If you are handling your business’ online marketing yourself, or if you are contracting it out to a designer or web design agency, a key metric to monitor is your rate of conversion. In the article 11 essentials of successful web design by a Sydney website design company, conversion tracking is considered the critical element in measuring your website’s underlying success.
Closely monitoring conversion data means you will be able to witness what is happening with your web traffic, and you’ll be able to make sure any external marketing agency used delivers the results it promised you. Achieving a top ranking for a Google search for your target keywords is all well and good, but if you are actually only achieving visitors who do not convert, the search engine page ranking is pretty much futile.
You should be measuring your website’s effectiveness at converting visitors into paying customers.
1. Tracking conversions
Good metrics for the measurement of performance removes the guesswork from marketing. This is the reason that conversion tracking is a critical element of your business and the effectiveness of your website.
An online conversion is generally defined as a purchase event, like selling a pair of shoes on your ecommerce shop. However, a conversion can actually take a number of different forms according to your particular business model. For example, one sort of conversion could be turning a visitor into a lead by providing their contact details via a form on your business website.
2. Rate of conversion
Your conversion rate is the rate at which visitors to your website convert into paying customers. This is an accurate measurement of how effectual your website is at converting visitors into paying customers. Rates of conversion for ecommerce websites are known for being low, because of the sheer volume of competitors in the market; competition for rank in search results; and inadequate utilisation of conversion tracking.
Fully utilising conversion data will lift you ahead of the competition, as you will include the data in your conversion rate optimisation (CRO) strategy. This new type of digital marketing, called Conversion Marketing, enables websites to go further than just optimising their website’s UX (user experience).
3. A / B Testing
Conversion tracking and A / B Testing are able to substantially boost your website’s rate of conversion. A / B Testing is testing various website layouts, call-to-action buttons, banner photos, offers, etc., in order to find the best content combination that results in your greatest conversion rate. As an example, by just simplifying the text of a call-to-action button, StubHub.com was able to generate millions in additional revenue.
(Credit: Google Analytics Blog)
4. Which comes first?
To achieve conversions you require traffic to convert. So then, what ought you focus on first, growing traffic or optimising your rate of conversion? Think about this proposition: it is always possible to up your marketing spend to attract greater traffic to your website. However, if your website is not intuitive, not easy to navigate, and not converting at a strong rate, you will be simply wasting time and money in bringing more traffic there. By committing time and resources to boosting the rate at which you convert your current website visitors into paying customers, you will put yourself in a much stronger position to capitalise on future traffic bursts.
It is a preferable scenario to have only 10 conversions from 100 visitors each month (which is a 10 per cent rate of conversion) than to have 20 conversions from 1000 visitors (a two per cent rate of conversion) if you had to up your marketing spend in order to garner that additional traffic. The top approach is to get your rate of conversion up as high as possible, then look to generate further traffic. This method will mean much greater revenue for your business.
Spend time on analysing your conversion data, look at where visitors drop off, try out various content offers, and do A / B Testing to find out how various layouts, buttons, photos, and so on, convert your current traffic. The greatest thing is that once you have optimised your conversion rate, you can then start upping your marketing spend to get higher converting traffic to your website. It is a winning situation.
By closely monitoring conversion tracking and frequently optimising your website to raise your rates of conversion, you will be having a significant effect on the performance and strength of your business.