January 24, 2005

New WebTrends 7 Innovations Arm Marketers with Complete Conversion Analytics for their Top Three Initiatives

Industry Breakthroughs in Search Engine Marketing, Audience Segmentation and Email Marketing, Make it Easier and Faster to Improve Business Results

Press Release

SAN JOSE, Calif.

WebTrends, the web analytics market share leader and a business unit of NetIQ Corporation (NASDAQ: NTIQ), today announced several major advancements to its WebTrends® 7 On Demand and software solutions, designed to provide marketers with complete conversion analytics and the first integrated insights into how search rank affects revenue, how email creative affects campaign results, and how visitor segments react differently to web page content. By tying together all the insight necessary to analyze and improve these critical marketing efforts, WebTrends 7 dramatically accelerates marketers' ability to take action and maximize business value.

According to Forrester Research, search optimization, segmentation, and campaign analysis top the list as the most-used web analytics product features with 49 percent to 65 percent of users ranking their use as regular, frequent, or critical (What Matters to Web Site Analytics Users, June 2004). However, until now, marketers have had difficulty managing these programs due to incomplete metrics, data locked in various applications, or applications that were too complex to use.

"In addition to providing the most comprehensive conversion analytics on the market today, these new capabilities streamline the analytics workflow so marketers can make faster and smarter decisions to optimize their organizations' most important initiatives," said Greg Drew, general manager of the WebTrends business unit of NetIQ. "We're going far beyond simply passing data back and forth between solutions; we've integrated the information in ways that dramatically accelerate a marketer's ability to determine precisely which actions they should take to achieve better results and improve conversion."

Clearly determine the effect organic search engine rank has on revenue

While pay-per-click search campaigns have provided marketers with more control over the performance of specific paid keywords, the ability to effectively manage organic search results has remained elusive due to the difficulty of quantifying return from an increased investment in Search Engine Optimization. According to JupiterResearch, 87 percent of commercial search engine referrals come through organic search listings, not paid listings (Search Engine Optimization: Taking Advantage of Organic Search, December 2004).

WebTrends 7 can now precisely quantify the relationship between organic and paid search positions and revenue within a single WebTrends SmartReport™ for Microsoft® Excel®, seamlessly combining results information from WebTrends with search position data from the leading SEO solution, WebPosition® Gold 3, also a WebTrends solution. By examining the relationship between organic and paid search positions and traffic and revenue, marketers can more precisely prioritize where they should invest their resources to attain the most profitable search engine positions.

Identify on the fly how different audience segments respond to content and offers

To fully optimize conversion, understanding the behavior and needs of different audience segments is absolutely critical. However, many segmentation approaches have not been adopted due to marketers either not having information on segment behavior or being overloaded with data that is not visually intuitive.

New dynamic segmentation capabilities in WebTrends 7 empower marketers to create their own custom segments and visually compare segment performance in WebTrends SmartView™, the browser overlay technology introduced in WebTrends 7. Now for the first time, marketers can see how discrete visitor segments, such as new vs. repeat buyers, or custom segments, such as gold vs. silver members, interact with different page layouts, calls to action, offers and creative, and conduct targeted optimization efforts to boost segment conversion.

"With the enhancements to WebTrends 7, I can easily see, in one view, the creative and offers that engage and convert my most valuable visitor segments," said Ted Schweitzer, director, e-commerce, for La Quinta. "This type of immediately actionable insight is critical, particularly as companies move beyond aggregate conversion improvements to focus on their most important customers."

Visually pinpoint where email campaigns lose prospects and convert customers

WebTrends and ExactTarget, an on-demand email software provider, previously announced an integrated email-web analytics solution that gives customers unprecedented insight into the performance of email campaigns with complete, real-time, visual insight, from clickthrough to conversion. WebTrends 7 and ExactTarget customers now have a single comprehensive view of how respondents react to specific creative elements within the email and the web site. Leveraging WebTrends SmartView, marketers can see complete campaign metrics such as clickthroughs, cart additions, revenue and conversion funnels superimposed directly on every email link, greatly improving their ability to quickly pinpoint and improve both email and on-site conversion.

Get a complete view of business performance by querying and integrating data

In the past, web analytics users have been frustrated by the inability to get exactly the information needed to support their decision-making processes. In some cases, the data that is needed is buried deep within a report, while other times getting answers to questions requires combining web analytics information with data from other systems or making special requests to the IT department.

At the heart of every WebTrends 7 report is a new drag-and-drop interface for easy ad-hoc querying and analysis, enabling business users to self-sufficiently extract new insights from reports on the fly without re-analyzing the data. For example, a marketer might perform an ad-hoc query on their merchandising report to show only the products that failed to meet a certain sales quota.

Additionally, marketers can now easily integrate other data sources such as product and campaign cost data, point of sale information and customer service call center logs with WebTrends data in order to gain a more holistic view of multi-channel results. WebTrends 7 now offers a seamless one-click process to import valuable web data into a standard ODBC, client-side relational database. Once the database is populated, business analysts can easily integrate other data sources and perform OLAP-style reporting using the enhanced WebTrends SmartReports or their favorite business reporting solution such as Crystal Reports.

About WebTrends

As the worldwide leader and trusted standard for web analytics, WebTrends delivers award-winning solutions that help marketing executives improve their return on investment. From campaign performance and search engine marketing to web site conversion and customer retention, WebTrends provides marketers a complete solution to accelerate their web results. Thousands of organizations worldwide, including more than half of the Fortune and Global 500 companies, rely on WebTrends everyday to measure and optimize their results. Offering both an On Demand service and software solutions, WebTrends uniquely provides customers with complete choice and control to ensure the solution can adapt with their dynamic business needs. WebTrends is a business unit of NetIQ Corporation. For more information, visit www.webtrends.com.

About NetIQ

NetIQ Corp. (Nasdaq: NTIQ) is a leading provider of Systems & Security Management and Web Analytics solutions. In addition to managing Windows-based applications, NetIQ delivers cross-platform solutions that enhance business performance resulting in higher returns on infrastructure and Web investments. NetIQ products are sold worldwide, directly and through a network of authorized NetIQ distributors and resellers. The company is headquartered in San Jose, Calif., with development and operational personnel in Houston, Texas; Portland, Ore; Raleigh, N.C.; Bellevue, Wash.; and Galway, Ireland. For more information, please visit the company's web site at www.netiq.com or call (888) 323-6768.

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