In the world of retail and e-commerce, brand awareness and driving traffic to your store or website is only half the battle. Once you’ve caught the attention of potential customers, you have to think about how to increase conversion rates.
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What does conversion rate mean?
Conversion rate is the metric to measure the effectiveness of an advertising campaign. Simply put it is the percentage of visitors on your website that convert into clients or visitors. Conversion rate determines how good the campaign is, how effectively it communicates with the consumers and how strongly does it influence them to take ‘action’. Depending on your campaign, action could vary from purchasing products, sharing data, service upgrade, connecting with the sales team, or online registration and subscription.
How do you calculate the conversion rate?
Generally, 10% is considered a good conversion rate but 5%-8% is also a decent number. To calculate conversion rate you need to divide the conversion number by the total number of visitors on your site and then multiply the total by 100
Conversion rate = (conversions / total visitors) * 100%
For example if you had 50 conversions from 1000 visitors or interaction, this is how you would calculate the conversion rate
Conversion rate = 50 conversions ÷ 1000 visitors x 100
Conversion rate = 5%
Now that you know how to calculate conversion rate, let’s learn about 21 fool proof tips for turning casual prospects into actual paying customers and to increase conversion rate.
- Keep forms simple. Having contact forms on your site can increase the conversion rate, but the shorter the forms the better. Don’t make the forms so long that potential leads will give up in the middle of filling them out. Just one unnecessary field on a form can decrease conversionby 11 percent.
- Make testimonials transparent by including links to the actual social media accounts of the people who posted them. Fake or anonymous testimonials will not convince anyone. User generated contentonly makes its point if it is traceable to actual users.
- Position your conversion elements in a visible place. Contact forms and a call to action button will increase the conversion rate more if you display them near the top of the page.
- Show a face in a video on your landing page. Anonymity is the enemy of customer loyalty.
- Have pay-per-click ads links straight to a landing page with a contact form. Do not risk losing potential leads by having them go through your landing page first.
- Prominently display the number of purchases, followers, or subscribers. Provide actual numbers to show potential customers how popular your product is.
- Let customers know how many items of a particular product are left in stock. They will feel more of a sense of urgency to buy when they check back a second time and see how many have sold since last time.
- Write informative content instead of hype. Include details about the product that would help a customer decide which of several similar products to buy. For example, include dimensions, instructions for care and maintenance, and information on compatibility with other products.
- Have a no-fault refund policy. New customers are more likely to make a purchase if it is less of a financial risk for them.
- Make calls to action interesting. For example, if you are selling nutritional supplements, label your call to action button, “Start feeling your best.” Don’t remind leads that they are parting with their hard-earned money. Avoid calls to action like “buy now.”
- Avoid distractions on your landing page. At most, it should have a title, body text, a contact form, and a call to action button.
- Make most fields on your opt-in form optional. This way, customers can still complete the form if they are in a hurry. They can also still complete the form if they are hesitant to disclose their age or phone number.
- Be flexible with payment options. Some people don’t have a payment account, while others are cagey about revealing their credit card numbers online.
- Display customer ratings and reviews in various formats. Simply showing that 120 customers rated the product five stars out of five is fine. If there are narrative comments, though, link them to customer profiles
- Show the negative reviews as well as the positive ones. Seeing the good and the bad will assure customers that they are making an informed decision.
- Avoid using stock photos on landing pages. They look unprofessional and spammy.
- A chat tool on your landing page can improve your conversion rate. It will give visitors a more immediate response than filling out an opt-in form will.
- An easy-to-read layout can make a huge difference. A layout that formats well on a mobile device can increase leads six times as much as one that does not.
- A price-match guarantee will make customers trust you. Only a few of them will take you up on the offer. Most will just feel reassured because the guarantee is there.
Try out these strategies to increase your conversion rate. Contact Annex Cloud to develop a personalized customer loyalty, referral, or UGC strategy today