Tag Archives: conversion rate

Conversion Rate vs. Click-Through Rate: What’s The Difference?

Note: This is a guest article written by Malaika Nicholas, the content marketing strategist at Ladder. Any and all opinions expressed in the post are Malaika’s.

What Is Click-Through Rate?

Click-through rate (CTR) is a metric, shown as a percentage, that measures how many people clicked your ad to visit a website or landing page.

Why Are Click-Through Rates Important?

For paid ads on Facebook, Google AdWords, and other advertising platforms, the click-through rate directly influences an ad’s Quality Score or Relevance Score.

difference between conversion rate and click through rate

Photo Credit: WordStream

However, note that high click-through rates aren’t always a positive sign. If your ad isn’t targeting the right keywords, or your ad copy, landing page, or offering isn’t helpful or relevant to a visitor, you may end up spending a lot of money on ads that don’t impact your bottom line. Therefore, spend time conducting keyword research to make sure every paid ad is relevant to your ideal customer or target audience.

How Do You Calculate Click-Through Rates?

To calculate the click-through rate on a paid ad, divide the total number of clicks on the ad by the total number of impressions (i.e. the total number of people who saw the ad).

Pro Tip: Don’t forget to multiply your result by 100 to save some extra time calculating the percentage.

Although a lot of marketers may talk about click-through rates in paid advertising, there are several ways to measure click-through rates on other channels.

Say, I want to know how many people visit my website after reading one of my blog posts. In this case, I’ll look at the click-through rate, which will tell me how many people clicked the link to my website from my blog post, out of the total number of visitors to the blog post.

People Who Click Website from Blog Post/Total Number of Blog Post Visitors x 100 = Conversion Rate

What Is Conversion Rate?

Conversion rate is a metric, shown as a percentage, that displays how many website or app visitors complete an action out of the total number of visitors.

Why Are Conversion Rates Important?

For many marketers and entrepreneurs, conversion rates are the most important metric to monitor frequently, because it directly impacts their business’ overall sales and revenue.

Chris Keller from Bizible reinforces this idea and goes so far as to outline 3 reasons why website conversions are more important than web traffic. For one, Keller argues that more traffic doesn’t necessarily mean you’ll see a spike in sales. This can be the result of several issues: attracting the wrong kind of traffic by targeting wrong keywords, your website content isn’t related to the product or service you’re selling, or your lead capture forms are broken, just to name a few.

Secondly, Keller argues that it is significantly easier and takes less time to increase web conversions than it is to increase web traffic.

Finally, Keller’s last point is that prioritizing optimizing your conversion rate, and then optimizing web traffic—instead of the other way around—would have a greater impact on your business’ ROI and profitability.

difference between conversion rate and click through rate

Photo Credit: Bizible

How Do You Calculate Conversion Rates?

To calculate the Conversion Rate, you’ll divide the total number of visitors to your website or landing page by the number of completed goals.

Pro Tip: You can multiply this result by 100 to save some extra time calculating the percentage.  

It is important to note, however, that this formula will change slightly depending on the type of conversions you’re measuring.

For example, if you’re measuring the Conversion Rate of people visiting your website who turn into leads, the formula will be:

  • Total Number of Leads Collected/Total Traffic to Site x 100 = Conversion Rate

Similarly, if I want to calculate how many website visitors convert into paying customers, the conversion rate formula will look like this:

  • Number of Sales / Total Traffic to Site  x 100 = Conversion Rate

Finally, if I want to measure how many people subscribed to my newsletter after clicking my ad, the conversion rate formula will change to this:

Number of People Who Subscribe To My Newsletter/Total Number of People Who Clicked My Ad x 100 = Conversion Rate

Analytics Tools for Tracking Conversion Rates and Click-Through Rates

While there are several analytics tracking tools that can provide data about Conversion Rates and Click-Through Rates, there’s one tool that reigns supreme: Google Analytics.

Google Analytics is an incredibly versatile tool that allows you to understand who your audiences are, how they behave on your website, where they find out about your business (that is, traffic sources), and how they interact with your website content.

More specifically, Google Analytics allows you to set up Goals, which gives you the ability to track whenever a defined action is taken on your website (that is, the conversion rate), like submit a contact form or make a purchase.

Look at this short video from Google on how to use Goals within Google Analytics to track your conversion rates.

Link to video [https://www.youtube.com/watch?v=fMeKXsl7xT8#action=share]

You can also use Google Analytics to track impressions and your ad Click-Through Rate from your Google AdWords campaigns. Here’s a short video that explains how it works.

