Good to know that your new website starts getting more traffic and attention due to your online efforts. Indeed traffic stats look amazing. But you know more than that, you need to look at the Good conversion rate.
Increasing traffic proves that your marketing efforts succeeding to bring them on your site. While conversion rate will show you the clear picture of how many of them found your offer useful.
Apart from traffic stats, you also have a major concern over your conversion ratio. That probably leads you to the next question, that is…What is a good conversion rate? And how to improve it for my campaigns?
But before that have a look at…
What is a Conversion Rate?
Conversion rate is a metric, presenting a percentage of visitors from your overall site traffic who have taken the action you want them to take. Your website conversion rate is an indication of how effective your message is.
Not only limited to website conversion, you can track the conversion ratio based on the lead generation campaign and Direct sales ads. In a simple term, it is a ratio over how many people have clicked, watched, and interacted with your offer compared to how many among them have accepted your offer.
An offer can be anything such as subscribing to a newsletter, ebook or case study downloads, product inquiry, free trial or any lead magnet tactics you apply. So you want to track conversion for not only website conversion, but also for landing pages, social media ads, PPC campaigns, webinars, and all. The next section will help you understand how to work with conversion stats.
How to calculate Conversion Rate?
Don’t worry if you also are not good at maths. It does not involve long complex formulas when calculating the conversion rate. The conversion rate can be found with the easy formula given here. Just be prepared with your marketing campaign data from the specified campaign duration.
Conversion rate = Number of conversion / Total visitors * 100%
Further, you want to track your conversion rate for every campaign you follow. So here are the types of conversion rates you can apply according to the campaign you prefer.
- The overall conversion rate indicates your entire website traffic and its conversion ratio.
- Marketing channel conversion rate, showing how many conversions you succeed from Facebook and search advertising.
- Page-level conversion rate, indicating the page with the highest number of the conversion on your site.
- Campaign conversion rate, which campaign has to drive you more leads and how your optimization works
- Individual ad conversion rate, which set of ads, has provided you better ROI and which one needs retargeting.
- Keyword conversion rate, a keyword that brings you more sales and more traffic to work upon.
Depending on your Content marketing goal and strategies, the separate conversion metric also takes place. As every campaign has its own unique method to follow, also provides a better idea over which one suits your business type.
There’s always a related metric you need to follow to measure your activity. Using marketing tools such as google analytics reports, tag manager, webmaster, Facebook analytics, and other lead magnet tools helps with your campaign performance data.
The conversion rate indicates your marketing effectiveness. Working on such stats helps in following the right marketing approach. Timely evaluation of the campaign will lead you to make a futuristic decision that benefits your business for long.
What is a Good Conversion Rate?
You run a different set of marketing plus lead generation campaigns. Great, but how to find which campaign performs better and generates effective ROI.
As every campaign is unique and drives distinct results, you better compare the conversion ratio from each. That guides you to know which campaign is more profitable and good to go with.
But the next question is, what will be the optimum conversion ratio?
According to Brandon weaver from instapage, “…a good conversion rate is one that’s higher than it’s now.”
That’s a great saying, But not a specified number you want. To prove his point Brandon further informed in his article that a Good conversion rate may vary according to the industry, business model and standard in the market.
Furthermore, the conversion rate also shows variation due to given factors…
- Business industry
- Product and service business
- Product and service type
- Traffic source
- Lead generation campaigns
- Device variations
- Free and Paid campaigns
What is a Good Email Conversion Rate?
As you know the conversion rate differs as per the industry and other factors. So let’s first check what will be the optimum conversion rate for the most preferable campaign, email marketing.
A research report from MailChimp stats, that “hobbies” in the business sector have the highest click-through rate, compared to all other industries. Which is 5.01 % from every opened email.
Image source: mail chimp
Further, data from marketing sherpa indicates that mail open rates from mobile users are more than desktop users. Whereas in the case of mail conversion the desktop users tend to convert well than mobile users.
What is a Good Google Ads Conversion Rate?
In a recent conversion case study from Wordstream, shows that google ads on the search network registering 4.40%, whereas display ads having 0.57% average conversion rate.
