Have you heard the term “conversion” multiple times but aren’t quite sure what it means? Conversions are a key KPI in Digital Marketing, and today we’re going to explain what they’re all about.
A conversion is an action taken by a user on a website or other digital platforms that benefits the business. Conversions vary depending on the stage of the sales funnel:
Attraction stage: These can include visits, followers, social media interactions, etc.
Consideration stage: Actions like submitting forms, phone calls, social media engagement, video plays, etc.
Product/Service Sales stage: Examples include online purchases with a credit card, booking a service via bank transfer, reservation deposits, or visits to a physical store.
How is the conversion rate calculated?
The conversion rate is calculated by dividing the number of conversions by the number of visits to the page where the action is expected to happen.
A low conversion rate signals possible issues in optimization and suggests a need to review your strategy. The conversion rate is also extremely useful when running A/B tests—you can create two pages with the same objective, change one variable, and compare which version produces more digital conversions.
How do I align my actions toward conversion?
The first thing you need to clarify is the final goal you want to achieve with a given action. To do this, we recommend focusing on the following aspects and integrating them into your strategy, website, and marketing actions:
1. Define your conversion indicators:
Every digital marketing action involves interaction, so you need to define what the conversion goal is—whether it’s collecting contact information, getting content shared, completing a sale, or tracking email open rates.
2. Measure and track:
Track the final outcomes of your defined goals and the conversion indicators in order to evaluate performance and draw conclusions.
3. Optimize results:
With the results and analysis in hand, you can optimize your upcoming campaigns, reduce errors, and increase your future conversion rate.
Do you need to boost your conversions or improve your digital marketing strategy?
Write to us—we’ll help take your business to the next level.
