Conversion rate refers to the rate of visitors taking a desired action in a website. The action can be anything like creating an account with a login or password, downloading an app, making a purchase, signing up for an email newsletter, or something else. The action taken by the visitor is measured and optimized in conversion rate optimization.
It is a systematic and structured approach to increase the performance of your website. It is defined by the needs and objectives of your website and makes most of the traffic that your website already have. Here is how you can benefit from conversion rate optimization.
Improve – Even if you have a well-designed website and many visitors, you can still improve the conversion process to make it simpler and easier, and thus, gain better results.
Clear Problems – Spending more on the paid advertising, which is getting more competitive and costly day by day, might not always give your site more traffic, especially if there are problems in the conversion funnel. CRO helps to identify and rectify these problems.
Getting More – CRO is not just about conversion. It also helps to find people looking for your product, who recommend it to others and thereby helping in marketing.
Free – It uses the traffic that you already have. That means you don’t have to spend more on getting more visitors. Converting visitors to users get better with CRO, where the returns on your current investment increase. Instead of attracting new ones, the best cost effective way to improve the business is to convert the current visitors.
Reduces Customer Acquisition Costs (CAC) – Cost per acquisition or the cost of getting each customer is reduced to half when the conversion rate doubles.
Increase Profit – Profit is directly linked to the conversion rates. As there is no additional cost for the conversions, profit increases when the conversion rates increases.
Extra Money – Increase in profit gets you with extra money, which you can invest to get more users. Moreover, these users again can be used effectively with the help of CRO.
Increase Value – Your website become valuable to the investors. You go ahead of your competitors.
Winner Takes All – In order to be successful you just have to be a little better than your competitors are. Optimizing the website to give what a user wants a little faster and in better way will get you more visitors.