Past fortnight or so, I have been spending much time on knowing the inside outs of Alexa ranking.
Atleast one thing I am sure after all this, that am not a fan of Alexa ranking and it’s something really biased, unreliable and misleading atleast for the websites ranked outside first 10,000 or so.
Alexa user base is only a sample of the Internet population, and sites with relatively low traffic will not be accurately ranked by Alexa due to the statistical limitations of the sample. Alexa's data come from a large sample of several million Alexa Toolbar users; however, this is not large enough to accurately determine the rankings of sites with fewer than roughly 1,000 total monthly visitors. Generally, Traffic Rankings of 100,000+ should be regarded as not reliable because the amount of data we receive is not statistically significant. Conversely, the more traffic a site receives (the closer it gets to the number 1 position), the more reliable its Traffic Ranking becomes.
It is a snapshot of Internet traffic. It only covers Alexa toolbar users, it does not cover all browser types, as mentioned above it doesn't work on Vista, but it is a large snapshot of traffic so in terms of comparisons with competitors, monitoring trends for your own web sites' traffic within this snapshot of Internet users it is a useful tool in that respect.
But still, we cannot deny the importance of Alexa rankings because various PPC programs and advertisers give Alexa Ranking a high heads up.
Alexa ranking can be seen as a useful estimate when taken in conjunction with some other parameters like Google Page Rank.
Apart from that, it’s merely a vague estimate of how your website is doing in terms of traffic it receives.
I agree, that in some circumstances, there is monetary value in having a great Alexa Ranking –
- A nice low ranking can command higher ad prices for links/ads in some circumstances.
- Many people use Alexa Ranking figures while selling of their domains at nice prices.
- Many SEO companies use it as a parameter of SEO success provided to the client concerned.
In subsequent articles, we'll explore inside out the details about Alexa Rankings.
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