Link to video [https://www.youtube.com/watch?v=8EmXFM1_xEo&feature=youtu.be]

In addition to Google Analytics, you can use any of the following to track Conversion Rates and/or Click-Through Rates.

Conversion Rate vs. Click-Through Rate: Which One Should You Measure?

Digital marketers use both the conversion rate and the click-through rate to measure the success of their marketing efforts. However, as Andrew Chu from MGX Copy notes, click-through rates and conversion rate affect two different stages of the marketing/sales funnel.

At the top of the sales funnel, the click-through rate measures how many people perform an action (such as click your ad) before they get to your website.

At the middle and bottom of the sales funnel, conversion rates measure actions that people take when they’re already on your website, like submit a form, sign up for a newsletter, download an infographic, make a purchase, and others.

As an example, let’s say I want to know how many people visited my website after seeing my Facebook ad. In this case, I would want to determine the click-through rate.

If my Facebook ad earned 100,000 impressions, and 3,500 of those people clicked my ad to visit my website, that makes my click-through rate 3.5%.

Not too bad!

Now, say I want to know that how many people became email newsletter subscribers from the ones who clicked my Facebook ad. In this case, I want to measure the conversion rate.

In this case, of the 3,500 people who clicked my Facebook ad and visited my website, 40 people subscribed to my email newsletter, making the conversion rate about 1.14%.

difference between conversion rate and click through rate

Photo Credit: Ladder.io

So, which metric are you supposed to measure—conversion rate or click-through rate?

The answer depends on which stage in the marketing/sales funnel you want to optimize.

If you want to improve your website rankings or increase traffic to the blog, then you’ll probably want to focus on measuring and optimizing your click-through rate.

If you want to focus on growing your email newsletter subscription list, increasing the number of people who sign up for a free trial, or increasing the number of products you sell online, then focus on measuring and optimizing your website conversion rates.

Actionable Growth Tactics for Improving Click-Through Rates

Here are a few quick tips that can help you improve your click-through rates:

  • First and foremost, conduct some consumer research on your target audience. This will give you a better understanding of what type of messaging your target audience is more likely to respond to.
  • Use Google Keyword Planner or another keyword research tool to find specific keywords your target audience is searching for. Include negative keywords and branded keywords as well in your research.
  • Write ad copy that is enticing and helps your brand stand out. Use power words that convey urgency, authority, performance, advanced technology, scarcity, or social proof.
  • Use high-quality, eye-catching photos in your ads; but make sure your images do not contain more than 20% of overlay text.
  • Make sure the copy, content, and design of your landing pages are aligned with your paid ads.
  • Have a clear and concise call-to-action that makes it clear to the viewer what they can expect after clicking your ad.

For more in-depth information about these tips, look at these helpful resources:

41 Ad Copy Approaches to Increase Ad Click Rates

Google AdWords Tips to Create Highly Converting Search Ads

Actionable Growth Tactics for Improving Conversion Rates

Conversion rate optimization is all about identifying, analyzing, testing, and improving various touchpoints at the middle and bottom levels of the marketing/sales funnel. Here are a few quick tips on how to optimize your conversion rates.

  • Personalize your messaging and user experiences, based on visitor behavior, preferences, or interests.
  • Don’t give up on website visitors who don’t convert right away. Keep them engaged with retargeting ads, where you can display services, products, or offers based on they’ve shown some interest in.
  • Offer customer support throughout the buying cycle. You can offer real-time chat with a customer support representative, provide Help Center informational tutorials and troubleshooting information, or answer questions visitors may have on a dedicated FAQ page.
  • Convert website visitors into potential leads by offering free materials in exchange for their contact information. For example, you can offer a technical white paper, an instructional e-Book, data-rich infographics, or exclusive video content.
  • Give website visitors several opportunities to convert. There’s a slim chance someone will visit your website for the first time and immediately decide to make a purchase. Instead, give hesitant visitors additional opportunities to convert (also known as “micro-conversions”), like giving them a chance to sign up for your email list through a smart bar, display a limited-time offer in an exit-intent pop-up, or allowing them to subscribe to a web browser and mobile push notifications for the latest updates.
  • A/B test various elements of your landing pages, including hero images, call-to-actions, taglines, descriptions, button positioning, the format of contact forms, and others.
  • Add social proof on popular landing pages. Experiment adding customer testimonials, recognizable brands you’ve worked with, or mobile app store reviews and ratings to your website and landing pages.

