By Paul Morris
Google Analytics has undergone some recent developments that have seen some nice additions to the world’s favourite analytics package e.g. multi funnel analysis, real time site analytics and the ability to sync with webmaster tools for SERPS CTR data.
However one of the most interesting developments this week was that of Google Analytics Premium. For $150,000 (£90,000) per year you receive an enterprise level product that provides additions such as 24/7 technical support, training, service level agreements, modelling tools and improved/ more data sync capabilities that has additional processing power and can handle large amounts of data.
Google Analytics Premium is clearly aimed at digital agencies and for large organisations who have outgrown other free or more basic analytics tools or for those who want to save money on other enterprise level solutions such as Adobe/ Omniture/ Site Catalyst or IBM/ Coremetrics. Now whilst Google Analytics Premium will not be perfect when measured against these other analytic tools e.g. integration with email systems to follow-up on individual user behaviour is not available in Google Analytics; I’m sure Google Premium will more than hold its own. It has the benefit of the name, marketing, familiarity/ usability and will be cheaper in the majority of cases when measured against the other big analytics providers.
What interests me most about this development is 1/ what’s next for Google analytics (free and paid)? And 2/ Why Google have launched a premium product?
1/ What’s next is a two tier Google analytics system. Whilst Google will definitely not abandon it’s free product and will continue to develop it I could see the above list of premium benefits supplemented with even more USP’s in the premium product e.g. fixing the deficiencies I highlighted of its recent Google multi channel funnels development.
2/ In terms of why launch a premium product, I doubt the obvious answer of direct revenue is correct; low $10’s million’s per year additional revenue is nothing for a company that generated $29 billion in 2010.
I think the development is because it opens doors, allows for knowledge acquisition and gives Google additional indirect revenue growth.
Empowering companies with an enterprise solution at a relatively cheap price will mean advanced analysis gets released to even more companies.
Advanced analysis = better insight = improved targeting and reduced CPA’s = more overall online spend.
Google will clearly then be getting a foot in the door with those big spending companies by ‘owning’/ empowering their analytics capabilities and in turn influencing where the advertising £’s are spent.
When you then think where enterprises will spend the online cash i.e. display (you tube anyone), PPC (adwords anyone) and DSP’s (demand side platforms that Google will be increasingly gobbling up e.g. Invite Media that Google bought for $70 million) it will result in more cash going in Google’s coffers.
To then finish off the monetisation optimisation, Google will seamlessly integrate its properties e.g. Double Click into Google Premium.
Paul Morris Note: I sat in on a Google Premium 1 hour webinar on the 12th October and stick by everything put above after this sales-inar.