A good conversion rate varies by industry, channel, and conversion type — ranging widely from 2% to 12%. Learn how to benchmark yours and improve performance with proven CRO strategies.
Key takeaways
- There’s no universal “good” conversion rate. Benchmarks vary by industry, channel, audience, and conversion type.
- Define your conversion goals first so you can accurately measure and evaluate performance.
- Improve conversions by reducing friction with stronger CTAs, simpler forms, faster pages, mobile optimization, and clear messaging.
- Use data to guide CRO. A/B testing, analytics, and customer feedback can reveal what’s preventing visitors from converting.
- Look beyond conversion rate. Metrics like CPA, ROAS, and customer lifetime value help determine whether higher conversions are actually improving business results.
What good is traffic if those visitors don’t convert? The real goal is turning traffic into high-quality leads and customers.
To do that consistently, you’ll need a data-backed conversion rate optimization (CRO) strategy.
We tapped into the knowledge of search engine marketing expert Rachel Corak and HawkSEM Lead Strategist Yara Askar.
Below, we’ll break down what a good conversion rate looks like, how to calculate yours, and proven strategies to improve conversion rates across websites and pay-per-click (PPC) campaigns.
What’s a good conversion rate?
There’s no universal “good” conversion rate. Benchmarks vary by industry, channel, conversion type, audience, and the action you’re measuring.
The tech industry, for example, tends to have higher conversion rates than broader sectors like retail or real estate.
The best way to evaluate your conversion rate is to compare it with relevant industry benchmarks and your own historical performance.
Conversion rate benchmarks by industry
According to Unbounce’s Conversion Benchmark Report, the median conversion rate across all industries is 6%.
Other benchmarks include:
- Events and entertainment: 12%
- Education: 8%
- Financial services: 8%
- Legal: 6%
- Commercial and professional services: 6%
- Health and wellness: 5%
- Travel and hospitality: 4%
- Ecommerce: 4%
- SaaS: 3%
To calculate conversion rates, you need to determine exactly what you want your website visitors to do. (Image: Adobe)
How to calculate conversion rates
To calculate your conversion rate, first define the action you consider a conversion.
This could be a purchase, form submission, demo request, newsletter signup, or another valuable action depending on your unique goals.
Then, use this formula:
Conversion rate = (Number of conversions / Total number of visitors or interactions) x 100
The denominator will depend on what you’re measuring. For example, you might use website sessions to calculate a website conversion rate or ad clicks to calculate a PPC conversion rate.
So, if your landing page receives 400 visits and 20 visitors complete your desired action:
(20 / 400) X 100 = 5%
Your conversion rate is 5%.
Tools like Google Analytics 4 (GA4) can help you track website conversions and analyze how users behave before and after completing key actions.
How to increase conversion rates
To increase your average conversion rate, implement these 16 CRO strategies to improve the user experience and move prospects down the conversion funnel.
1. Define your conversion goals
To calculate conversion rates, you need to determine exactly what you want your website visitors to do.
If you’re an ecommerce business, conversion actions might be a:
- Purchase or transaction
- Account creation
- Add to cart
For service-based businesses, your goals might revolve around lead generation. These conversions can include:
- Contact form submission
- Quote request
- Consultation request
Keep in mind that conversions aren’t limited to just sales or leads. They can also include micro-conversions, like:
- Resource downloads (like an ebook or whitepaper)
- Newsletter signups
- Demo downloads
2. Strengthen your value proposition and CTA
Visitors should immediately understand what you offer, why they should choose you, and what you want them to do next.
Start with a clear value proposition that communicates the primary benefit of your product or service. Focus on what makes your offer valuable or different rather than simply describing its features.
Then, pair that message with a prominent call-to-action (CTA) that tells visitors exactly what to do next. Depending on your conversion goal, that might be:
- Buy now
- Start your free trial
- Get a quote
- Book a consultation
- Download the guide
Keep your primary CTA easy to find and use action-oriented language that makes the next step clear. On longer pages, repeat the CTA at logical points so visitors don’t have to scroll back up when they’re ready to convert.
3. Add trust signals
Visitors are more likely to convert when they feel confident that your business is credible and their information is safe.