Also, make sure to bookmark these materials to help bolster your conversion rate optimization strategy:

How To Convert Your Website Visitors Into High-Quality Leads

10 Ways to Build an Actionable Content Marketing Strategy to Boost Conversion Rates

The post Conversion Rate vs. Click-Through Rate: What’s The Difference? appeared first on Blog.


Conversion Rate vs. Click-Through Rate: What’s The Difference?

Conversion Rate Audit: The First Step Of The CRO Process

Like everything else, there is a perfect timing to start with your CRO process. Rush in without a good understanding and you might just be burning your money for no good.

It is true that finding that “Perfect Moment” for yourself is tough. And it’s tougher to be in that moment and still not know how to start with the Conversion Optimization process.

A few years back, the focus of online marketing was merely increasing the traffic. But at that time, the traffic was easy to acquire. In the 90s, when SEO came into existence and brands started competing to rank better, a lot of marketing channels evolved, giving them the opportunity to get potential customers. With time, the approach and the focus both have shifted to making the most of the existing traffic with CRO.

conversion rate audit


If you tried A/B testing earlier, understand the importance of optimization, and want to increase your website conversion, continue reading till the end.

This post will help you do a conversion rate audit of your website while using some conversion-centric metrics. And will help you decide if you need to start conversion optimization.

When should you consider Conversion Rate Optimization?

  • If you already have an MVP

According to Morgan Brown, the perfect moment to consider optimizing is when you already have an MVP, or a Minimum Viable Product.

conversion rate audit


  1. If you have substantial amount of traffic

If your website is working and has a substantial amount of traffic with the potential to become your customers, you can consider optimization.

Finding the Gaps

Understand where the visitors are are coming from and what they are looking for. Only then can you serve them with what they need. Attempts where people try to blindly copy conversion practices from other websites mostly fail. Website owners need to understand that each website and each visitor are unique. Find the loopholes in your conversion funnel, and fix these to boost your conversion rate.

So how do we do that?

This is what this Conversion Rate Audit will help you with. It’ll provide you with insights about what is happening on your website, what all needs to be fixed. and how you can fix it.

Some Conversion-Centric Industry Benchmarks

Here are some industry benchmarks that provide you with a perspective of how your website is performing per the industry standards.

Cross-Device and Cross-Browser Compatibility

It is a mandate for any website to be compatible with all the 3 major browsers—Internet Explorer, Chrome, and Firefox. Additionally, your website should be optimized for different platforms and devices.

conversion rate audit


Based on visitor preference and optimization, the conversion rate differs from one platform to another.

Here are some conversion rate data specific to different devices and platform for Ecommerce:

conversion rate audit

conversion rate audit


Page Load Time

No matter how you measure it, a fast page speed is better. Many people have found that faster pages both rank and convert better. Experts suggest that your website should load within 4 seconds or lesser.

conversion rate audit


Bounce Rate

As a rule of thumb, you can consider the following table to evaluate your bounce rate.

conversion rate audit


conversion rate audit


You can expect mobile bounce rates to be about 10 to 20 percent higher than those for a desktop.

conversion rate audit


Net Promoters Score (NPS)

conversion rate audit

In a report published by Temkin Group, you can see the variations of Net Promoter Score, or NPS, for 269 companies across 19 industries. Here are the overall results for the 19 industries:

conversion rate audit

conversion rate audit


If you’re looking to implement NPS, follow these steps:

  1. Ask follow-up questions.
  2. Combine it with user research.
  3. Find and fix issues.
  4. Market to promoters.

In case you have a low NPS, you can refer to some tips that can help you improve that.

Industry-Wise Average Conversion Rate

Variables such as product type, product cost, device, and location impact the conversion rate. Moreover, it also differs with your website conversion goal. Let’s take a look at some of the major industries and their average conversion rates.

Non-Ecommerce Sites Including B2B

This is a useful compilation from Marketing Sherpa of average conversion rates by industry sector.

conversion rate audit


conversion rate audit

conversion rate audit


Telecom and Travel

According to Adobe Digital Index (ADI), UK and US conversion rates are significantly lower than those of European countries other than the UK, perhaps because of less competition. Different rates of smartphone adoption has already affected this cross-platform average.

conversion rate audit

Some additional industry data you can refer to:

conversion rate audit

Start Your Conversion Rate Audit: Do You Stand a Chance?

Example: Say you’ve an eCommerce store that sells healthcare products. Email marketing gives you the best ROI and sales. In this case, more subscribers equal more sales and revenue. Your main conversion goal can be to increase the number of visitors who subscribe to your list. From here, you can start analyzing and testing your current pop-up boxes, opt-in forms, and opt-in incentives to find what drives the most sign-ups.

