Local Analytics
   2.5 Complementary Web Analytics Tools
       2.5 a Network Analytics
       2.5 b Content Delivery Networks (CDNs)
   2.6 The Beauty of Triangulation
   2.7 Macrotrends in the Marketplace
       2.7 a Network Capacity
       2.7 b Digitization
       2.7 c Digital Content Management
       2.7 d Technology Costs
       2.7 e Cloud Computing
       2.7 f Multiple Web-enabled Devices
       2.7 g Increased Quantification
       2.7 h Interactivity
       2.7 I Customization and Personalization
       2.7 j Tracking and Analytics
   2.8 Technology Trends
       2.8 a Integration into Productivity Systems
       2.8 b Increased Cardinality
       2.8 c Multi-touch Analytics
       2.8 d Data Analytics and Predictive Modeling
       2.8 e A Transfer of Authority
   2.9 The Web Analytics Market Landscape
       2.9 a An Introduction to the Web Analytics Market Landscape
       2.9 b Market Initiation and Growth
       2.9 c Market Engineering Measurements
       2.9 d Market Character
       2.9 e Market Trends
       2.9 f Market Revenues
   2.10 Analysis of the Factors Impacting the Growth of the Web Analytics Market
       2.10 a Industry Challenges
       2.10 b The Industry is at an Inflection Point, Presenting an Equal Number of Challenges and Opportunities
       2.10 c Free Services are Likely to Affect Industry Value and the Web Analytics Market
       2.10 d Merger and Acquisition Activity Signals a Trust and Belief in the Industry Even While Presenting Possible Challenges of Market Dissolution
       2.10 e Market Drivers
       2.10 f Online Advertising Demands Analytics
       2.10 g Innovation and New Platforms Drive the Web Analytics Marketplace
       2.10 h The Web is Big and Data Analytics Coverage is Small Currently
       2.10 I Growth of Analytics in All Forms is Expanding the Web Analytics Marketplace
       2.10 j Analytics is Becoming a Marketing Service and Building New Opportunities
       2.10 k Market Restraints
       2.10 l A Dearth of Experts Slows Web Analytics Uptake
       2.10 m Quality of Data and Gaps in Reporting Hurt the Industry and Slows Market Trust and Embrace
       2.10 n Legislation and its Effects are Unknown, thereby Deterring Several Enterprises from Investing in Web Analytics
       2.10 o Many Companies Accord Web Analytics Responsibilities to Junior Executives, Resulting in a Dilution of the Commitment to Web Analytics
       2.10 p Challenges in Internet and Mobile Infrastructure as well as Bandwidth Capacity Concerns Hinder Market Growth
   2.11 Market Forecasts and Trend Analysis
       2.11 a Pricing and Revenue Analysis
       2.11 b Revenue Forecasts
       2.11 c Global Demand Analysis
   2.12 Competitive Analysis
       2.12 a Competitive Structure Analysis
       2.12 b Types of Competitors
       2.12 c Tiers of Competition
       2.12 d Distribution Structure
       2.12 e Key End Users
       2.12 f Competitive Factors
   2.13 Market Share Analysis
       2.13 a Market Leader
       2.13 b Market Challenger
       2.13 c Market Contenders
       2.13 d Niche Competitors
       2.13 e Complementary Solutions
   2.14 Hot Company Watchlist
       2.14 a Woopra
       2.14 b Maxymiser
   2.15 Industry Participants and Products
       2.15 a Key Vendors and Products
       2.15 b Adobe – Omniture Business Unit
       2.15 c Google Analytics
       2.15 d IBM - Coremetrics
       2.15 e Webtrends
       2.15 f Yahoo! Web Analytics
   2.16 A Final Word
       2.18 a Conclusions
   2.17 Frost & Sullivan's Perspective


   List of Figures

Chapter 2

  • Web Analytics Market: Impact of Top Three Industry Challenges (World), 2011-2017
  • Web Analytics Market: Market Drivers Ranked in Order of Impact (World), 2011-2017
  • Web Analytics Market: Market Restraints Ranked in Order of Impact (World), 2011-2017
  • Web Analytics Market: Revenue Forecasts (World), 2010-2017
  • Web Analytics Market: Revenue Forecasts by Region (World), 2010-2017
  • Web Analytics Market: Competitive Structure (World), 2010
  • Web Analytics Market: Company Market Share by Revenues (World), 2010


Chapter 2

  • Digital Media Value Chain: Web Analytics (World), 2011
  • Retail eCommerce Growth as a Percent of Total Quarterly Retail Sales (United States), Q1 2001-Q2 2010
  • Web Analytics Market: Market Engineering Measurements (World), 2010
  • Web Analytics Market: Revenue Forecasts (World), 2010-2017
  • Web Analytics Market: Revenue Forecasts by Region (World), 2010-2017
  • Web Analytics Market: Competitive Landscape (World), 2010
  • Web Analytics Market: Company Market Share by Revenues (World), 2010
  • Web Analytics Market: The Frost & Sullivan Company Heat Index for Woopra (World), 2010
  • Web Analytics Market: The Frost & Sullivan Company Heat Index for Maxymiser (World), 2010
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