The Web site Apple.com attracted nearly 16 million
American visitors last month. Some of them got there by typing
in the address directly; others used a search engine, linking
to company's site via nearly 25,000 different keywords, including
"iTunes," "iPod" and "iPhone."
So says Compete, a company based in Boston that tracks Internet
traffic. How does it know? It has installed its software in
the computers of 100,000 Americans - with their permission
- allowing the company to track their every movement on the
Internet. It gets additional, anonymous data on about two
million American Web users from Internet service providers.
That is a lot of people, but a far cry from the total U.S.
Internet population - more than 200 million, according to
some estimates. Like other monitors of Internet traffic, including
Nielsen Online, Hitwise and ComScore, Compete extrapolates
total Web audience figures from such samples, in a system
similar to the panel-based research that is used to measure
television audiences.
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Marketers rely on these numbers because they are skeptical
about data submitted by individual Web publishers, which often
seem to overstate their own audiences, at least by comparison
with independent measures.
So, for all the talk of the Internet being the most measurable,
accountable, transparent medium ever invented, it can still
be a frustrating place for marketers who just want to know
exactly how many people will see their ads.
Advertisers have been pushing Internet companies to produce
more comprehensive, standardized data. But for now, in the
absence of breadth, they are hungry for greater depth.
That is why Taylor Nelson Sofres, a market research company,
said last week that it had spent $75 million, with as much
as another $75 million still to come, to acquire Compete.
"We are listening to our clients, who have been telling
us they want more and more information on the online environment,
to help them allocate their marketing budgets," said
Jean-Michel Portier, chief executive of TNS Media Intelligence.
In addition to providing Internet audience figures, Compete
analyzes the Web behavior of its panel members. It can spot
patterns that help marketers fix problems on their sites -
if, for example, large numbers of users search for air fares
on one site but end up making their reservations on another.
The acquisition intensifies an arms race among market research
firms and others seeking to provide this kind of data to marketers.
In addition to buying Compete, Taylor Nelson Sofres last year
bought a company called Cymfony, which tracks chatter about
brands and products on blogs, social networking sites and
other Internet forums.
Nielsen Online has been making similar moves, acquiring Buzzmetrics,
which keeps tabs on where brands stand in Web 2.0 environments,
and building out its Internet measurement tools.
ComScore, which remains independent, and other Web trackers
have been experimenting with or adding new "metrics"
to deal with the growth of online video, which could make
current gauges like unique visitors obsolete.
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