What Is a Good Conversion Rate?

Published: | By POWR

There is no exact science for measuring conversion rates, so it is challenging to answer explicitly what good conversion rates are. They vary tremendously between businesses, sectors, and industries. For example, in some sectors, a conversion rate in the range of two to five percent is considered good. Yet, a rate closer to twelve percent is about average in others. 

Regardless of industry or sector, there is plenty that every business could do to improve their conversion rates. For instance, streamlining their online forms with a free form builder or improving call-to-action text could help boost conversions.

Let’s delve into the world of conversion rates and why they are vital to a company’s success. We will highlight what acts as a drag on conversion rates and what you can do to make them better.

Why Good Conversion Rates Are Vital

Before we investigate why reasonable conversion rates are vital, let’s quickly recap what exactly they are. Every time you have a visitor click on your site and consequently take an action you wanted them to, you have converted them. The more visitors that go to your site that make a purchase or complete an online form, the higher the conversion rate. That’s because you calculate the conversion rate by dividing the number of conversions a website makes by the total number of visitors. 

When making sales, improving conversion rates is vital to optimizing profits. Websites are not just a means to establish yourself in the online space and distribute information. Increasingly, they are a place where a company can create another revenue stream on top of traditional sales methods. 

Having a better conversion rate on websites can also help companies better understand their customers. Businesses can collate data on users through online forms. With that data, companies can improve their ability to target potential customers more effectively. When targeting is enhanced, a company can improve its products and services as a whole and raise profits. 

Drags On Conversion Rates

Given how important conversion rates are to a company’s profitability and future success, businesses need to identify how their website can be optimized to support higher conversions. 

So, what causes a drag on conversion rates? If you perform an audit on your website and discover any of the deficiencies below, it is a good idea to try to rectify the situation as quickly as possible. 

Excessive Load Times

Website load times are critical to improving bounce rates and maintaining your audience’s attention. The quicker the load time, the more likely you will be able to convert a customer. That’s because you hold their attention for longer, and they do not lose patience and click away from your company website altogether. Look at ways to speed up your site’s page load time to provide the smoothest and most professional experience possible. 

Difficult To Read

Customers like to skim website text. If your website has too much wording to get through before a customer needs to take a specific action (be it buying a product or completing a form), you will likely lose their interest before they get to that stage. This acts as a drag on your conversion rate. Make sure that your copy is punchy, concise and adequately demonstrates brand awareness.

Absence Of A CTA

While reviewing your site for complicated text, make sure there is a clear call-to-action (CTA). It could be that you have a low conversion rate because you are not being explicit about what you want your customer to do once on your website. If you do not ask or tell them what you want, they won’t do it, resulting in a pitifully low conversion rate. CTAs should not be complicated. They need to be easy to understand and to the point. 

Ways to Improve Conversion Rates

There are several ways to improve your lead conversion rate, which can help you and your company. The following suggestions allow you to take a more proactive approach to optimize your site. 

Make It Easy

If you want your customers to buy a product, complete a form or follow a link on your website, you need to make sure that this is easy for them to understand and figure out how to do. For example, only include fields necessary for your purpose on an online form. Any more than that, and you risk losing your customer’s interest. Any reputable free online form builder should help you with this. And as far as buying an item, there should be as few steps involved as possible and minimal information required to complete the purchase.

Add Testimonials

If you are selling a product or service, one of the best ways to improve your conversion rate is to include testimonials on your website. Doing so means that your potential customers have an objective review of your offering. It gives them comfort and confidence that their purchase is going to live up to the hype that your uncomplicated, easy-to-read copy is suggesting. 

High Conversion Rates Lead To Business Success

Given the increased amount of time the global population spends online buying products, subscribing to services and researching information, you must optimize your website to help them achieve their goals. In doing so, companies can support their future success by more effectively providing products and services which align closely with their customers’ needs and requirements.

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