Add trust signals near important conversion points, such as your CTA, checkout, or lead form. These might include:
- Customer reviews and testimonials
- Ratings
- Security and payment badges
- Money-back guarantees
- Client or partner logos
- Industry certifications and awards
- Case studies and customer results
4. A/B test
A/B testing, or split testing, helps you determine which version of a webpage or element generates more conversions instead of relying on assumptions.
Create two versions of an element and split traffic between them to see which performs better. You can test:
- Headlines and copy
- CTA text and placement
- Images
- Form length
- Page layouts
- Offers and promotions
Test one major variable at a time to identify changes in performance. And give your test enough time and traffic to generate meaningful results before choosing a winner.
5. Increase page speed
If visitors have to wait for your content, product images, or the checkout process to load, they may leave before taking action.
Use tools like Google PageSpeed Insights to identify performance issues.
Common ways to improve page load speed include compressing images, reducing unnecessary JavaScript, enabling browser caching, and improving server response times.
Pay extra attention to your most important conversion pages, including landing pages, product pages, and checkout pages.
6. Simplify your navigation and design
Your website design should make it easy for visitors to understand what you offer and what they should do next.
Use clear navigation, descriptive headings, plenty of white space, and prominent CTAs to guide visitors toward conversion. Avoid cluttering pages with too many competing links, buttons, or design elements.
For dedicated landing pages, consider removing unnecessary navigation altogether so visitors can focus on the action you want them to take.
7. Minimize pop-ups and distractions
Pop-ups can promote offers and capture leads, but too many can interrupt the customer experience and distract visitors from your primary conversion goal.
Use pop-ups strategically rather than displaying multiple messages at once. Make them easy to close, avoid covering important content, and consider triggers such as time on page, scroll depth, or exit intent instead of showing them immediately.
The same principle applies to autoplaying videos, excessive banners, and competing CTAs; keep the visitor’s attention focused on the next step.
8. Keep forms simple
Every unnecessary form field creates another opportunity for a potential customer to abandon the process.
Only ask for information you actually need at that stage of the customer journey. For a newsletter signup, an email address may be enough. A sales consultation may require additional information to qualify the lead.
Use clear field labels, minimize required fields, and make error messages easy to understand. For longer forms, consider breaking the process into multiple steps so it feels more manageable.
9. Optimize for mobile
To boost conversions, you’ll need a strong mobile-optimized website.
Use responsive design and test your key conversion pages on different mobile devices and screen sizes.
Make sure visitors can easily read your content, navigate the page, fill out forms, and tap CTA buttons without zooming or scrolling excessively.
Also check mobile page speed and simplify elements for smaller screens, such as large menus, lengthy forms, and oversized images.
10. Revamp your website copy
Your website’s design might catch the eye, but it’s the persuasive power of your words that truly converts.
Your copy should clearly communicate what you offer, why it matters to your audience, and what they should do next. To write website copy that’s primed for conversions:
- Focus on benefits, not just features. Show visitors how your product or service solves their problems or improves their lives.
- Speak to your target audience. Tailor your messaging to their pain points, desires, and language.
- Keep it scannable. Avoid confusing jargon and break up walls of text with descriptive headings, bullet points, and short paragraphs.
- Highlight what sets you apart. Reinforce your value proposition and differentiate your offer from competitors.
- Build credibility. Include customer reviews, testimonials, case studies, and relevant stats where they strengthen your claims.
- Guide visitors toward conversion. Use persuasive copy and strategically placed CTAs to make the next step clear.
Make sure your messaging also matches the source that brought visitors to the page. Your ad copy, keywords, email messaging, or social content should set accurate expectations for what visitors will find after clicking.
A strong message match helps ensure you’re attracting the right audience and creates a more seamless path to conversion.
11. Research and analyze the competition
When you understand your competitors’ strengths, weaknesses, and strategies, you can identify opportunities to differentiate yourself, refine your approach, and ultimately win over more customers.
To start:
- Pinpoint your direct and indirect competitors
- Analyze their website’s design and layout, messaging, CTA placements, and friction points (which we’ll get to in a minute)
- Dissect their marketing strategies (e.g., content, social media, email, and paid ads)
- Use competitive analysis tools like Moz, Semrush, and SpyFu
- Look for gaps and opportunities to capitalize on, like niche market focus or untapped features
- Adjust your approach and put your findings into action
12. Encourage communication and customer feedback
Successful marketers know the best insights often come from direct conversations with customers.
“Conduct surveys and interviews, and gather any user research on your target audience if possible,” Askar says.
