What is conversion?

Everyone who is involved in internet marketing is familiar with the concept of conversion. For others, it is not a very clear term. The conversion is actually the ratio of visitors to actions taken by the website as a percentage. Registration, purchases, ratings and comments are all counted as actions.

The formula for calculating the conversion is quite simple. We take the number of targeted actions on the site and divided by the number of visitors per day. The figure is multiplied by 100%. For example, if the site for the day came 132 visitors and 22 action was committed, the conversion is calculated as follows: 22/132 = 0.167 and 0.016×100% = 1.6.

Conversion rate is one of the most important indicators in online marketing. It allows you to analyze and understand how successful promotion, promotions and other actions are in affecting the company’s bottom line.

The main difference between conversion and CTR

Experts often confuse the concepts of conversion and CTR. But there is a difference between them, and it’s an essential one. If you have already understood the conversion, CTR is an index of clickability. That is, it indicates the ratio of impressions to the number of clicks.

Suppose that an advertising banner was viewed by 350 people, but only 86 people clicked on it. In this case, the CTR will be equal to 86/350×100% = 24.57. This figure is used in contextual advertising.

Ways to increase conversion

A high conversion rate is an indicator of how well your website is performing. However, if it does not meet expectations, you need to increase it. There are several options to do this. You can consider the most effective ones:

1. It is necessary to interest the potential buyer. He must be convinced that the site offers unique content and that it is profitable to work with the company.
2. It is necessary to constantly update and improve the material. This is to ensure that the buyer gets as much information about the product or services as possible.
3. The site should be designed in a modern style. It is better to avoid brightly coloured materials, banners and other things that distract from buying the product. The interface should be very clear to the user so that he doesn’t have any difficulty if he decides to make a purchase or order.
4. Reputation. Users give more and more preference to those companies in whose reliability they are confident.
5. Feedback form. The important way to increase conversion. Potential clients should have several options for feedback.

Conversion rate

If everything becomes clearer with the concept of conversion itself, it is worth to look closely at the conversion rate and what it is for. This indicator is considered an indicator of successful marketing activities. With its help, the entrepreneur can perform an analysis and understand what mistakes and shortcomings there are in his work.

However, it is worth realising that successful conversions are measured differently for different activities. For salespeople, it is an increase in the number of sales. And for an internet marketer, a successful conversion is the increase in the number of users who take targeted actions on a website. But in any case, a good conversion rate is an indicator that an online shop is working properly and is capable of generating profits.

In addition, the indicator is also important for SEO. A poor conversion rate has an impact on website promotion and vice versa. Therefore, it is very important to always monitor the effect of the work being done and do SEO promotion correctly. This will ensure good traffic and improve the conversion rate.