The Conversion Rate is the percentage of users or visitors who take a desired action, such as making a purchase, signing up for a service, or completing a form, out of the total number of users who interact with a marketing campaign, website, or application.
This involves:
- Tracking the total number of interactions or visits
- Defining the specific action that qualifies as a "conversion"
- Calculating the ratio of actions taken to total interactions (expressed as a percentage)
- Optimizing campaigns or platforms to improve conversion performance
Conversion rate is a crucial metric in marketing and business because it reveals how effective an initiative is at motivating users to act. Businesses use conversion rate analysis to allocate resources, refine strategies, and ultimately drive revenue growth. For example, a higher conversion rate often indicates streamlined user experiences, effective messaging, and stronger alignment with customer needs.
Data Driven Decisions for Effective Future Planning
Case Study
Automotive: Cross-incentive consolidation empowers program success
A large vehicle manufacturer were looking to consolidate their dealer Co-Op/MDF, Rebates and SPIFFs incentives and work together to influence dealer channel behavior.
By accumulating incentives into one branded platform, enabled the manufacturer to have clearer visibility of claim submissions, engagement and activity reporting, through the analytics.
Learn how 360insights helps this manufacturer understand how measuring the data provides a better attribution of direct program ROI.