Is a low Alexa traffic ranking good?
The LOWER your rating on Alexa the better. The power in the Alexa ranking is your ability to tell if someone is telling the truth about their traffic levels, whether its good to purchase advertising space on a website and you want to see if they are really getting the unique hits they say they are. Alexa is also useful in rating one site compared to another, but the ranking can’t tell you much beyond that.
Ratings are based on a level from 1 to 4,000,000 and it goes beyond 4 mil sometimes. The LOWER your rating on Alexa the better. Meaning if you have a ranking under 100,000 then your website should be producing some good traffic. 3,000,000 to 4,000,000 ratings are for new sites mostly, or sites with no traffic basically.
If you have a rating of say 300,000, which is not too shabby, you are getting about 14x the amount of traffic a 4,000,000 site gets. But this could not be accurate because you have not given Alexa enough time to rank your website properly. A system can be developed to tell me what a sites traffic level is from its rating, this should allow you to surf the web and get a good estimation of how many visitors a website gets a day.
Remember, Alexa's ranking system is dependent on the number of Alexa toolbars users that visit your website. One regular visitor with an Alexa toolbar will push a site to somewhere around the 150k to 400k mark.