In the past decade, marketers have tried to focus their efforts towards increasing traffic on their e-commerce website. Contrary to this, recent advancements now give us an opportunity to shift this focus on making the most out of existing site traffic with CRO (Conversion Rate Optimization). Conversion rate is your online store\u2019s potential to convert passive shoppers into paying consumers.<\/p>\n\n\n\n
To calculate the conversion rate for a given period of time, simply divide the number of purchases made by the total visits on your store in the given time frame. The e-commerce industry is now swimming in copious amounts of data. However, the question whether we are using it to our benefit or are simply drowning in it is yet to be answered.<\/p>\n\n\n\n
Knowing your conversion rate can help determine where you stand in the competitive market and also ascertain how well you want your business to perform. This is where setting benchmarks come to your rescue. Marketers can pinpoint underperforming areas and augment over performing elements by contextualizing data.<\/p>\n\n\n\n
Many small tips and tricks can tweak your conversion rate but eventually won\u2019t deliver fruitful results in the long run. To start, let\u2019s first discover what a good conversion rate is and then move on to whether you are there yet or not. If not, read along to invest in a few tips to get an effective conversion rate.<\/p>\n\n\n\n
We all realize that an online business thrives on conversions but then again, how much?<\/p>\n\n\n\n
An ideal conversion rate can be more of a myth as a conversion rate deemed \u201cgood\u201d for one industry may not work for another. Hence, the conversion rate varies depending on a specific sector in the industry. A store selling high-end cosmetics will have a different conversion rate than one selling electronics.<\/p>\n\n\n\n
Although conversion rates can reach as high as 40% in certain industry sectors, e-commerce has a low average conversion rate. If we look realistically, companies attracting quality leads convert anywhere between 2.35% to 5.31% or higher. The average conversion rate for an e-commerce website<\/a><\/strong> is around 1.33%, meaning your business is safe if you are able to convert 1.33% of your entire traffic leads into conversions.<\/p>\n\n\n\n Now that we have deciphered what a good conversion rate<\/a><\/strong> looks like, it\u2019s time to compare it to some set standards. But how do we know what an appropriate benchmark looks like?<\/p>\n\n\n\n To answer that, set goal-oriented and realistic benchmarks to nurture your lead generation perspectives. Aim for anywhere around 2% for visitor-to-contact conversions, but benchmark it anywhere around 1.6%. Some automation platforms may give you bloated expectations (like 4%-5%), but if you are looking for realistic goals just focus on your marketing pipeline.<\/p>\n\n\n\n If you are already converting more than 2% or anywhere around the same, you are already quite ahead in the game. You are doing a commendable job and continue doing the same. If not, then read along and concentrate on these few pointers to get the best conversions out of your marketing efforts.<\/p>\n\n\n\nHow to Benchmark Conversion Rate for Your E-commerce Website?<\/strong><\/h2>\n\n\n\n
Tips on How to Improve Your Conversion Rate<\/strong><\/h2>\n\n\n\n