Conversion Rate Optimization (CRO)

Conversion Rate Optimization (CRO)

Conversion Rate Optimization (CRO) is based on a set of techniques used to encourage visitors to become customers—that is, to convert. Any improvement you make on your website aimed at increasing conversions can be considered a CRO technique.

This technique is commonly used on online stores to make users feel comfortable and have a good experience on your e-commerce site, ultimately leading to a purchase. After the first purchase, your business gains a customer to target with future marketing strategies.

But don’t be misled, sales are not the only form of CRO. There are several other actions that can be considered CRO. Some examples include encouraging a user to download a PDF material, such as an e-book, infographic, or report/study; filling out a contact form; requesting a free trial of your product; or subscribing to your newsletter.

Thus, beyond sales, there are several other actions users can take on your online store. For instance, if you sold 10 products in a month but also provided free trials to 5 more customers and received additional users requesting to contact you via email, all these customers would be included in your conversion rate calculation.

How to Calculate Your Conversion Rate

At first, the calculation might seem confusing, but it’s simpler than you think. The goal is to explain the calculation in a practical way, making it easier to understand. Let’s say you have an average of 800 visits per day with 22 conversions. These conversions can be broken down as follows:

• Sales: 7
• Contact form submissions: 3
• Trial users starting your program: 6
• E-book, infographic, or study downloads: 4
• Newsletter sign-ups: 2

You don’t count only direct sales but any form of interaction with your audience. So, you’ll take the total number of conversions (22), multiply it by 100, and divide it by the total number of visits (800).

The calculation would look like this:
22 x 100 / 800 = 2.75

So, your conversion rate is 2.75%. It’s a low number, but there’s no need to panic. If sales were the highest interaction, what can you do to improve the buying experience and convert more?

Next, we have the trials of your program. If you sell a subscription software, trial users have shown clear interest in your platform. They are the potential customers who will likely convert to a direct sale. What kind of support do you currently offer? How can you improve their experience to encourage them to subscribe?

All the collected data helps you identify problems and how to resolve them with small adjustments. You don’t have to redo your entire website or start your trial platform from scratch. Sometimes, a small change is enough to boost conversions. There are several optimizations you can make, and all of them are considered CRO:

• Offer more payment options
• Improve the internal search functionality
• Categorize products
• Change the color of the purchase buttons
• Simplify the contact and newsletter sign-up process
• Increase the security of the purchase environment

Ways to Monitor Your E-Commerce

To track traffic and conversions, you can consult Google Analytics. It allows you to apply various filters to obtain different types of data and generate many reporting options. You can also break down your conversion rate by type of conversion—whether it’s just sales or form submissions. This helps you understand what’s wrong and identify possible adjustments.

In addition to Google Analytics, other Google tools will greatly assist in setting up measurements and implementing improvements. All of these are crucial for digital marketing:

• Google Webmaster Tools (Search Console and Page Speed)
• Google Ads
• Google Tag Manager

Remember, monitoring should be frequent, even after improvements are applied, to assess how well they were received and determine what else needs to be done. Today, there are many possibilities in digital marketing, from investing in social media, email marketing, user experience, landing pages, to link building strategies and creating highly relevant content.

WiFi Digital is here to help you calculate and analyze your CRO and create strategies that will elevate your business and online store—both organically and through paid ads. Get in touch with us or fill out the form, and we’ll return to provide the best service for your needs.