Conversion rate: Measure the success of your website

Conversion rate: Measure the success of your website

Conversion rate: Measure the success of your website

Conversion rate is no stranger to digital content marketing. It helps digital marketing strategists measure exactly how effective a website is in achieving its target. So what is conversion rate? And why is it so important? In this article, I will focus on these two questions to help you find the right strategies for your website.

First things first, what is conversion rate?

Conversion rate (CR): is the percentage of website visitors converting into customers. Actual conversion rates fall into two categories:

Direct Conversion Rate (DCR): is the percentage of customers who takes direct action to buy the product they are interested in.

Indirect Conversion rate (IDCR): is the percentage of customers who buy other products that were not initially their intention when visiting your website.

To better understand, let’s take an example. Given that there are 100 customers visiting AM Vietnam’s website to ask for professional translation services. After that, 50 other people request AM Vietnam for translation services and another 30 request for interpretation services. DCR would be 50/100 or 50% and IDCR would be 30/100 or 30%.

So what is the CR here? It would range between 50% and 80%.

No matter your purpose for developing a website, one thing you should always keep in mind is the “conversion rate”. To put it simple, conversion rate measures how successful a website is.

Conversion rate: Measure the success of your website

Why is conversion rate important for website operators?

Website operators are usually the sales businesses themselves. Some of them are e-commerce service providers like Amazon or Expedia. To answer this question, I’m going to dive deeper into the meaning and benefits of conversion rate.

#1. Sales strategy planning

A higher conversion rate means you need to prepare a larger scale sales plan for future purposes. Your customers accumulates, which means the total demand for services will probably grow beyond your business capacity.

#2. Building the right digital marketing strategies

If the conversion rate is lower than expected, your current strategy require further consideration. You will have to find out the reason why it happens and make changes in time before being surpassed by your opponent.

#3. Items strategy and integrated marketing

If you are concerned with IDCR, you will see which items you need to focus more on. The relevance of your items is also evident in helping you develop suitable sales programs and encourage multiple product purchases from buyers.

#4. More productive stimulus programs

It is a good practice to analyze the correlation between DCR and IDCR to better understand inventory risks and opportunities to increase product sales. A product having high sales result also means lower inventory level. Promotions can also be effective because you know customers are interest in your products.

Conclusion

The goal for building a commercial website is to get more people to visit it and buy products from you. The combination of advertising, SEO and conversion rate analysis is a great toolkit to help you achieve successful sales efforts. You can seek further advice and assistance from AM Vietnam.