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What is Conversion Rate? Definition, Formula & Optimization

Last updated: Sep 28, 2022

What is Conversion Rate? Definition, Formula & Optimization
Cover image: Illustration of the increasing conversion rate as a marker of successful marketing and web design activities. Check out the brief discussion in this article.

Conversion Rate is the percentage of the number of users who finished their intentions (doing conversion) of all users who have watched your ads/website/email/CTA in which they are created to convert the users.

A high conversion rate shows the success of your web marketing and design. It means there are many people who want what you offer, and they can get it on your website.

Conversion Rate Formula

To calculate the conversion rate of a website, you need the data on the total visitors and the number of conversions that occurred. Consider the following conversion rate formula:

Conversion rate = (total conversions / total visitors) x 100%

Let's say your website had 100,000 visitors last month, then out of those total visitors, there were 5,000 people who bought your products. Based on the above formula, your web conversion rate is 5%.

Low Conversion Rate Issues

A low conversion rate shows that your website is having problems, such as:

  • Your site design and landing page are complicated or not efficient for visitors
  • Your offers do not make sense (too expensive or less attractive for the targeted audiences)

How to Increase Conversion Rate

First, consider your offers. Increase your conversion rate by changing your offers. If your offer is the best, many people, indeed, will visit your site.

Second, optimize your sites for conversions:

  • Test different elements on your web page to see which variations drive the conversion rate
  • Make sure your title contains clear information
  • Enlarge the size of the button on your site or use contrasting colors
  • Set the element position of the important page (such as forms or buttons) in a visible place
  • Use strongly persuasive sentences / call-to-action (CTA) to persuade people to take an action
  • Use a high-quality picture of products only
  • If needed, add videos on the landing page
  • Make sure your site and landing page works fine with mobile display
  • Add a chat or phone feature to help the prospective customers contact you
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