Conversion Rate - What is Conversion Rate?

The conversion rate is the percentage of people who have visited our website and have completed a specific goal.
In e-commerce, conversion is usually associated with a sale, but depending on the nature of each site, it can be a registration, a subscription, etc.
It is one of the most important metrics in online marketing, and it is closely related to the total visits a website receives.
It is especially important in SEM, as it is the primary way to measure the ROI of campaigns. It is advisable to consider it as a key performance indicator (KPI) for any marketing action carried out.

How is the conversion rate measured?

The conversion rate is obtained by dividing the goals achieved by users by the visits we have had and multiplying by 100. It is expressed as a percentage with the following formula:
(Goals achieved / Total visits) x 100 = % Conversion

How to determine if the conversion rate is good?

It is a difficult question to answer, as many factors influence it, starting with the industry you work in, the competition, and other details such as the product you offer or the competition you have to fight for those conversions.
A study conducted by Wordstream estimated that, on average, across all industries, a 2.70% conversion rate was obtained in Google Adwords search campaigns and a 0.89% conversion rate in Display campaigns.

CRO (Conversion Rate Optimization): Optimization of the conversion rate

Since it is such an important metric, it is essential to try to improve it as much as possible. Techniques aimed in this direction are known as CRO or Conversion Rate Optimization.
Therefore, it is important to measure this rate and the factors that may influence it, set goals through the sales funnel and try to make it as high and profitable as possible.