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3 Ways To Master CONVERSION RATES Without Breaking A Sweat

What are conversion rates for websites?

Conversion rates are the percentage of your website visitors that complete a goal or conversion out of the number of total visitors measured during a specific period of time. The higher the percentage, the more successful your site is. A high conversion rate indicates your visitors like what you are offering or selling. Because they buy more you revenue per visitor is high.

Why is conversion rate optimisation important?

Optimising conversion rates is important because improving your conversion rates the percentage of people visiting your site and leave with a purchase will increase. As a result, more revenue is made. Optimising conversion rates is good for business and an absolute must whether you run an e-commerce site or generating leads. If you have one or multiple goals, you should make CRO a daily recurring task.

How to calculate conversion rates?

The easiest way to calculate your conversions: Conversion rate = (conversions / total visitors) * 100%. Let’s say 1000 people have visited one of your product pages. 20% of the visitors decided to buy the product.
The sum is: 200 conversions / 1.000 visitors * 100% = Your conversion rate is 20%.

Simple, ey?

Why are conversion rates important?

Let’s say your current CR is 20%. After tweaking and optimising the pages you manage to improve conversion rates by 10%. Your new CR is 30% now and your tweaks have therefor improved your conversion rates by 33%. But percentages are great but they don’t pay for groceries so what does this mean if we talk hard cash?

Let’s say your Average Order Value (AOV) is $100 and your profit is $20 per sold item.

In the old scenario you sold 200 products x $20 (profit) = $4000

In the new scenario you’re selling 300 products x $20 (profit) = $6000

By optimising your AOV you have improved your revenue by a sweet 50%

How do you start with CRO?

First off you need to know what your current conversion rates are.  The most common and free tool to measure your conversion is Google Analytics. Google analytics will monitor your goals, revenue and they even create a visualised funnels for you.

You will need to create some goals first and add them into your Google Analytics account. Watch this video how to setup goals and measure conversions.

Which conversions should I be monitoring?

First of all you will need to define which conversions you need to monitor and this depends on the industry you’re in.
If you’re in the media industry, pageviews, newsletter subs and signups are important. If you’re in the e-commerce, transactions and shopping cart completions are importing. If you’re in the B2B sector such as webdesigners, lawyers etc. then amount of visitors and generated leads is more important to measure.

But don’t forget – you need to have something converting first before you can optimise. Yes, this may seem a little weird but optimising conversions when you’ve just started out is a waste of time. You need to have created some kind of a benchmark first.

How do I optimize my website conversion?

  1. Master conversion rates with these three tips:
    1. The best way to optimize conversions is with A/B testing. If you use WordPress there’s a great tool named SplitHero.
    2. Ask your visitors by conducting a survey or just by contacting them and ask them about their experience shopping / ordering with you.
    3. Monitor your traffic and setup goals with Google Analytics.

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