This conversion rate audit involves referring to the above industry benchmarks and comparing those with your website metrics.

A mandate before starting with the audit is to have a definite goal.

Here are some major metrics you need to consider for the audit:

  • Page load time: You can use tools like Pingdom and Google Page Speed to get an idea about the page load time for your website. You might want to focus more on important pages like product, pricing, sign-up, and check-out. A high page load time contributes to a high bounce rate and thus, reduces the potential for conversion.
  • Cross-device and browser functioning: Double-check your website compatibility across different browsers and devices. No matter which device or browser is in use, your website should be compatible with all, to avoid drop-offs.

Qualitative Analysis

  • Bounce rate/Exit rate: Check your website bounce rates and exit rates with the help of the analytics tool that you are using. You can focus on particular pages that are most likely a part of your conversion funnel. For eCommerce, you can consider cart abandonment rates along with the first two metrics.
  • Demography and locations: Dig deep and focus on your visitors’ demography and locations. This information plays an important role in conversion, as visitors from different demographies might behave differently on your website. So, all of them should be engaged differently.
  • Traffic sources and channels: Get an idea about the major channels that are working for you and driving traffic to your website. This will help you channelize your efforts toward the most converting channel for your website.
  • Session duration and user engagement rate: Notice how much time your visitors spend on your website and the extent of user engagement. According to HubSpot, 55% of the visitors spend fewer than 15 seconds on a website. These 15 seconds is what you get to engage with them. If they are spending even lesser time, then it is an alarm.

Qualitative Analysis

  • User Feedback: For more comprehensive and in-depth insights about your visitors, leverage platforms like VWO and take visitor feedback. Perform a heuristic analysis and on-site surveys to get a better perspective of your user’s expectations. Structure your surveys in a manner that would allow you to get actionable answers. Multiple-option surveys can be one way to go.
  • UX: VWO’s features like Heatmaps, Scrollmaps, and Visitor Recordings provide you with in-depth insights about how your visitors behave and interact with each of your website elements. These will help you identify the common UX patterns being followed by your visitors. These insights show how UX and a CRO process work together.

conversion rate audit

  • Funnel Visualization: Create multiple conversion funnels and understand your visitor journey. Funnels will help you identify the loopholes in your conversion process. Observe where the visitors are struggling with website browsing.
  • Conversion Rate: Based on your conversion goal, track your current and past conversion rates. Having an idea about your website performance over a period of time can help you understand the historic conversion patterns.

Filling the Gaps

Experiencing a low conversion rate is the most common question asked by any marketer. If you are nowhere near the numbers mentioned above, it is a wake-up call for you. It implies that there is a huge gap between what you are providing and what your visitors are looking for.

There you go! This is “the moment” when you start with conversion optimization for your website.

The best approach for conversion optimization is to have a CRO platform that can assist you from researching about what’s wrong with your website (or particular pages), to fixing those errors and targeting your visitors in a personalized manner. This platform can help you understand where your visitors are struggling. You can understand where the drop-offs are taking place, fix those leaks, and manage the entire CRO process at one place.

Common Mistakes while Choosing a CRO Platform

Asking the Wrong Questions

Many marketers end up opting for a CRO platform that does not help them accomplish all of their needs or have limited capabilities. To avoid such situations, you should prioritize enquiring about all the capabilities of the platform. And this can be done by asking the right set of questions. Here are some questions that you should be asking the platform’s support team.

  • Does the platform offer more value beyond A/B testing?
  • Will the platform affect your page load time?
  • Does the platform itself create a test bias?
  • What is the level of customer support?
  • Does the platform help you plan your optimization?

Make sure you have all these questions answered before going ahead with any CRO platform. If you have similar questions about VWO, you can get your answers here.

Not Having a Dedicated CRO Team

Besides using multiple tools for CRO, not having a dedicated team is one of the major pressing issues with CRO that enterprises encounter. According to this post by Econsultancy, the biggest barrier that prevents organizations from improving their conversion rates is lack of resources.

conversion rate audit

You should have a dedicated team or a person who has a strong background in CRO and in-depth industry knowledge.

Wrapping Up

What did this post help you with?

