What is a Good Conversion Rate and How is it Calculated?
The equation to figure out your conversion rate is really easy. To get accurate results, you simply have to divide the number of conversions you get in your choice of time frame (days, weeks, or months) by the total number of visitors your website, page, or app received, and multiply it all by 100%.
For example, if you had 15,342 site visitors and 1,545 conversions in the last 30 days, your conversion rate equation would look like the following: 1,545/15,342 X 100, and your rate would be 10.1%. Pretty simple, right?
To make things even simpler, many online advertising and analytics platforms like Google Analytics, AdWords, and even Facebook Ads automatically calculate and track conversion rates and can return the data to you in a matter of minutes.
As for what determines a “good” conversion rate – it all depends on the goals you’ve set for your company. A good conversion rate is one that reflects that your goals are being met with the traffic you already have.
Perhaps you want to see more purchases, clicks, views, signups, registrations, or other actions from your regular site visitors. Conversion rates will show you data that reflects how well your goals are being met, whether they aren’t quite being met, and everything in between.
This information is valuable for many reasons and over time, and with continued marketing practices, your conversion goals may grow and change to accommodate how your company is growing and changing.