Alexa.com offers a search engine, a directory and a toolbar (among other services). It also has a resource called Alexa Traffic Rankings (click the traffic rankings tab at the top when you get to Alexa.com), which is what we are focusing on when we study AlexaRank. You can input any domain name into the traffic rankings form and Alexa will spit out the current ranking data for that site.
The AlexaRank blue bar is a snapshot representation of the full Alexa traffic rankings, which include graphs that track the history of practically every website online, or at least every site Alexa “touches” or is exposed to via it’s toolbar. Each site has ranking number, the lower the number the better, which is an aggregate of the last three months of traffic data.
Here is how Alexa describes their service -
What is Traffic Rank?
The traffic rank is based on three months of aggregated historical traffic data from millions of Alexa Toolbar users and is a combined measure of page views and users (reach). As a first step, Alexa computes the reach and number of page views for all sites on the Web on a daily basis. The main Alexa traffic rank is based on the geometric mean of these two quantities averaged over time (so that the rank of a site reflects both the number of users who visit that site as well as the number of pages on the site viewed by those users). The three-month change is determined by comparing the site’s current rank with its rank from three months ago. For example, on July 1, the three-month change would show the difference between the rank based on traffic during the first quarter of the year and the rank based on traffic during the second quarter.
Source: About the Alexa Traffic Rankings
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