Conversion rate optimization (CRO) is the process of increasing the percentage of users who take action on your website, whether this includes watching a video, making a purchase, or submitting a form. By understanding how users interact with your website, you can improve and optimize the latter to better reach your goals. There are two types of conversions: macro-conversions, the business’ ultimate goal, such as having a customer make a purchase or subscribing to a service, and micro-conversions, smaller conversions that can lead to the fulfillment of the main goal, for example signing up for a newsletter.
The conversion rate is calculated by dividing the number of times a user completes a conversion by your website traffic. For example, if you get 100 conversions from 1000 total interactions, your conversion rate will be 10% (=100/1000). Although the average conversion rate varies across industries, with a total average of 2.35%, you want to aim to optimize your conversion rate to be 3% or higher (source: wordstream).
Analytics-based CRO allows to make use of insights obtained from metrics such as device type, traffic source, and demographics to decide where to redirect your efforts, better understand your audience, and adapt your website to improve user experience. CRO also enables you to lower acquisition costs whilst maximizing the value obtained from current customers and improving your business’ ROI and scalability.
Conversion rate optimization is a continuous optimization process obtained through on-going testing and improvements. To improve your conversion rate as much as possible, you can follow our guide and start seeing results within the first 8 weeks (source: HubSpot):
Conversion rate optimization is ultimately about finding what drives people to your website, what they’re looking for, and why. Knowing what prevents customers from making conversions by evaluating user interactions with your website can help generate improvements. Finally, being aware of user concerns and fears, as well as what ultimately persuades them to make a conversion are excellent ways to improve user experience and satisfaction.
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