CR (Conversion rate) is a conversion indicator, a very important characteristic for web marketing.
Conversion is the ratio of the number of website visitors who performed the desired action (product purchase, a transition to the website, registration, subscription, etc.) to the total user quantity.
Usually, such CR conversions are calculated through:
- Purchasing a product through an online store.
- Newsletter subscription.
- Repost articles (is could be often found on info sites).
- Request for feedback.
- Total website viewing depth.
For example, if CR = 6%, then it turns out that out of 100 clicks to the site, you get an average of 6 conversions.
It means that 6 targeted actions have been completed, based on which the conversion indicator (coefficient) is calculated.
How to calculate CR?
Calculating your conversion rate is actually extremely simple. To do this, you just need:
- Choose the time interval you are interested in (day, week, month, quarter, half-year).
- Divide the number of completed conversions by the total number of website visitors.
- Multiply it all by 100%.
So how to count the conversion rate? Formula
We transform the above-mentioned into a simple formula: A/X*100%.
In this formula, A is the number of website visitors who perform the desired action for a given period, and X is the total number of visitors for a given period.
Conversion Rate Calculation Examples
About 2,000 visitors visited your shoe sales website in a month, 300 of them purchased shoes and now you need to calculate the conversion rate.
Following the formula A/X*100%, we get CR = 300/2000*100%.
It turns out a conversion rate of 15%.
Now you are promoting a weight loss course. Your site has been visited by 14252 people, of which 2536 have left you their contacts to register for the course. By the formula A/X*100% we get CR = 2536/14252*100%.
It turns out the Conversion rate ~ 17.8%.
Why count conversion?
This indicator informs about the work of the company in general: the success of advertising, the value of the product for the user, the productivity of innovation.
When you calculate the conversion rate, you can see the “gaps” in the work of your site/business, then improve the lagging characteristics, measure the productivity of innovations.
Moreover, CR can help to predict the costs and ROI of future marketing companies.
In order to use this knowledge productively, inspect changes in the conversion rate after making any changes to the website. As a result, over time, you can better understand the user's preferences.
CR features are up - keep it up! Decreased - an occasion to think about how you can increase the conversion.
How to increase conversion rate?
- To risk. Test new content placement options. What if the user likes the blue background more than the orange. Or they will like the “add to cart” option.
- Experiment, analyze your results and compare with indicators.
- Make sure that you have complete information about the product/service. This increases the chances that the client will make his choice. Do not forget to check the goods and the pictures, they must correspond.
- Make a convenient site structure. Place yourself in visitor`s shoes. It should be easy for you to be on the site so that everything you need is in sight so that you can quickly find the right object. Otherwise, the visitor will remain a visitor, not a buyer, and will go to other sites of competitors in search of an analog.
- Try adding to the site: video (people like it when products/services are shown as clearly as possible), links to the social networks (people need to get to know you better and follow updates), search by keywords (many uses this function to save time).
- Create relevant ads. Take the time to identify your target audience, make a portrait of the ideal customer, personalize advertisements, banners, etc. Then your CR level is likely to increase.
- Call to action. Create polls, communicate with the audience and do not neglect CTA (Call to action). This will likely increase the conversion rate of your landing page.