  • Identifying if your website is eligible for a CRO process
  • Reviewing industry benchmarks
  • Auditing your website, based on your website data
  • Avoiding common mistakes while choosing your CRO platform

We at VWO understand that the CRO process can be complex if you don’t have a dedicated CRO team or if you lack any other resources. In such cases, our Services team will be happy to help you. Our team consists of conversion experts with an in-depth knowledge of the CRO industry and the process. Connect with us over a quick call, and we’ll take it ahead from there.

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Conversion Rate Audit: The First Step Of The CRO Process

Infographic: How To Turn Browsers Into Buyers

browsers into buyers cro

98% of website visitors don’t convert. That’s right. On average, only 2% of your website visitors convert and drive your online revenue. Imagine if you could increase that number just a little bit. You could potentially increase your online revenue by 50 to a 100 percent or more. But too many people think conversion rate optimization is testing different button colors on landing pages. In reality, it’s so much bigger than that. If you want to better understand the powerful process that it takes to increase your conversion rate, then you’ll love this infographic. It’s a simple visual that will…

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Infographic: How To Turn Browsers Into Buyers

How to Develop a Winning CRO Testing Roadmap


If you’re reading this post, you already know how CRO (“conversion rate optimization”) can help you increase revenues and create better customer experiences. The problem now is: how do you decide what to test? Successful testing is almost always strategic in nature. You can’t just fire up your testing tool, plug in a couple of page variations and expect to meet your business goals – at least not consistently. Instead, you need to plan out a long-term strategy, prioritize tests based on business goals, and develop an execution timeline. This, in essence, is the testing roadmap. And when done right,…

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How to Develop a Winning CRO Testing Roadmap

How to use Segmentation & A/B Testing in Google Analytics to Generate Better Results

If you’re involved with conversion rate optimization, you’re probably familiar with the term “A/B testing.” This is basically a test to compare the performance of two versions (A and B) of a web page. A/B testing is a highly effective method used by marketers to increase website conversion rates. You could test multiple designs and select the one that garners the most customer conversions. You can read how to conduct A/B testing using Google Analytics in my previous post. Now I’m going to talk about how segmentation in Google Analytics can get you better results. The purpose of this detailed…

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How to use Segmentation & A/B Testing in Google Analytics to Generate Better Results

7 Conversion Rate Optimization Mistakes You Don’t Know You’re Making (And How To Avoid Them)

If you’re seeing lackluster online sales, it might be time to look at your conversion rate optimization (CRO) tactics. Chances are good that you could do a better job at sealing the deal. It’s easy to fall into the “you don’t know what you don’t know” category when you’re trying determine why you aren’t converting curious visitors into paying customers. That’s because there are countless factors – from the general fickleness of human nature to the layout of your site to the actual quality of the products that you’re selling – that can influence someone’s decision-making process. CRO is a…

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7 Conversion Rate Optimization Mistakes You Don’t Know You’re Making (And How To Avoid Them)

How to Unleash Psychological Power in Your Conversion Rate Optimization

You’ve probably heard that psychology is important in conversion rate optimization. And you probably don’t argue over it. You realize that, sure, psychology and CRO have a lot in common. You understand that a good CRO will use psychological insights. In my experience, however, that’s where most CROs stop. They know that psychology plus CRO is a magical match, full of wondrous delights and fabulous results. Unfortunately, in the practical day-to-day execution of those ideas, nothing happens. Most CROs want tricks, hacks, tactics, techniques, and processes. They don’t want some randomized, double-blind, placebo-controlled crossover study. No way! Give us the…

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How to Unleash Psychological Power in Your Conversion Rate Optimization

Learn CRO Visually: 13 Infographics on Conversion Optimization

We’re visual creatures – that’s one of the reasons that infographics are so appealing. For many of us, it’s also about the stats. There’s something appealing about good research clearly illustrated. That’s the reason for this roundup of conversion rate optimization (CRO) tips from infographics, drawn from the length and breadth of the interwebs. Check […]

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Learn CRO Visually: 13 Infographics on Conversion Optimization

The Psychology Behind High Converting Sites

We all know the basics by now, right? Create a headline that hooks attention, display value with your CTAs, reduce distractions, simplify your pages so on and so forth. They’re actions well documented on sites like this and something we all know are conducive to better conversions. But there’s a problem, too many CROs are […]

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The Psychology Behind High Converting Sites

The Complete Beginner’s Guide to Landing Page Optimization

Your product or service is great. But for all the effort you’ve put in to get traffic to your landing page, they just aren’t signing up. Or at least not as many as you think should. It’s this one major hurdle that prevents many businesses from reaching comfortable profitability, and growing consistently as they should. […]

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The Complete Beginner’s Guide to Landing Page Optimization