What Is Conversion Rate Marketing?
Conversion rate marketing is the optimization of your marketing activities that results in an increase in your conversion rate. In the marketing world, different metrics and processes can be optimized to increase ROI, profit, and marketing success. From cost-per-action to qualifying marketing leads, every action can be improved upon. Conversion rate marketing involves improving on sales conversions. Conversions can refer to sales, but they can also refer to any action you want a viewer or visitor to complete, including signing up to a newsletter or downloading a white paper.
One of the most reliable ways of determining marketing efficacy is by looking at the conversion rate that results from a marketing activity or campaign. You can calculate the conversion rate of a marketing campaign by taking the number of people who converted and dividing this by the number of people who could have converted. That number is then multiplied by 100 to result in a percentage.
A high conversion rate percentage indicates that the marketing activity has been successful, whereas a low conversion rate indicates potential customers could have run into problems navigating your landing pages or that the messaging wasn’t resonating with the target audience.
However, no set number indicates a particular level of success. This is because each industry, campaign, and activity will have different levels of success. You can figure out whether the conversion rate for your marketing campaign could be optimized using conversion rate marketing tactics in one of two ways. You can research to find out what similar competitor campaigns achieved, or you can look at similar campaigns you have run in the past and compare them against current marketing activity.
How to optimize conversion rate
There are lots of potential ways for you to optimize your conversion rate, including the following simple ideas:
- Adjust your call-to-action copy
- Add testimonials to your site
- Eliminate unnecessary form fields that create a barrier to potential customers
- Add a pop-up button to your landing page
- Use A/B testing to determine more successful landing page imagery, copy, and calls to action
There are two key steps to take before choosing a way to optimize your conversion rate. First, research your website traffic using website analytics and heat maps to determine pain points for potential customers. Second, make sure to institute one change at a time, so you can determine exactly which effort resulted in the greatest conversion rate increase.