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What is the site conversion rate, and how is it calculated?

Recent surveys by the marketing agency investors and research in 2022 show that the average e-commerce conversion rate is 3.65%. The average conversion rate in all segments of all e-commerce markets increased from 1.61% to 1.92% in July 2022 compared to July 2021.

Conversion information is one of the most secure data on the internet. Site owners are quick to share the effectiveness of their site with competitors. Metrics and services can estimate the number of visitors who visit the site, but not everyone can accurately calculate the actual conversion.

Which conversion is considered reasonable?

There is no single answer — a good result for one industry may be lower for another. A store selling high-quality electronics will not have the same conversion rate as selling T-shirts for 499 rubles. Similarly, a store with a list of target email addresses will get better conversions than a store with cold calling of potential customers.

Conversion is influenced by:

Product Type

The cost of the product or the average price of the order

Traffic source

Device (Mobile, Tablet or PC)

Platform (Windows, Mac, iOS, Android, etc.)

Average conversion rate by industry

The average conversion rate varies by industry, but one thing is clear: the higher the price, the lower the conversion rate. Buyers do not behave impulsively and take longer to decide about buying expensive goods.

How to calculate the conversion rate of a website

The ratio of the number of orders to the total number of site visitors determines the conversion rate.

Depending on the analytics, the site’s sales conversion rate is called differently: in Google Analytics, this is called the e-commerce conversion rate.

The term “average conversion” can be confusing because a business may have different goals to track. For example, the percentage of visitors who add an item to the cart, download the manual or fill out a feedback form.

Why is it essential to track site conversion?

A site’s conversion rate measures how well a place turns visitors into leads. The success of a business is not in the monthly traffic but in the number of orders.

If thousands of visitors visit the site with almost no orders, then the problem is not a lack of traffic. The site does not convert for another reason, and you must study the area carefully in search of growth points.

Situations in which the reasons for low site conversion should be analyzed:

Rare, non-systematic orders.

High rates of basket rejection and checkout.

The increase in the number of refunds.

The remaining items do not change, etc.

Conversion and return on investment

A reasonable conversion rate means a high return on investment (ROI). 

On the other hand, if the conversion rate decreases, the ROI will also decrease. Each conversion will become more expensive. If this happens, you may need to change your marketing strategy.

Increase the conversion rate of your site.

Increasing the site’s conversion rate will increase your profit and help you better predict customer behavior. Systematic results tracking ensures timely decision-making to increase sales and attract loyal customers.

16 thoughts on “What is the site conversion rate, and how is it calculated?”

  1. The relationship between conversion rates and return on investment (ROI) is critical. A higher conversion rate can lead to a more profitable business. It’s essential to optimize your site for better conversions continually.

  2. I agree that tracking conversion rates is crucial for businesses. It’s not just about driving traffic to your site; it’s about turning that traffic into actual customers. Monitoring conversion rates can help identify issues in the sales funnel that need improvement.

  3. The article provides a comprehensive overview of site conversion rates and their significance. It serves as a useful resource for businesses looking to optimize their online performance and achieve better results.

  4. The article effectively highlights that high traffic alone doesn’t guarantee success. A website’s ability to convert visitors into customers is equally, if not more, important for a business’s profitability.

  5. The connection between conversion rates and ROI is a critical point. A higher conversion rate can significantly impact a business’s profitability and overall success.

  6. The article’s emphasis on tracking and analyzing conversion rates regularly is spot on. Businesses must not only aim for high conversion rates but also be vigilant in identifying and addressing issues that lead to low conversions.

  7. The statistics on e-commerce conversion rates are interesting. It’s crucial for businesses to understand their industry’s average to set realistic goals and track their performance effectively.

  8. I appreciate the practical advice on how to increase the conversion rate. It’s not just about measuring; it’s about taking action to improve the user experience and boost profitability.

  9. I appreciate the mention that a “reasonable” conversion rate varies by industry. It’s true; what’s considered a success in one sector may not be the same in another. It underscores the importance of benchmarking against competitors in your field.

  10. Understanding the factors influencing conversion rates, such as product type and traffic source, is crucial for businesses. It allows them to tailor their strategies and expectations accordingly.

  11. The distinction between different conversion goals is essential. Not all conversions are created equal, and businesses need to focus on the ones that align with their specific objectives.

  12. Calculating the conversion rate is a fundamental aspect of online business. It’s great that this article provides a clear formula to determine the conversion rate, making it accessible for businesses of all sizes.

  13. The article’s call for regular results tracking and decision-making is a valuable reminder. Businesses must be agile and adaptive in their approach to improving conversion rates and driving growth.

  14. The mention of the different goals a business might have for tracking conversion rates is essential. Depending on the nature of your business, you may want to focus on various conversion points, such as cart additions, downloads, or form submissions.

  15. The data on average conversion rates by industry sheds light on the challenges different sectors face. It’s a valuable benchmark for businesses to understand where they stand in their respective fields.

  16. Conversion rate optimization is a continuous process. It’s essential to stay proactive in finding ways to improve your website’s performance and ensure a healthy return on investment.

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