“This data is crucial to understand user motivations, preferences, and pain points. It’ll be the driving factor to identify your goals/objectives in order to build hypotheses and tests.”
You can even implement live chat, a feature that 62% of shoppers say makes them more likely to buy. This is because it allows you to instantly answer their questions. Better yet, you can use this touchpoint to gauge even more feedback.
These personal audience insights reveal the motivations, preferences, and pain points that drive user behavior. With it, you can create a site experience that truly speaks to their needs (which, in turn, drives conversions).
13. Set up conversion tracking and attribution
While tracking conversions is important, identifying where they come from is also valuable.
With proper conversion tracking and attribution, you can better understand which channels, marketing campaigns, and touchpoints contribute to conversions.
Make sure your analytics and advertising platforms are configured to track the actions you’ve identified as conversions.
To set up attribution accurately and precisely, HawkSEM experts:
- Import offline conversions
- Connect customer relationship management software (CRM)
- Examine the entire sales funnel
For ecommerce businesses, a few additional strategies can help turn more shoppers into customers:
14. Optimize your product pages
Product pages are the heart and soul of ecommerce sites. It’s where customers learn about your offerings, make purchasing decisions, and ultimately contribute to your bottom line..
So, how do you create product pages that turn potential customers into paying ones? Here are a few tips:
- Don’t just add nice images; take it to the next level with zoom capability and 360-degree views.
- Craft compelling product descriptions that are benefits-focused, clear, concise, scannable, and SEO-friendly.
- Build trust with elements like social proof and customer reviews, security badges, and satisfaction guarantees.
- Use strong verbs like “Buy Now” or “Add to Cart” in your CTA.
- Display transparent and flexible pricing, along with different payment options (including major credit cards and digital wallets).
- Make your CTA buttons visually prominent above the fold and throughout the page.
- Facilitate a seamless user experience (UX) with easy navigation, fast load times, and mobile responsiveness.
15. Send abandoned cart emails
The average cart abandonment rate hovers at around 70%, representing a significant loss of potential revenue for ecommerce businesses.
There are countless reasons for it, ranging from sticker shock at checkout and confusing return policies to those who are merely window shopping.
The upside? Abandoned carts offer a second chance to win over these potential customers. After all, they’ve already shown interest in your products. A well-timed nudge might be all that’s needed to complete the sale.
Through cart abandonment emails, you can retarget customers who almost converted.
Here are a few best practices to get it right:
- Create a sense of urgency with time-sensitive messaging when appropriate
- Offer an incentive, such as a discount or free shipping
- Send the first reminder soon after the shopper abandons their cart
- Follow up with additional reminders if they don’t convert
- Use a clear CTA that takes shoppers directly back to their cart
16. Make returns hassle-free
A flexible return policy gives potential customers peace of mind, which removes hesitation and makes them more likely to convert.
So, how can you encourage more conversions with minimal risk? You can offer:
- A money-back guarantee
- Free returns or exchanges
- Pre-paid return labels
- An online portal to streamline returns
- Various options, like in-store returns (if applicable), mail-in returns, or even pick-up services
- Quick and efficient refunds
- Proactive communication throughout the return process
- Opportunities to gather feedback about returns or exchanges
Dedicate a webpage on your site that clearly explains your return policy and link to it from every product page for easy reference.
How to improve PPC conversion rates
For PPC campaigns, improving conversion rates requires optimizing both your ads and what happens after someone clicks.
Here are a few ways to improve PPC conversion rates:
1. Align ad and landing page messaging
Your ad sets an expectation for what users will find after they click. Make sure your landing page delivers on that promise.
Keep your messaging, offer, and call-to-action (CTA) consistent from ad to landing page. If someone clicks an ad promoting a free consultation, for example, they should immediately see that same offer and a clear way to book when they reach the page.
Strong message match can also help reassure visitors that they’ve landed in the right place and make the path to conversion more seamless.
Pay attention to:
- Headlines and value propositions
- Offers, pricing, and promotions
- Keywords and search intent
- Images and other creative
- CTAs
Avoid sending every ad to the same generic page. Instead, choose or create landing pages that closely match the specific audience, keyword, and offer behind each campaign.
2. Review targeting criteria
Even the strongest ads and landing pages won’t convert if they’re reaching the wrong audience.
Review your audience targeting to ensure your ads reach the right people based on factors like location, demographics, interests, and behavior.
