Monday, November 11, 2013

Alexa Ranking || Why cant they use data analytics

For all those ask what an Alexa Rank is all about?

Alexa is a company which came up some years ago(8 yrs i believe) and is currently owned by one of the best companies in the world, Amazon. They rank your website based on the traffic rank. The traffic rank is determined based on 3 months of historical traffic data collected from the users of Alexa Toolbar. So lesser the alexa rank the better it is.

Agree.. But what exactly is the process?

people from Alexa say: The global traffic rank is a measure of how a website is doing relative to all other sites on the web over the past 3 months. The rank is calculated using a combination of the estimated average daily unique visitors to the site and also the estimated number of pageviews on the site over the past 3 months. The site with the highest combination of unique visitors and pageviews is ranked #1.

Ref: http://dailyever.com/how-does-alexa-rankings-work/

Ok but that didnt answer my question. I was more keen on knowing the process in which they calculate rather than what a traffic rank is all about.

Since theory has never been able to explain me the actual concept, let me put it in simple words:

Alexa uses a toolbar to identify the number of people visiting your site. So in case your website is having 20,000 unique visitors each day and among them only 10% of them would be having Alexa toolbar, then Alexa would only consider 2000 visitors for ranking purpose.

The residual visitors probably won't be counted.

Now, is this rating reliable? Should this be given importance?

Yes because people do pay for your ads based on alexa rating and statistics. Most of the small companies cant pay for getting the stats or get their acconts reviewed by data analytics companies.

Now, why can't a company like Amazon use bigdata or other data analytic tools to do this process more efficiently?

Suggestions, please :)

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