CONVERSION RATE OPTIMIZATION

APICAL CONSULTING- THE BEST CONVERSION RATE OPTIMIZATION EXPERTS


What is Online Conversion Rate?

Conversion rate is the percentage of visitors who complete a desired action on a website, during a time period. Any valuable engagement your visitors make may count as a desired action, as long as it fulfills your webpage’s goal. Remember, every page should have a primary goal.

You can choose to measure the number of visitors who:

  • purchase a product
  • sign up for a newsletter
  • subscribe to a software
  • hire a service
  • download a free e-book
  • fill out a ‘contact’ us form
  • answer a survey
  • give a feedback

By measuring conversion rates, you find out if your pages are persuading visitors to take the action you want them to take on the page. The higher the conversion rates, the better your design and copy are reaching out to qualified prospects.

There are many goals, thus conversions rates that you can track on your website.

If you are an ecommerce website, your website conversion rate is the number of monthly orders your receive divided by the number of visitors that come to your website.

At the same time, each page on your website has at least two conversion rates (if not more). Let’s take your product pages on an ecommerce website, the goal from these pages it get visitors to click on “the add to cart” button. And of course, the final goal is to get these visitors to place an order (convert on the website). So, product pages have two conversion goals:

  • Micro conversion rate for product pages is total clicks on the “add to cart” button divided by the number of visitors who visit the product pages.
  • Macro conversion rate for product pages is total orders for the website divided by the number of visitors who visit the product pages
  • In numbers, you need to determine a period and account for the total numbers of visitors and desired actions they took in this same period. Let’s say your e-commerce receives 200,000 visitors in one month and processes 20,000 orders in the same period.

  • Your website conversion rate = 20,000/200,000 = 10%.
  • Of those 200,000 visitors, only 50,000 make it all the way to the product pages. Of these 50,000 visitors, 10,000 visitors click on the “add to cart” button.

  • Product pages micro conversion rate = 10,000/50,000 = 20%
  • Product pages macro conversion rate = 20,000/50,000 = 40%
  • The same concept applies if you are SaaS website. Your website conversion rate is the total number of monthly subscriptions divided by the total website monthly visitors. The SaaS pricing page, where you list the different plans for your product, has two conversion rates:

  • SaaS pricing page micro conversion rate: total number of visitors to click on the “subscribe” button on the page divided by the number of visitors who visit the pricing page.
  • SaaS pricing page macro conversion rate: total number of visitors who “subscribe” divided by the number of visitors who visit the pricing page.
  • Let’s say that your SaaS website gets 20,000 visitors per month and generates 500 subscriptions.

  • Your website conversion rate = 500/20,000 = 2.5%.
  • Of those 20,000 visitors, only 1,000 make it to the pricing page and of these 1,000 visitors, 750 click on the subscribe button.

  • Your pricing page conversion rate is = = 750/1,000 = 75%.
  • SaaS pricing page micro conversion rate = =750/1,000 = 75%.
  • SaaS pricing page macro conversion rate = 500/1,000 = 50%

WHAT IS CONVERSION RATE OPTIMIZATION?

Conversion rate optimization is a marketing optimization process that follows a framework to increase the percentage of visitors who complete a websites goal. Conversion optimization analyzes the behavior of visitors and focuses on what motivates a particular market segment to engage in a certain way with specific marketing elements.

Conversion Rate Optimization is focused on persuading more of your website visitors to take the desired action you want them to take on a webpage, website or within a campaign.

At a very high level, the CRO process involves:

  • Conducting hubristic evaluation to collect data about broken areas on your website
  • Conducting qualitative research to collect data about broken areas on your website
  • Conducting quantitative research to collect data about broken areas on your website
  • Conducting competitive analysis to gain insights of what is working on competitors’ websites
  • Creating a conversion roadmap for your website (what pages need to be fixed)
  • Determining problem areas on a webpage
  • Prioritizing problem areas on a webpage
  • Creating a testing hypothesis
  • Creating new design based on the testing hypothesis
  • Conducting AB testing (or multivariate testing)
  • Analyzing the testing results
  • As you read through the different chapters in this guide, you will learn about each of these steps in depth.

WHAT IS CONVERSION TESTING?

Conversion Testing is the process of conducting an AB or multivariate test to increase the website conversion rate.

An iterative process by nature, CRO helps you in making assumptions about your website visitors and then testing these assumptions to measure how your market actually responds.

As a long-term process, CRO achieves sustainable, repeatable, and consistent increases on conversion rates through researching, testing, and analyzing visitors’ behaviors on your website. A good CRO program increases your site’s revenue month to month, reaching significant cumulative annual growth.

The best part? This result optimizes your current website traffic. More conversions, without the need of increasing site traffic.

The annual uplift in profits alone should justify a CRO program implementation.