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What is a Conversion Rate and What’s a Good Goal?

by | Feb 10, 2023 | Marketing


You should be more concerned about your conversion rate, primarily if you’ve invested in a paid search strategy. A conversion rate is the percentage of site visitors or users compelled to complete a specific action. Such actions could be new signups, new purchases, and downloads. The rate is denoted as a percentage and is volatile.

Now that you know what a conversion rate is, you may wonder what rate is suitable for a website. While the objective of every business is to increase its conversion rates, it’s recommended not to go below the average rate. So, we’ll show you why the conversion rate is vital and a good goal to aim for in your business.

Are you wondering what conversion rate is good? Then, discover the number of conversions that can grow your business sales. Click To Tweet

Why is a Conversion Rate Important?

The conversion rate is one of the marketing metrics that measure the effectiveness of sales and marketing campaigns at converting leads into customers. It can help you align your sales and marketing team to develop strategies to improve your conversion rate.

You can also use the conversion rate to determine quality leads. A higher conversion rate means many visitors on your landing page are implementing your desired action. For example, it could be product purchases or new signups.

“Good” Rates Depend on Your Industry

Now that you know what a conversion rate is, you may wonder, “What’s a good conversion rate?” Well, a good conversion rate goes above 10 percent, with some businesses boasting an average of 11.45 percent.

However, “good” conversion rates vary depending on the medium and channel used. For instance, sellers on Amazon have an average conversion rate that surpasses what others consider “good.” So, your goal should be to achieve high conversion rates.

An Average Goal is 2-5%

The average conversion rate ranges from two to five percent (2-5%). However, some industries get lower or higher conversion rates depending on demand and competition. For instance, the Health industries have higher rates than the automotive industries.

Note that some businesses are converting at rates twice or thrice the average. So, you can decide whether you want to be average or want to boost your account’s conversion rates significantly. Ideally, it will be best to outperform competitors in your industry.

Let Design Squid Help You

Now that you know the conversion rate, you should implement conversion goals to grow your business. Of course, we aim for a 10%, 20%, or higher conversion rate, which is 3-5 times better than the average, but even a 2% increase is reasonable. Thankfully, Design Squid can help you boost your website conversion rate within a short period. We also offer conversion tracking and analytics.

Contact us today to improve your overall conversion rate.

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