What is a Conversion
A conversion rate measures the percentage of visitors that complete your desired action – whatever the conversion set or action set. Conversion metric is at the core of every successful marketing strategy.
A Conversion takes place when a visitor has arrived on your website and completed a desired goal. These goals can vary, such as buying a product or filling out a form.
Conversion rate optimization (CRO) can turn more of your site visitors into paying customers.
Whether your business is B2B or B2C, you can hit more of your goals by optimizing your existing pages. CRO doesn’t focus on generating new site visitors. Its purpose is to update your website so that more of your current audience decides to take action.
Businesses define conversions in different ways. An ecommerce business may use purchases as a conversion metric, while a service-based business may use form fills and phone calls. A conversion is a desired action taken on your website, so how you define it depends on your goals.
A/B testing is an important part of CRO. This tactic compares your original website page to a slightly altered page. The version that performs best is the one you’ll want to keep more permanently. Not every test is a winner, so don’t be discouraged if your new version underperforms. Just keep testing.
Types of Conversion
- Visiting contact page and filling a form.
- Calling phone number listed on the website
- Making a purchase
- Downloading a Whitepaper or a Case Study
- Taking survey
- Submitting feedback
- Signing up for event
- Signing up Newsletter
- Many more…Depending on business needs & goals.
The digital marketing strategy I’m going to talk about in this video can stop people
from leaving your website without contacting you, making a purchase, or taking any other action.
This strategy turns more of your website traffic into leads and customers in order to increase your revenue and help your business reach new heights. This tactic is known as conversion rate optimization or CRO.
What is a Conversion Rate?
A conversion rate is calculated by dividing the number of desired actions by the total number of visitors.
The Conversion Rate, indicated in percentage terms, is an Online Marketing KPI measuring the relation of a website’s visitors to conversions. A conversion doesn’t necessarily have to be a sale. The Conversion Rate can also mirror the relation of visits to successful downloads or newsletter sign-ups.
For example, if you had 5 conversions from 1,00 interactions, your conversion rate would be 5%, since 50 ÷ 100 = 5%.
Common conversion goals to measure include:
- Completing a form
- Click on a CTA or button
- Adding items to shopping carts
- Signing up for the newsletter
- Calling the phone number used in the Contacts page
- Taking surveys
- Time spend on the website
- And more…
What is Conversion Rate Optimization
Conversion optimization is the ongoing process of testing and implementing website changes, with the goal of improving user experience and incrementally improving a conversion rate.
When someone converts, they take an action on your website. How you define this action depends on your business. If you sell products online, you probably want to increase the number of purchases you get. If you’re a service provider, a conversion may be someone contacting you for a project quote or giving you a call directly.
How you define a good conversion rate depends on your website, whats important for you website. Hotjar estimates that the average conversion rate is between one and four percent, but take that range with a grain of salt. Your CRO goal shouldn’t be to beat the average conversion rate.
The goal should be to incrementally improve your own conversion rate! If enough people are converting to support and grow your business, that may be your ideal conversion rate. All you can do is keep looking for ways to improve it. When set up correctly, analytics tools can help to calculate and keep track of your website’s conversion rate.
How to Calculate Conversion Rate
You can calculate conversion rate on your own by dividing the total number of conversions by the total traffic to your website. Or you can use our conversion rate calculator.
At the core of a CRO strategy is ongoing testing. Ongoing testing can help you figure out the most effective combination of your site’s elements. You can start with A/B testing- which means you test the original version of your website against an updated version.
Other more complex tests exist too, like multivariate tests, but you may want to start small with A/B testing if you don’t have a lot of CRO experience. With A/B testing, always make sure you’re testing just one change at a time. You can update things like: The location of influential page elements Page colors Images used and Page copy So, how do you get started?
First, you have to figure out which of your pages need some help. Identify pages on your website with low conversion rates using a tool like Google Analytics.
Are there any pages that get a lot of traffic but end up losing that traffic with little
to no conversions?
The more traffic a page gets, the faster you’ll get results, so starting with a popular page
may be a good approach for your website conversion optimization. If you’ve settled on a page to test, you can use a heatmap tool like Hotjar to see how people are interacting with that page. This includes their scrolling and clicking behavior. Maybe people are clicking on something that isn’t clickable, or scrolling past your
After you’ve identified what you want to change, you can use a tool like Google Optimize
to run an A/B test. With this tool, you’ll be able to change your page and see whether your site visitors like the new or the old version of your page better.
Visual Website Optimizer, VWO, a leading all-in-one Experience Optimization platform in the Conversion Rate Optimization industry reports that only one out of every seven A/B tests is a winner, so don’t feel bad
if your changes don’t get the reaction you were hoping for.
If the updated page wins, you’ll want to make it a permanent part of your website.
Maybe consider implementing your changes on other pages, too. If the original page wins, you may want to revisit your analytics tools and figure out
It’s not the end of the world, I promise. It may take time to figure out what resonates the most with your site visitors.
Tips & Best Practices Improve CRO & A/B Testing
I know that sounds difficult, but when you optimize for conversions, timing is key. Stopping an A/B test too early can lead to statistically insignificant results. If a page normally gets 1000 visitors in a week and you decide after 10 visitors, you’re not looking at the full picture of data. Those remaining 990 visitors can make a big difference.
On the other hand, running a test for too long can be costly as you wait for results and are not actively testing other things.
So, how do you find a balance?
Check in on your test regularly
Your testing tool, like Google Optimize, will probably be able to automate your statistical analysis. A/B testing tools will likely give you a percentage that tells you the confidence level of your results. It’s generally accepted to shoot for a 95% confidence level, but this isn’t always the case. Remember that higher confidence is usually better. If your tool doesn’t automatically calculate statistical significance, you still have a few other options as you check in on and decide how long to run your test.
Try using a calculator
Speero by CXL offers a cool A/B test calculator that helps you calculate your statistical
significance using two different popular models.
VWO also has a calculator dedicated to figuring out how long you should run your A/B test based on your current test data. With the right tools, and a CRO agency behind you, you too can improve your conversion rate over time.
Test out personalized content
More than 60% of consumers see a brand in a more positive light when that brand shares content they consider relevant, valuable, or interesting to them. You may have received emails that are directly addressed to you. That’s one form of personalization. You can also do this on your website! With the technology that’s out there, you can tailor your website to customers based on their industry, their company, and more.
This helps deliver the right message, to the right person, at the right time to help you stand out from your competition.
Don’t be afraid to take risks
Be creative! Be fearless! That’s what testing is all about! Don’t just change the color of your buttons. Add some spicy button copy. Test out a video in your page header. Add a photo of someone’s dog to a form. We’ve done that last one. If it doesn’t work, you can always stick to the original and try something else. Not taking a risk *is* a risk because you may miss out on a huge conversion opportunity for your business.
So that just about wraps up today’s topic on how to optimize your website for conversions.
If you have any questions, let us know in the comments below!