What is the Conversion Rate?
Conversion rate is the main element of advertising strategy and campaigns. If you can not turn the audience into a buyer, what is the purpose of launching advertising campaigns? Conversion rate optimization maximizes the number of potential customers. It will fully reimburse the cost of advertising to the business owners. In the continuation of this article, we will examine the ideal conversion rate. We will review the ways to strengthen it.
What is the conversion rate?
When a visitor to your website does what you want them to do, a conversion has taken place, and naturally, the amount of these conversions is also called the conversion rate. For example, if only 2 out of every 100 visitors to your website do what you want them to do (buy a product, buy a subscription, subscribe to the newsletter, or), your CR is 2%.
What is the standard conversion rate?
Do you think a 3, 5, or 10% CR is desirable? According to research, the average CR of landing pages in different industries is 2.35%. At the same time, 25% has a 5.31% or higher rate. In addition, companies that are part of the top 10% also have a CR of 11.45% or higher.
Recent research on thousands of Google Ads accounts that spend $ 3 billion a year on advertising shows that the CR in some industries is 2 to 3 times that of others. Researchers have identified some features of landing pages with a high conversion rate in this research process.
There is not much difference between these pages and the pages related to your business. Still, your method to reach that point has been chosen contrary to the general rule of CR optimization. In the continuation of this article, we will explain the points related to strengthening and optimizing the conversion rate and mention an example.
The general rule of conversion rate optimization
Everything you have ever heard about CR optimization is wrong! You have learned it superficially and do not understand its nature. If you do something similar to others, you will always be in the middle. In other words, you and your competitors are using the same method, so boosting the CR will not be possible at all.
Old-fashioned CR optimization tests do not work well; in fact, marketing thinkers always have focused on website optimization. They usually illustrate this with a simple example so that the author can increase the CR by changing the appearance elements or even the font type of a website.
Of course, this example is a general A / B test. The implementation of which will cause a slight increase in CR. For example, comparing two versions of a landing page, you will notice that the conversion rate has increased dramatically at the start of the new page. But over time, its performance has become the same as the old version.
As you can see in the image above, the blue line indicates the performance of the new page, and the gray line represents the performance of the old version of that page. It can be that the achievement of the new page does not last long and will become uniform over time. This pattern is called a premature testing dilemma, in which leads will disappear over time; We observed this pattern in the simultaneous execution of 20 to 30 tests.
Of course, this does not always happen, but small changes to the font color and space between the lines will often lead to a slight increase in CR. Of course, if you want to achieve more and last longer, you have to go through this sudden upward trend.
This problem occurs because the number of conversions you measure at the beginning of the work is low. If you are looking for 50, 100, or 200 conversions in your test, small changes will seem more important. For example, because the prototype size is not large enough, if there are 50 conversions, you may see an average 4% increase in the CR.
It is important to pay attention to the small and ineffective points in optimizing landing pages because you can go through the details to the most important things that strengthen the performance of your business.
What is the optimal conversion rate?
The standard CR is generally between 2% and 5%, and if the conversion rate increases from 2% to 4%, it means a huge leap for that business. Of course, by doubling the CR, you will still have mediocre performance.
In a 3-month study, we looked at different samples and excluded those with low conversion rates. In addition, we excluded samples with less than 100 clicks per month, then analyzed the Conversion Rate for the rest:
As you can see in the image above, about 1/4 of the landing pages have a CR below 1%. The average conversion rate is 2.35%, while 1.4 at the top of this list has two times higher than the average (5.31%) conversion rate. The red bar to the right of the photo indicates that the top 10% of the list that uses Google ads has a conversion rate of 11.45%; Of course, keep in mind that this conversion rate (11.45%) does not apply to one landing page. But all advertising pages.
If you can get a 5% conversion rate, you have a higher position than 75% of other advertising companies, but you still have a lot of room for improvement.
It would help if you tried to get a conversion rate of 10%, 20%. Even more, so that you are 3 to 5 times higher than the average.
Conversion rates in various industries
Sometimes the conversion rate in a business may be naturally low. We categorize Conversion Rate data by industry; For example, we have considered branches such as legal conversion rate, e-commerce conversion rate, etc.
The conversion rate of organizations in the top 10% is 3 to 5 times the average conversion rate in those industries, so we can conclude that the best always have a higher conversion rate, which is true for all industries.
Of course, a 5% conversion rate does not seem favorable for high-yield financial industries. It would help if you did not compare your conversion rate with the average of different industries because then the performance of businesses in the top 10% of this list will be five times better than you. Even if the conversion rate in your industry is low, the performance of top organizations will be 3 to 5 times better than you.
Of course, conversion through social networks is a completely different category. So that the conversion rate in this method is usually reduced, so if you use such networks for advertising, you should increase the quality of your design through tools such as Smart Ads Creator. These tools will also help you generate more clicks.
Four ways to improve conversion rates
What are the features of billion-dollar companies landing pages that make them win in a competitive market? We looked at about 1,000 pages to identify common features of the top advertising pages on the Internet. In this article, we will introduce four very important points in this regard:
1- Change your Offers
High-yield pages offer customers different and more creative offers than other companies. Other companies usually offer offers to their customers that are very similar to other competitors. For example, websites owned by lawyers usually offer offers such as free consultations to the audience. Software service companies (SaaS) offer free one-month subscriptions (Free Trials) to buyers. In other words, such offers will not be creative enough to attract visitors’ attention.
As we said, offering a free subscription to software buyers is a duplicate and lacks any innovation. But how can we offer more creative offers to the customer? You have to step out of the ordinary and think of something different and unique, something more tangible and compelling than sending a free subscription.
2- Change the work process (Flow)
Sometimes you can break down barriers to conversion without realizing it.
They have changed the process so that all audiences can easily download the file. Finally, users must register the software. Users have spent 10 to 15 minutes downloading and installing the app at this stage, so they will not be reluctant to fill out the information form.
For this reason, the company requests user information from customers one week after download. They can provide their information to the manufacturer with full familiarity with the software. Therefore, changing the registration or purchase process increases the conversion rate, and business owners can also manage the quality of leads more effectively.
3- Using re-marketing as a CRO tool
On average, 96% of visitors to a website will never become a leader. Remarketing will help you send your targeted messages to the audience in other parts of the internet such as email, YouTube, and social networks.
4. To identify a large company, try at least ten landing pages
On average, you should look at four unique landing pages that offer a variety of offers, flow, and messaging to identify the best landing page in your area. To identify the best landing page, you should try at least ten different pages.
You do not need to create thousands of landing pages. You need to find the best pages and focus on them. In other words, you need to get rid of pages that do not perform well. We also examined hundreds of thousands of landing pages. We found no relationship between the number of pages and the increase in conversion rate.
