Conversion rate is the ratio of conversions to visits, often used to measure digital performance. A conversion rate is measured by the number of potential visitors performing a specific action. These actions could be clarified as, buying a product, filling out a form, subscribing to a newsletter, etc. For example, if there are 1000 visitors to a website via a pay per click (PPC) campaign, and only 10 of those visitors buy your product. The conversion rate for that campaign is, one percent. The higher the conversion rate for a web page, the more successful that particular business is.
When measuring conversion rates, keeping track can get pretty difficult. Especially for companies who use paid inclusion to increase their business. Typically, web analytics programs such as google analytics, measure the conversion rates for a PPC campaign. This type of tool measures and studies the behavior of website visitors. By tracking the behavior, analytics is able to collect many different areas of data, such as conversion rates.
A major part in conversion rates is maximizing the likelihood of the visitor on becoming a conversion. There are a number of ways one can go about reaching these conversions. One way is to make the visitor more likely to convert, is to match the right visitor with the right time and website. This is where PPC and SEO really play a vital role. With pay per click, and search engine optimization. You can target the audience you seek for, and make the conversion process as easy as possible for the visitor.
Naturally, a lot of the importance in succeeding high conversion rates is having a top of the line product. With that aside, some of the other ways to maximize conversion is to know the unique selling point of the web page, catching the visitor's eye with unique info, offering more than one payment option, having a legible return policy, and just being clear with product information in general.
Conversion rates make or break PPC campaigns. This simple rate, lets you know if the money being invested in ads is worth your payoff.
Ex. “I improved my conversion rate by including the words ‘free consultation’ - a lot more people sign up now.”