Websites have taken up a vital role in e-commerce activities by increasing the brand awareness, providing product information, online business and utilizing special promotions.

Web Analytics is the measurement, collection, analysis and reporting of internet data for purposes of understanding and optimizing web usage. On-site web analytics measures a visitor's journey once on your website; for example, which landing pages encourages people to make a purchase. On-site web analytics measures the performance of your website in a commercial context. This data is typically compared against key performance indicators for performance, and used to improve a web site or marketing campaign's audience response.

There are two main technological approaches to collecting the data. The first method, logfile analysis, reads the logfiles in which the web server records all its transactions. The second method, page tagging, uses JavaScript on each page to notify a third-party server when a page is rendered by a web browser. Both collect data that can be processed to produce web traffic reports.

In addition other data sources may also be added to augment the data. For example; e-mail response rates, direct mail campaign data, sales and lead information, user performance data such as click heat mapping, or other custom metrics as needed.

Webtrends continues to be the best solution worldwide for the Web Analytics.