That report is great, I'm telling you how it exists at 98% of all internet companies that generate between $1M and $50M in revenue.
A perfect example is my old site. We had 10,000 advertisers that came to the site every day or two. But that was not our main traffic concern and would have made our numbers appear like we had tons of repeat users due to the percentage of time they spent on the site and the frequency they visited (some 2-3X a day).
So to Web Site Story, we probably appeared to have alot of repeat users - when 95% of our actual user base came from advertising.
labrocca said:
My .net site is getting over 5k uniques per day at the moment. I thought I was losing traffic so I bought .com. Turns out that the dot com accounts for about 30 visitors a day. You can figure out that percentage but it's abysmal imho.
That is my point. I've seen a leakage number of 2% on the high end. 2% leakage for a site that has unique content.
Very insignificiant for most sites.
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A couple things about the Web Side Story report. First thing, the report references 2003 data. The rise of Google and PPC Advertising has accelerated in the six years since 2003. Second thing, the comment about people no longer randomly visiting sites, indicates that first time direct navigation was taking a hit as more people went to Google or Yahoo.
I started running PPC Ad Campaigns in 1999. For the first 3 years, I had very few competitors. Since 2004-2006 - the amount of people buying traffic from Google has spiked.
In addition, the decrease in CPM banner ad rates following the 2001 dot com bust means that banner advertising became viable for smaller internet companies in the 2001-2003 timeframe.
In short, these stats pre-date wide spread PPC advertising.
In addition, as with any stats - you have to understand the source data. Could a couple large sites like Yahoo and EBAY significantly influence that base results since their traffic numbers would be a higher percentage when compared to smaller sites.
I think most people on this board would be concerned with smaller sites since most people don't have millions to create a brand, do TV advertising, or generate unique content required to build a grassroots marketing effort that bears fruit.