Conversion rate
Encyclopedia
In internet marketing
, conversion rate is the ratio of visitors who convert casual content views or website visits into desired actions based on subtle or direct requests from marketers, advertisers, and content creators. If the prospect has visited a marketer's web site, examples of conversion actions might include making an online purchase or submitting a form to request additional information.
The Conversion rate is defined as follows:
Successful conversions are interpreted differently by individual marketers, advertisers, and content creators. To online retailers, for example, a successful conversion may constitute the sale of a product to a consumer whose interest in the item was initially sparked by clicking a banner advertisement. To content creators, however, a successful conversion may refer to a membership registration, newsletter subscription, software download, or other activity that occurs due to a subtle or direct request from the content creator for the visitor to take the action.
For web sites where the response occurs on the site itself, a conversion funnel
can be set up in a site's analytics package to track user behavior.
Internet marketing
Internet marketing, also known as digital marketing, web marketing, online marketing, search marketing or e-marketing, is referred to as the marketing of products or services over the Internet...
, conversion rate is the ratio of visitors who convert casual content views or website visits into desired actions based on subtle or direct requests from marketers, advertisers, and content creators. If the prospect has visited a marketer's web site, examples of conversion actions might include making an online purchase or submitting a form to request additional information.
The Conversion rate is defined as follows:
Successful conversions are interpreted differently by individual marketers, advertisers, and content creators. To online retailers, for example, a successful conversion may constitute the sale of a product to a consumer whose interest in the item was initially sparked by clicking a banner advertisement. To content creators, however, a successful conversion may refer to a membership registration, newsletter subscription, software download, or other activity that occurs due to a subtle or direct request from the content creator for the visitor to take the action.
Measures
For web sites that seek to generate offline responses, for example telephone calls or foot traffic to a store, measuring conversions can be difficult because a phone call or visitor is not automatically traced to its source, such as the Yellow Pages, website, or referral. Possible solutions include asking each caller or shopper how they heard about the business and using a toll-free number on the website that forwards to the existing line.For web sites where the response occurs on the site itself, a conversion funnel
Conversion funnel
Conversion funnel is a technical term used in e-commerce operations to describe the track a consumer takes through an Internet advertising or search system, navigating an e-commerce web site and finally converting to a sale....
can be set up in a site's analytics package to track user behavior.
Methods to increase the conversion in e-commerce
Among the many methods to increase the conversion rate, these are the most relevant:- Generate user reviews about your products, which can accelerate conversion.
- clear distinction of the website for a certain conversion goal (e.g. "increase sign-ins for newsletter")
- better content (e.g. text, picture, video) of the website that clearly target versus the conversion goal
- increase usabilityUsabilityUsability is the ease of use and learnability of a human-made object. The object of use can be a software application, website, book, tool, machine, process, or anything a human interacts with. A usability study may be conducted as a primary job function by a usability analyst or as a secondary job...
to reduce the barriers towards the conversion goal and thus reduce the abortion rate - good site navigation structure to help users find and browse without thinking too much about where to click
- show credibility signs like third-party trust logos and good site design to increase trust level of visitor
- use AIDAAIDA (marketing)AIDA is an acronym used in marketing that describes a common list of events that may be undergone when a person is selling a product or service. The term and approach are attributed to American advertising and sales pioneer, E. St. Elmo Lewis. In 1898 Lewis created his AIDA funnel model on...
(attention, interest, desire, action) to move the user through the conversion funnelConversion funnelConversion funnel is a technical term used in e-commerce operations to describe the track a consumer takes through an Internet advertising or search system, navigating an e-commerce web site and finally converting to a sale....
Sources
- Definition of the Conversion rate http://www.marketingterms.com/dictionary/conversion_rate/
- Facts about typical conversion rates and hints how to increase them http://www.seochat.com/c/a/Website-Marketing-Help/Conversion-Rate-Optimization/
- Berkeley-Study on Conversion rate in Spam http://www.icsi.berkeley.edu/pubs/networking/2008-ccs-spamalytics.pdf