Why Is Improving Your Conversion Rate So Important?
It should be fairly obvious that improving your conversion rate is a ‘good thing’, but why is it so important, and what impact does it have on profitabilty?
There are two obvious ways to increase the number of web site sales:
- Increase traffic to the site
- Increase conversion rate
Most people concentrate almost all their efforts on increasing traffic to the site, but is this the best use of your time and money?
Lets look at these two methods in more detail.
Increasing Visitor Traffic to your Web Site
As with all sales promotion, there is a cost to increasing traffic to your web site.
This may include any, or all of the following:
- Cost Per Click Traffic
- Cost of Search Engine Optimisation
- Cost of off-line advertising (magazines, newspapers, TV etc)
Whichever of these you use, there is a cost increase for each site visitor, much of which is an ongoing cost that needs to be repeated each month.
In short, this cost becomes a regular overhead.
Improving Conversion Rate
Although there is a cost in making the changes and testing them, once you have acheived an improvement you have improved profitability for ever (or at least until other factors change).
More importantly, as each visitor now earns you more money, you have more money to spend on conventional marketing to further increase traffic.
Improving your converision rate increases the profitability of ALL your other marketing efforts.
It is the single most important improvement you can make to your web site.
Don’t believe us?
