Ten years ago you could include a hit counter on your website and announce proudly that your site was doing "very well" as soon as the number reached 100,000. The current process is not nearly as simple or straightforward. The internet works in complicated ways that have evolved to solve a number of small problems. Consequently, concrete statistics are often difficult to obtain. If you believe the number of online visitors is a reliable indicator to gauge the popularity of your site or the potential sales of your product, you should consider the following:

1. Hit - Every time a user requests a file on your site (a page, not a picture or link to another site) it counts as a hit.

2. File - When a file or page is actually sent to the user, it counts as a file. Files normally outnumber hits, but neither is very useful in measuring traffic. Any IP can request all of the files on your page several times in one hour without any actual involvement from the user.

3. Impressions - This is a concept that has existed in advertising for many decades. For example, a 2-page magazine advertisement counts as one "showing of a creative concept". This equates to one impression every time a reader sees it. If your web page contains five small banners, you could have 10,000 page views, but 50,000 impressions.

4. Page Views - Almost everyone believe this is the most important traffic statistic. This term simply refers to the number of times any particular page has been viewed. This metric can be useful. However, values can often be over-inflated and should always be considered in conjunction with unique visits.

5. Visits & Unique Visits - A visit is simply logged every time a remote IP requests one of your pages for the first time in a timeout period. A unique visit is usually defined as "one visit per IP per day", regardless of timeouts.

The above are all very important metrics, but understanding them properly is key. The best way to decide how your site's traffic is performing is by creating a formula. If you know what you are doing, you can develop your own formula. However, there are plenty of effective formulas currently available. A basic idea of how to evaluate your traffic involves reviewing monthly averages, unique visits and page views. This will give you an idea regarding how many individuals visit your site, how many pages they view, and how long they remain.

A basic formula from MarketingExperiments.com would be:

C = 4M + 3V + 2(I-F) - 2A

This formula shows that conversions are a product of motivation (M), value (V) and then the friction (F) elements minus the incentives (I). This will help you determine how many customers are likely to purchase your product. However, you need all the values first! You can purchase online analytic tools or download them for an upfront or monthly fee. All of them can return useful data to a webmaster.

If you are not an expert webmaster, or you do not understand many of the technical intricacies of web traffic, you should download Google Analytics. This is one of Google's new free products, and all you require is a GMail account and a web site. The program provides easy to read analytic data in a web-based form for your website. This can make it easy to determine which metrics would be most useful for analyzing your online traffic.

Michael Ehlert
RevUpYourWebBusiness.com

I think the biggest mistake many of us make when we set out to build a website to make money is not to think out clearly how we are going to achieve this under our given set of circumstances.

We immediately jump on whatever bad wagon promises the best opportunity and hope to be able to achieve the same results. While hope is always nice it is action that will bring results. This is why it is imperative at the outset for you to figure out what you are prepared to do and how you are going to go about doing it.

For example list your strengths and what you are comfortable doing. Then you are going to look for ways and opportunities that will compliment your strengths.

If I had done this years ago I would have been a lot more successful. What I did instead was jump on the latest greatest opportunity, then when I would get the material I would be disappointed because many of the techniques listed where not in my field of expertise.

For example it would involve me having to cold call people to make sales and this is something I hate to do. So your first objective when setting out to build a website is to build it around a subject that you have some relationship with. Basically something that interests you.

Start out broad and be prepared to be taken down different paths that may yield more positive results in other words do not be too ridged.

Research is critical the more time spent researching the better your chances of success. Visit forums relative to your topics of choice and see what people are looking for - then with this information start to structure your site.

There are many site builders out there that can help. The one I used took care of the hosting and also helped me to market the site. This was very helpful especially starting out.

To conclude figure out what you want to do then be prepared to be adaptable based upon what the market demands. Then build a site that addresses their needs and provides solutions and you will make money.

Pay for a web designer or do it yourself? Can small business owners really design a website or is it a job for the pro's?

Most consumers look on the internet before going to a store. Sometimes it is their only stop: they research, compare and buy online. It goes without saying then that for a small business to reach its potential market, it should have an internet presence.

Small business operators do not often have a dedicated IT person on staff - in the past this is the person who would be given the job of building a website. It's great news then that there are now beginner-friendly website building packages on the market which are perfect for the small business person's use.

Data is entered into your web pages as one would using a word processor - with modern easy to use web builders, there is no need to know any html whatsoever.

The tutorials provided with almost all software suppliers take the novice through the process of building a website in a non-technical, easy to understand way. Having completed the tutorial, one is equipped with more than enough knowledge to launch straight into a website build.

Not all website software programs are easy to use. Small business operators do not need fully blown web design industry solutions due to the steep learning curve. One feature to look for is a WYSIWYG (What you see is what you get) editor. This simply means you type on the page as you see it.

There are expenses involved in publishing your own website - you get nothing for nothing. Apart from the cost of the software (there are free web builders however they are more difficult to use or too basic in features), a small business (or an individual or a large company) will need to register a domain name (less than $10) and find a web hosting service (around $8 per month).

Businesses should also set up a merchant's account from an organization like Paypal (free). Having a third party handle financial transactions is always reassuring for consumers and takes away an administration burden. When an item has been ordered via your website and paid for, Paypal advises you, with delivery instructions so that you can fulfill the order or if it is an electronic delivery, this part can be automated.

In any small business time is money, and the time spent learning a new skill like website building with easy to use software must be seen as a good investment. It is possible to build multiple websites so that you can have a website network feeding a central business. This is ideal for multi-brand retailers and multi-branch operators. This degree of control will reap rewards as your business grows and you build different websites to cater to changing needs.

Because you have built and are managing your website yourself, you are able to instantly react to changing trends and new opportunities. Avoid delays by not having to wait for your webmaster to make changes. Fresh content on your website is highly desirable.

Some website programs are specifically designed to assist the business person become an internet business marketer, and as your knowledge of web design grows, the more you will value search engine optimization and site map generation tools. Having a correctly designed site map helps search engines easily match your site to search requests.

If you decide to look at other ways to earn money through your website without doing a thing, you will no doubt look at including on your site some affiliate marketing and advertisements from non compete companies.

Features to look for:

Ideally you will have an instructional video, help desk support and forums. Look for testimonials from other business owners to see how they have applied the software.

Getting started is the next step once you arrive at the conclusion that a website is no longer a luxury - it is essential!