What is Conversion Rate?

Conversion rate is a key performance indicator in web analytics that measures the percentage of visitors to a website who complete a desired action (conversion) out of the total number of visitors.

A high conversion rate indicates effective website design and marketing efforts in persuading visitors to take the targeted action.

How to calculate conversion rate

Conversion rate is calculated by dividing the number of conversions (such as sales, sign-ups, or other desired actions) by the total number of visitors to your website.

Conversion Rate = Number of Conversions / Total Number of Visitors

For example, if your website receives 1,000 visitors a month and 100 of those visitors sign up for a free trial, your conversion rate would be:

Conversion Rate = 100 / 1,000 = 10%

What is a good conversion rate?

A "good" conversion rate can vary widely depending on the industry, type of business, and the specific goals of the website.

For example, you can expect a much lower conversion rate on a $5,000 purchase compared to a free email newsletter.

Conversion rates can also differ between devices. Typically, desktop conversion rates are higher compared to mobile, though this gap is narrowing as mobile experiences continue to improve.

So when determining what a good conversion rate is for your website, it's important to benchmark against industry standards. But ultimately, you should be focusing on continuous improvement and what changes can positively affect your specific conversion rate over time.