Image source: Wordstream
In the case of shopping ads, the average conversion rate is 1.91%, which shows a broad difference between the industries such as clothing-apparel to chemical industries.
What is a Good Social media Conversion Rate?
Apart from referral traffic sources for the website, social media is also becoming a great marketing medium for businesses who want their message in front of the right people.
When it comes to site conversion, the traffic from social media tends to convert lower than the search ads and email campaigns. Whereas, considering the Facebook ads only, the average conversion rate is 9.21%, as per the wordstream industry benchmark report.
Also Read: Reasons to use Social media for Business
What is a Good Landing Page Conversion Rate?
Landing pages are the part of lead generation campaigns, where the main motive of businesses to acquire interest group’s email and contact information. That further can be used for future communication, aiming for promotional purposes.
Image source: unbounce.com
Considering impactbnd‘s report, the average conversion rate for a landing page is 2.35%, which further shows the variation due to industry changes.
How can you improve your Conversion rate?
Conversion rate optimization is a process to improve your marketing campaign, such as lead generation and website optimization to generate more conversion from the acquired traffic.
One thing to remember while implementing CRO is, you aim at improving the number of conversion from available traffic, without adding new traffic to the campaign.
Like SEO focusing to improve your site traffic, CRO aims to make most out of the existing traffic. So let’s have a look at some possible ways to improve the existing conversion rate.
Landing page optimization
Instead, keep changing your landing page theme that is not converting, you better look for why it’s not performing well. A heatmap analysis over your landing page will help you to evaluate your page. Informing audience behavior and how they
interact with your content. It also will present new opportunities you forget to consider within.
Keep analyzing their actual needs
Never have one offer while promoting, you better have multiple offers in your lead generation campaign. That way you can have a better idea over what they need. Also, not everyone who interacts on your website has the same need and the same mindset. Having multiple offers, provides better audience insights, than having the one for all.
Make sure you have a different set of landing pages, to know which one performs better. A tweak in your heading, product image, video insertion, and CTA button placements will give you insight. An idea of which landing page succeeding in grabbing their attention. It’s not only about changing the button of your CTA only.
Be clear of what you are offering
The most common reason for not having a good conversion rate is because your landing page is not clear. Instead of directly informing them, it confuses your audience. So make sure what you offer and how. Be specific and make yourself more approachable for them. Follow a simple approach while making an offer on the landing page.
Eliminate the distraction (If have)
Your landing page needs to be simple and straightforward, here you place your point directly. Don’t put any extra things distracting them instead of letting them focus on your offer. If they’re on your landing page, means they have some sort of interest in your products. Just inform them over how your offer benefits them.
Look for the creative inspiration
You need to look for some external sources for conversion optimization, such as creative lead generation campaigns that others follow. Here the idea is to inspire from some effective landing pages, but not to copy from that. Inspirations from industries are accepted if later on followed with own brand theme and customization needs.
Give them a reason to trust
Having testimonials on your website creates your brand credibility. When placing it on the lead generation page, it increases credibility in your offer greatly. Video format testimonials are a better way to promote your idea from actual product users. Being reviewed by actual customers, in their own voice will impact the potential viewer to take action.
We know you are quite result-driven and worried about Is it your offer is good enough for them or not? So you look for the online stats for best conversion rate. That may confuse you or even frustrate you… if you are not succeeding to achieve that.
The good conversion ratio varies according to the industry form, also the researchers’ perspective. But above all, the common good conversion rate is between 2 to 5 percent, for most possible industries. And which can be up to 5 minimum and more than 10 percent for the top brands, depending on industries and brand reputation.
The second approach is to have its own conversion standard and direct all efforts towards it. Like said earlier, every conversion rate is good if it’s better than the current one. Irrespective of industry-standard, you also want to look at your business stats, ROI, product prices, location and so while calculating the optimum conversion rate. So better, If you…
Set your own conversion goal, a business standard and achieve them.
Ketan Parmar, a content strategist and founder of Wordzyx, a content strategy agency from Ahmedabad. Currently working with small businesses and startups, Ketan contributing their Business growth via content strategies plus website optimization, through own proven marketing experiences. He’s on a mission to promote content marketing as an Investment for a business, rather just advertising costs.
Read something more about, Ketan parmar.