Measure Conversion Rates

What is Conversion Rate?

Conversion rate is the percentage of visitors to your website or landing page that convert (aka, do what you want them to do). Depending on your business goals, a “conversion” could be almost anything, but here are a few common types of conversions:

• Making a purchase
• Submitting a form (contact us form, lead gen form, etc)
• Calling your business
• Engaging with your online chat
• Signing up for a subscription (either paid or free—like a newsletter)
• Registering on the site
• Downloading something (software trial, eBook, mobile app, etc)
• Using something (new/advanced feature on your software or app, simply using your software/app for a certain amount of time)
• Upgrading their service
• Engaging with your site in some way (time on site, repeat visits, number of pages visited)

There are plenty of other conversion actions people can take on a site, but this should give you a feel for what a “conversion” is. Basically, a conversion is a measurable action that progresses a potential customer towards becoming a paying customer in an important way.

How do I calculate conversion rate?

Calculating conversion is actually fairly easy. All you have to do is divide the number of conversions you get in a given time frame by the total number of people who visited your site or landing page and multiply it by 100%.

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

Here are 3 conversion rate formulas to use:

• Conversion Rate = Total number of conversions  / Total number of sessions * 100
• Conversion Rate = Total number of conversions / Total number of unique visitors * 100
• Conversion Rate = Total number of conversions / Total number of leads * 100

Conversion rate is one of the most important marketing metrics. Unlike click-through rate, conversion rate tells you what percentage of your traffic is actually doing what you want them to do. You can buy all of the clicks you want, but if those clicks don’t convert…something is wrong.

Now that you know what conversion rate is, how to use it and how to improve your conversion rates, it’s time to put conversion rate data to work for you!