Data4Sales

First steps

What is the conversion rate?

The conversion rate is the percentage of people who take the action you're looking for—such as making a purchase—out of the total number of people who visited your site or received your message.

The conversion rate measures what percentage of people who interacted with your brand took the action you expected. In e-commerce, the most common conversion is a purchase, but it can also be a sign-up, a subscription, or a click on a message.

You can measure it on your website (visits that result in a purchase), in a campaign (messages sent that generate orders), or at any stage of the customer journey.

Why does it matter?

The conversion rate tells you how well your efforts are working. With the same traffic and the same investment, a higher conversion rate means more sales.

It also helps you identify where people are dropping off: a slow page, a complicated checkout process, or a message that doesn't address what the customer is interested in. Improving conversion rates is usually more profitable than trying to drive more traffic.

How is it calculated?

Formula: Conversion rate = (Conversions / Total visits or contacts) × 100.

For example, if your site receives 10,000 visits in a month and 200 purchases are made, your conversion rate is (200 / 10,000) × 100 = 2%.

Story mode

An online sports store gets a lot of traffic, but few purchases. Upon reviewing the data, the store owner notices that many people add products to their cart but don’t complete the purchase. The store activates an abandoned cart message via WhatsApp featuring the product they left behind. With the same traffic, more visits are converted into orders.

How to Use It with Data4Sales

Web Pixel: Tracks browsing activity—such as categories and products viewed and searches—so you can use this data in campaigns and workflows.
Abandoned Cart and Browsing Workflows: Bring Back Customers Who Were Close to Making a Purchase, 24/7.
Personalized messages: Orbis Creative writes a unique message for each customer using their information.
Attribution with a control group: You measure which conversions each campaign actually generated and which would have occurred anyway.

Related terms