At the end of the day, having your business ranking high and getting a lot of traffic is helpful, but converting site visits into sales is what any business ultimately aims to achieve.
Conversion Rate Statistics:
Email marketing is the most efficient medium for converting, with a 2.8% average conversion rate.
The average website conversion rate is 2.35% across all industries.
The highest conversion rate comes from Google Play, sitting at 30%.
The industry with the lowest conversion rate is agencies, with only 1.7%.
Premium advertising gets 50% more conversions than organic.
What Is Conversion Rate Optimization (CRO) in Marketing?
In marketing — especially online marketing — conversions are just how many people click your ad or visit your site and go through with an action beneficial to your business like a purchase, newsletter sign-up, or an app download. So conversion rate optimization is a strategy used to improve the percentage of total conversions and interactions to get more out of your marketing.
Conversions are obviously central to the goals of online businesses. Through them performing desired actions, you get to grow your business, make profits, and increase the adoption and usage of your website. You get users to do this through marketing, and CRO shows you how successful you are.
In this article, we will focus on explaining what conversion rate is, what are the benefits of CRO, and how to conclude whether your conversion rate needs to be optimized in the first place. We will also recommend several strategies for those who find that their conversion rate requires optimization, as well as some great marketing tools that could help in achieving this.
How to Calculate Conversion Rate
Let’s start at the beginning and explain what the conversion rate, itself, china telemarketing database is. Simply put, the conversion rate is a metric that indicates the percentage of users who have completed a desired action on your platform. If you are in the retail business, the conversion rate shows how many of your site’s visitors have engaged in purchases of listed items. On blogs and similar websites, it shows how many users have subscribed to newsletters or supported your business in some other way, like maybe paying for a premium subscription.
What is a Conversion Rate
It is calculated by dividing the total number of users who “convert” by the audience’s size. The figure is converted into a percentage, which is the conversion rate. For example, if you run a campaign with an audience of 20,000 people, and 800 people from that group click on your ad, you will divide 800 by 20,000 and get a figure of 0.04. This is a 4% conversion rate.
Obviously, the higher the conversion rate is, the better. If there are elements of the site that turn people away or don’t convert users well, conversion rate will reflect that. That is where conversion rate optimization, or CRO, comes in.
Benefits of Conversion Rate Optimization (CRO) in Marketing
If your conversion rate is too low, then optimization will help you raise the figures up. In doing so, you can expect to see a number of major benefits.
The end goal of CRO is to drive revenue simply by having more people decide to perform the desired actions on your platform but there are other benefits of the process.
The first of them is the improved customer experience. Generally, satisfied customers are always more likely to engage with your business through subscriptions and purchases and by spreading the word and driving more traffic toward your platform. Satisfied customers are also more likely to become longtime loyal customers.
CRO can also give you an advantage against competitors, who may have failed to optimize their own strategies and boost conversion rates. Furthermore, by increasing customer activity on the platform, you will also gain enhanced customer insight, as it will become more apparent from their actions where their interests lie. Specifically, you might notice an increase in purchases of specific products, while other products might see lesser engagement.
This could help you understand which products might require some sort of change or improvement or if there is simply no demand for them.
For all of these reasons, as well as many others, conversion rate optimization is highly beneficial and helpful to businesses that know how to perform it.
How to Know if Your Conversion Rate Needs Optimization
In order to know whether your conversion rate needs optimization, you must first calculate the conversion rate percentage, as explained earlier. From then on, you must determine if your c