Conversion rate
Also called conversion, CVR, conversion ratio
What is conversion rate?
Conversion rate is the percentage of visitors, viewers or recipients who complete a desired action, called a conversion. That action might be a purchase, a booking, a signup, a download or a click. It is calculated by dividing conversions by the total number of visitors or interactions, then multiplying by 100. It shows how well something persuades.
Conversion rate can be measured almost anywhere: a landing page, a whole website, an email, an ad or a checkout step. Each needs a clear definition of what counts as a conversion and what counts as a visitor, or the numbers are not comparable.
There is no universal "good" conversion rate. It varies widely by industry, price, traffic source and what you are asking for. A free download converts far more people than a large purchase. The useful comparison is your own rate over time and across versions.
Why conversion rate matters
Conversion rate turns attention into revenue. Doubling it has the same effect on sales as doubling traffic, and it is often cheaper to achieve. That makes it one of the most important numbers for any business that sells online.
It also shows where marketing is breaking. Plenty of reach but low conversion points to a mismatch between the promise and the page, a weak offer, or unanswered objections.
How to calculate conversion rate
Divide the number of conversions by the number of visitors (or sessions, clicks or recipients, as long as you are consistent) and multiply by 100. Then improve it by matching the page to the ad, sharpening the offer, adding proof and removing friction such as long forms.
Conversion rate example
Conversion rate = (conversions / visitors) x 100
Example: 36 class bookings / 1,200 landing page visitors
= 0.03 x 100 = 3% conversion rateConversion rate FAQ
What is a good conversion rate?
It depends heavily on industry, price and the action asked. Compare against your own past results and against similar pages, rather than a single benchmark figure.
How can I improve my conversion rate?
Make the page match the source of traffic, lead with a clear benefit, add proof near the action, answer objections, shorten forms and make sure it works well on mobile. Test one change at a time.
What is the difference between conversion rate and click-through rate?
Click-through rate measures how many people click a link after seeing it. Conversion rate measures how many take the final desired action, which usually happens after the click.
Related terms
Click-through rate (CTR) is the percentage of people who click a link, ad or button after seeing it: clicks divided by impressions.
A landing page is a web page built for one goal, like a signup or booking, that visitors reach from an ad, post or email.
A marketing funnel models how people move from first hearing about a brand to buying, with fewer people at each stage.
A/B testing compares two versions of an ad, page or post that differ in one thing, to see which performs better on a chosen metric.
CPA, or cost per acquisition, is what you pay in ads for each conversion, such as a sale, sign-up or lead. It equals spend divided by conversions.
A call to action (CTA) tells people exactly what to do next, such as Shop now, Book a class or Save this post. It turns attention into action.