Sunday, May 22, 2005

The Two Variables of Website Conversion

When you sell something through the web, to maximize results you must focus on two variables:

a) Traffic
b) Website conversion

The first variable, traffic, is closely associated with Click Trough Rates (CTR). Whether your source of traffic is a search engine, a link in another website, or a pay per click ad, you must focus on achieving high click through rates of targeted traffic (the kind of visitors most likely to buy your product).

The second variable, website conversion, is measured by the conversion rate (CR), namely, what percentage of your visitors convert into customers.

If you have tons of traffic, but no sales, it may indicate that something is wrong with the quality of the traffic you are attracting, or with the ability of your webpage to convert (maybe due to bad sales copy, unfriendly page design, etc).

I have found a very interesting and well written white paper titled Understanding Website Conversion Rates, that offers a thorough introduction to the subject of Website Conversion. It's author is Kevin Gold, co-founder of Enhanced Concepts, a traffic generation and conversion enhancement strategy company.

He has also written a series of two articles that talk about the issue of conversion in pay per click campaings, which are also worth reading: The Art of Pay Per Click - Part I, and Part II.

1 comment:

Jimmy Jarred said...

Both the variables explained in this post are important consideration for improving the website conversions. I read the paper using the link you have posted which provide a complete introduction about this subject. Thanks.
website conversion

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