Converting Site Visitors
Developing a Web site, getting traffic and SEO strategy
is only the beginning. If you are not converting site
visitors to take the desired action you are not getting
the highest return on investment (ROI)
for your marketing dollars.
Consider that every link on your site is a potential
place for site visitors to leave your site. Words on
the page, graphics, page layout, and site structure
all play a role in how you will convert site
visitors into clients.
What does it take to increase Web site conversion?
That of course depends on your site. Sometimes very
little. Most every aspect of your site can effect your
site's conversion. We have increased conversion by 200%
by changing the wording on a form. Other times we improved
conversion 759% by completely redesigning the site.
Each site is different.
Regardless the type of site you have, all sites should
be developing a conversion strategy
including measurements and modifications. If your site
is a business to business or business to consumer site,
you need to convert site traffic. From ecommerce, lead
generation, sales support or content site, all sites
have a purpose and desired action that you want the
site visitor to complete.
Also consider conversion ratios and
calculations for pay per click programs and other promotional
and advertising campaigns. Every aspect of your site
should be constantly measured and modified for improvements.
How important is site conversion?
The best way to see the impact of site conversion on
revenue and profit is through an example.
Website Conversion Formula:
Below is the site production numbers for Sample
Site A & B :
Average monthly site visitors:
|
1,500 |
Average monthly marketing cost for site: |
$500.00 |
Average monthly number of customers: |
30 |
Average total purchase per customer: |
$50.00 |
| Average gross profit margin |
50% |
Monthly revenue is calculated by:
# of customers x dollar amount of average total purchase
per customer
= Monthly revenue in dollars
Gross Profit is calculated by:
(Monthly revenue minus gross margin) minus marketing
expenses
= monthly gross profit (profit before fixed overhead)
Sample Site A has a 2% conversion
ratio which yields
$250.00 gross profit
30 x $50.00 = $1,500.00 monthly revenue
( $1,500 - 50% profit margin)-500 = $250.00
gross profit
Sample Site B has a 3% conversion
ratio which yields
$650.00 a month of gross profit:
1500 site visitors x 3% conversion ratio = 45 customers
45 x $50.00 (average purchase)= $2,250.00 monthly revenue
Profit ($2,250 - 50% profit margin) - $500 = ($1125)
- $500 = $650.00 gross profit
That is a 160% increase in profit
by increasing your conversion by only 1%
That example is for an ecommerce site, but you can
do the same calculations for a lead generating site,
sales support site, etc. You just need to understand
the value of the desire action.
Start improving your Website conversion today by ordering our Conversion Assessment.
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