Status quo and future of the web analytics industry

CNN Money published an interesting article about the status quo and future of the web analytics industry: "Analysts expect global sales of Web analytics software and services will reach $1 billion in 2010. IDC estimates sales of less than $500 million this year. There's still a lot of room for more growth. Less than 20% of the world's 10,000 most-visited Web sites use Web analytics, according to Brent Thill, a Citigroup (NYSE:C PRR) (NYSE:C PRS) (NASDAQ:SFSU) (NASDAQ:PLJC) (NYSE:C PRF) (NYSE:C PRH) (NYSE:C PRG) (NYSE:C PRM) (NYSE:C) analyst. Less than 10% of the top 200,000 sites use such software, Thill says.

If half of the top 10,000 sites adopted Web analytics, global sales could reach $10 billion, he says. That upside "presents an opportunity for the leaders to grow the market," Thill wrote in a recent note to investors. He's launched coverage of Omniture stock with a buy rating".

If the numbers above are right, the web analytics vendors have done something wrong or more than 80% of the world's top website owners have no idea of what they are doing.