E-commerce: conversions, rates and sales
A conversion occurs when a visitor to your website completes a desired goal, such as: filling out a form or making a purchase. First of all, we have to understand what a conversion is!
What is a conversion?
In short, a conversion is a measurable action that makes a potential customer a paying customer.
The percentage of the total number of visitors who convert is called the conversion rate (but we will talk about this later).
Depending on the goals of your website or business, the types of conversions can include:
- Online sales;
- Email subscriptions;
- Filling out forms;
- Call your business;
- Download something;
There are other actions that can be considered conversions performed on a website, but this list should already give you an idea of what a conversion basically is.
What is "conversion rate"?
Simply and practically speaking – it is the percentage of visitors to your website who converted!
We said “conversion rate” a little while ago, so what better time to talk about it than now…
This is how the conversion rate is calculated
Conversion rate = (conversions / total number of visitors) * 100%
What is a good conversion rate?
As you can imagine, conversion rates vary considerably depending on the quality of traffic, the sector, the business, what you’re selling, and even the specific conversion action you’re tracking.
As a result, while you can find extensive conversion rate statistics, what qualifies as a good conversion rate for you will ultimately be specific to your business and your marketing campaign.
In addition, it is important to remember that a conversion is not always the same as a purchase. While the conversion rate is a useful metric, the goal of most marketing is not to produce conversions – it is to produce sales.
Truth be told is that a good conversion rate is between 2% to 5% – but there is always room for improvement, stay with us and see below how.
Learn how to make the transition from offline to the e-commerce market.
How can I increase my conversion rate?
We have compiled a shortlist of DIY (Do It Yourself) quite easy to apply:
- Add a pop-up to your site
- Remove unnecessary fields from the form
- Add customer reviews or partner logos
- Strengthen your CTA
- Add a chatbot to your website
- Change the offer strategy
- “Money back guarantee”
- Make the purchase process easier
- Add an “end-of-offer countdown”
- A / B testing
In addition to these quick steps, you can always contact an agency specializing in digital marketing like Logrise! We are always focused on your sales and make marketing our life – have you met our Robot Amplifier? With Artificial Intelligence that works autonomously to optimize your campaigns 24/7, every day of the year.
I have an Online Business! How can I apply all of this to my e-commerce?
Wouldn’t it be awesome if suddenly you started having thousands of visits every day and all those visitors buy something?!
There are several steps your visitors go through before finalizing an order. Let’s see this process that takes visitors to the desired result – the purchase – and, hopefully, you will have your conversion funnel ready at the end of this article.
We can have a general picture of a successful conversion funnel:
In this case, we are talking about paid traffic – through Facebook Ads – here, we are driving traffic to our e-commerce website in the hope of making sales.
Using the Facebook pixel, we were able to monitor our conversions and build a sales funnel, then realizing where there is a dropout or how many sales were made.
This step is crucial to understand your visitors’ behavior! Imagine that tons of people are adding items to their carts but that there are no sales – possibly your website is not configured and optimized for intuitive navigation. (Read more about abandoned carts: 6 reasons and solutions to recover them) Even in this scenario, there is a drop-out rate for the final purchase, it is possible to compile lists with the conversion rate of abandonment and do remarketing campaigns using a landing page with a special price of the item – offering a new opportunity for a final sale!
This is a small example of a sales funnel that you can apply to your campaigns, remember that if you find it difficult or if you can’t get it right on the first, second, or third try, always ask for the help of professionals! We will be here waiting for your contact!