Take our client 686. Their winter gear ecommerce site hit a snag with conversions. After a comprehensive audit, we discovered a flaw in their audience targeting. The issue? They weren’t getting qualified leads because the locations and timing were all wrong.
For instance, they were showing ads for snowboarding gear to people in Florida — not really their ideal customer base.
This led us to fine-tune their PPC campaigns, zero in on relevant geographic locations, and re-engage potential customers who’d previously interacted with their brand.
The results were undeniable: cart abandonment dropped, checkouts soared, and 686’s website conversion rate skyrocketed by 186%, all while slashing their cost per conversion by 67%.
3. Reduce friction in your ad copy
Your ad copy should communicate what users can expect after clicking and make the conversion feel easy.
Corak has seen this approach improve results for clients:
“In one example, the objective was to increase phone call conversions,” she explains.
“To do this, we tested a version of ad copy that focused less on the generic ‘Call Now’ copy, but instead focused on the simplicity of the phone call to help eliminate resistance.”
For instance, instead of just urging audiences to call, you could highlight how quick and hassle-free it is to speak to an expert (e.g. “Get a free consultation in under 5 minutes!” or “Speak to an expert now, no wait!”).
The results of this simple, effective shift?
“We increased the conversion rate from 4.11% to 5.25% and resulted in a 32% decrease in CPA.”
4. Use remarketing to re-engage potential customers
Remarketing campaigns are ads that re-engage target customers who previously interacted with your brand.
Those interactions might look like views on product pages, visits to certain sections, or content engagement.
Rather than nudging these audiences to check out, remarketing nurtures them further down the sales funnel (regardless of whether they abandoned a cart or not).
Segment remarketing audiences based on their previous behavior and tailor your ads to where they are in the customer journey.
5. Look beyond conversion rate
A high PPC conversion rate doesn’t necessarily mean a campaign is profitable. Track conversion rate alongside metrics such as:
- Cost per acquisition (CPA)
- Cost per conversion
- Return on ad spend (ROAS)
- Customer lifetime value (CLV)
- Average order value (AOV)
- Time to conversion
A finger on the pulse of these metrics empowers you to make data-driven decisions that pave the way to higher conversions.
Common CRO mistakes to avoid
Even seasoned marketers can fall prey to common CRO blunders.
Corak and Askar share some of the most common mistakes businesses make when trying to improve conversion rates:
- Making too many changes at once, which makes it harder to determine which tweaks yielded your desired results
- Rushing to conclusions based on incomplete data
- Singular focus on conversion rate and ignoring other critical data (like CAC or CLTV) for sustainable success
- Inability to identify priorities and wasting resources on ineffective changes, resulting in scattered efforts, missed potential, and slow progress
- Overlooking CRO tools like Google Analytics, heat maps, click-tracking, and scroll-tracking that help you assess performance
- Lack of clear goals and target audience insights
The bottom line
From landing pages and homepages to product pages, boosting conversions matters more than just increasing the number of people who visit your site.
As an award-winning digital marketing agency, HawkSEM has a track record of smashing conversion goals and skyrocketing conversions to over 15%.
With decades of SEO and PPC experience, we consistently deliver an average of 4.5X ROI for clients across various sectors, such as finance, travel, retail, SaaS, education, and more.
Ready to turn your website into a money-making machine? Get in touch to make it happen.
This post has been updated and was originally published in February 2024.
FAQs
What is a conversion rate?
Conversion rate is the percentage of users or interactions that result in a desired action, such as a purchase, form submission, demo request, or signup.
Why is conversion rate optimization (CRO) important?
CRO helps you generate more leads, improve web traffic, increase sales, and maximize revenue, especially for ecommerce brands because conversions happen directly on your website.
Other benefits include:
- Enhanced user experience
- More value from existing traffic
- Reduced customer acquisition costs (CAC)
- Organized marketing efforts
- More brand loyalty
- Increased customer lifetime value (CLV)
What qualifies as a conversion?
Beyond direct sales, conversions can look like:
- Email marketing newsletter signups
- Consultation requests
- Subscriptions and subscribers renewing
- Free trial signups
- Demo requests
- Views on a specific web page
- Product or resource downloads
You can also analyze conversions by channel, like Facebook Ads, Amazon Ads, Microsoft Ads, Instagram campaigns, and more.