Website conversion rate is a critically important metric used to measure and improve website performance. It is typically calculated by dividing the number of defined conversions by the number of visits to your website (expressed as a percentage). In some industries, and depending on what you’re actually trying to measure/improve, it might be calculated using a segment of visits (vs. all visits). For example, a local plumber serving Colorado might have a 4% conversion rate when using all visits, but a 14% conversion rate when visits are segmented to only calculate the number using visits in Colorado—after all, can the local plumber really expect a visitor from China to convert? Not likely.
In the quest to get more business from the web, most businesses tend to overlook improving conversion rates in favor of generating more traffic. In some cases, this makes perfect sense. If only a handful of visitors come to your website each month, you may not even have enough traffic to run the tests necessary to improve your site’s conversion rate. On the other hand, there are companies that already have more than enough traffic to do CRO testing, but they overlook it.