Conversion
What is a conversion?
A conversion happens when someone on your website completes a desired action. This could be a purchase, a newsletter signup, a file download, or a form submission. The exact action depends on your business goals. Even steps that happen before a sale, such as filling out a form, can count as conversions since they move a visitor closer to buying.
Why do conversions matter?
Conversions show how effective your marketing funnel is. Most visitors will not buy right away. By tracking conversions across different touchpoints, you can guide more people toward a purchase. Conversions help separate potential customers from casual visitors.
They also highlight issues in your funnel. If you review the customer journey and see where people drop off, you can adjust and improve. A smooth, simple experience leads to more sales.
How to calculate conversion rate?
The formula is straightforward.
Conversion rate = (Conversions ÷ Total visitors) × 100
For example, if 15,000 people visit your site in a month and 3,000 complete a desired action, your conversion rate is 20%.
You can track conversion rate at different levels, such as:
- Marketing platform performance (Facebook vs Google Ads)
- Keyword performance (which terms bring converting traffic)
- Page-level conversions (which pages drive the most actions)
- Ad-level conversions (which ads bring the best leads)
Examples of conversions
What counts as a conversion depends on your site. For an ecommerce store, it might be a purchase. For a lead generation site, it could be a form submission or phone call.
For B2B or complex products, conversions could include video views, demo requests, or newsletter signups. On mobile, conversions often include app installs, signups, downloads, or in-app purchases.
Having a clear conversion strategy is essential to growing sales. Improving performance in this area is known as conversion rate optimization (CRO).
CRO methods
Create content that converts
Content has a direct impact on conversions. Pages overloaded with keywords can rank but may turn customers away. Focus on content that speaks to your audience and matches their intent.
Target a specific segment
Landing pages work best when they give fast, clear answers. Avoid trying to appeal to everyone. Tailor your message to a specific group and address their needs directly.
Test regularly
Set benchmarks for actions like form fills, calls, or orders. Compare performance over time and run A/B tests on elements such as copy or design. Small changes can reveal friction points and increase conversions.
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