A new Internet start-up is looking to revolutionize the way bloggers and website owners optimize and enhance their sites to better suit their customers and visitors.

By adding 1 line of HTML to a website, designers and website owners will be able to watch replays showing exactly how visitors use their websites – with every mouse movement, click and page scroll being displayed in real-time. It’s like sitting next to the visitor, watching their screen!

The new technology doesn’t require any software to be installed and records visitors from desktops, laptops and even the Apple iPhone.

MouseTrace offers a simple solution which allows any website owner or designer to monitor how their visitors really use their website or blog, no more guessing why people aren’t engaging more, buying or signing up for your newsletters. Drop 1 line of HTML code into your website and then sit back and watch your visitors as they navigate through your website.

By watching how the visitors actually use a website or blog, owners are able to rapidly find faults and identify where improvements can be made to drastically increase sales, better target advertising and improve reader engagement.

Founder, Dan Field explains “We developed the technology behind MouseTrace to enable us to improve our Google AdWords landing pages and our registration processes, which then lead to much better sales conversions for our other Internet businesses.”

“Without this kind of technology we were blind to how our visitors were using our websites, which means we were guessing where the improvements were needed”.

One of the unique features of MouseTrace is that it also keeps a record of what the webpage looked like at the time of the visit, so if it is being used on a blog you can watch how user engagement changes as the blog is updated – or in the case of an e-commerce site, try out different layouts or display options. By storing the raw page content at the time of the visit, MouseTrace is also able to display an accurate representation of the page as the visitor saw it –including how it fits within the visitors’ browser window.

MouseTrace is also the first to record user activity from iPhone users as well, showing the website owner how their website looks on the device and how the visitors are navigating through the website including zooming in and out of pages, rotating the view and using multi-touch gestures.

The MouseTrace service is being launched in the US and the Europe today, with further enhancements already in development.