How Important Is Market Analysis?

Businesses have been performing market analyses since they’ve learned there were specific segments of a market that they wanted to target. Online businesses also perform market analyses, but it’s usually done in a slightly different way.

A market analysis for an online business consists of searching for the right keywords to target so that your content can rank well in the search engines and your PPC campaigns can be more effective. You want to know what your competition is doing, but you also want to find out what are the right keywords for your business are based on the audience that you want to reach.

One of the most important parts of your market analysis is the examination of statistical data and analytics. A lot can be said through your site logs and certain information about your visitors. For instance,

  • By noting the most popular keywords for finding your website you can identify profitable ways to reach your target market through pay per click advertising.
  • Knowing your most important traffic sources can help you identify potential websites to emplace your PPC ads.
  • Getting a feel for the navigation patterns of your users can help you identify what they are searching for on your website and give you a better idea of what you should be offering through online advertising.
  • And if you have certain landing pages that are getting the lion’s share of your inbound search engine traffic then you know which pages to promote through PPC.

These are just a few of the things that you can identify through analytics to help you manage a more effective pay per click campaign. Before you start advertising, engage in a little market analysis. It can save you a bundle.