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What is CRO? Conversion rate optimization.

What is CRO

CRO Optimization is measured by metrics.

  • Bounce rate.
  • Time on site.
  • Cart bounce rate.
  • Conversion cost. CPA.
  • Click-through rate or Click-through rate. CTR.
  • Other.

CRO is - Conversion rate optimization (CRO) - Conversion Optimization. Now leading companies are moving away from the term SEO in their reports and using the term CRO as a metric more important than the number of visitors attracted.

The ultimate goal of CRO is to increase sales and meet the needs of potential customers.

Popular Acronyms

Click-through rate (CTR) - Click-through rate

Cost per click (CPC) - Click Cost

Conversion rate optimization (CRO) - Conversion Optimization

Cost per action (CPA) - Conversion Cost

Cost per conversion is the most important CRO metric you should track.

There is another important indicator that you should pay attention to. Click-through rate or click-through rate (CTR) is the most important conversion metric. CTR = (number of clicks / number of impressions) * 100.

1. High CTR leads to high conversion rates (CRO).

There is a clear link between click-through rates and conversion rates. We've seen it over and over again.

Conversion rate optimization metrics

The higher the click-through rate, the higher your conversion rate will be. Here's an example of data from one WordStream client account. We see this in many reports, but this is just one illustration. 

Data gets muddy if you merge accounts as conversion rates vary by industry and offer.

Why do we see this? If your offer is interesting enough for people to click, then that excitement tends to spread all the way down to the purchase.

It really doesn't matter where you get those clicks on your offers. This could be paid search ads, retargeting, social media, video, email, or another marketing channel.

This is what makes improving your CTR so important. If you can double your CTR, then (on average) you will also increase your conversion rate by 50%!

If you have a high click-through rate, you will get good results. Do you really just want to settle for OK?

Do you know what else is good? Donkeys. Don't be a donkey. Be a magical unicorn!

It's also important to note that the CTR will vary greatly depending on the channel and industry. For example, here's a look at the average Google AdWords search and display CTR in 20 popular industries:

Conversion rate optimization metrics

You can see that the average click through rate in the dating industry is more than double that of the legal industry.

I am not advocating offering free puppies or using other silly tricks to get your CTR up. I'm talking about finding truly innovative deals that will get your target market in awe of subscribing to what you sell right now! 

2. Conversion rates are biased.

Confusion is a big issue when looking at your conversion rates. Basically, all the conversion rate will tell you is the conversion rate of people who have previously shown interest in what you have to offer.

Let's say someone receives an offer from your company via email. These people already know you from visiting your site for one reason or another in the past, and they liked what they found. 

You know this because they signed up to receive emails from you. They are even more biased because they decided to open your email and go to your website.

So what do you learn here from the conversion rate? So, you found out what percentage of people who were already in your sales funnel and were already inclined to your product or service bought from you. This is amazing and valuable information, no doubt about it.

After all, this is how advertising should work!

But it's even more important to know how interesting is your proposal to a new audience , and not just for people who have shown an interest in the past and have now decided to look at your proposal.

Standard indicator website conversions the average is around 2,35%. But the first 10% companies see 3-5 times higher conversion rates than the average. How do they achieve such high site conversion rates?

This is not because they changed the color of the button on their home page or posted a new white paper. Let's take a look at this.

3. Ask yourself a question: why didn't 98% people convert on your site? 

What would you suggest to have a higher percentage of people get so excited that they clicked and signed up or bought it now? 

Think about it - if someone offers free samples at the grocery store, you don't pay as much attention to what the person is saying; Try a free sample if it looks delicious.

Does your offer really resonate with your market, not just people who already know and love you? Here, CTR is a useful indicator.

For example, let's say you operate in a small niche market with few competitors. Right now, your CTR is tiny, like 1 percent or lower. But you have an almost 100 percent conversion rate.

How important is conversion rate as a metric here? Not that important, right?

However, if your CTR is low, then you know that this means that people are not responding to your offer, whatever it may be. Your proposal is probably not unique or interesting enough.

If you think conversion rate is the most important metric and you don't need to change your offer. And you are wrong.

Improving your CTR will help you reach beyond your existing audience and drive more leads or sales.

Ultimately, the quality and quantity of conversions is what matters. But what key input metrics should we pay the most attention to to maximize those conversions?

Conversion rates are obviously important. But the click-through rate is index CRO number one to which I pay the most attention.

Not only is CTR proportional to your conversion rate, but it also gives you an honest idea of how your offer resonates with people who aren't already attracted to you. In most cases your market is much larger than the people who are already in your sales funnel.

High CTR is the best moment to start CRO Optimization.

You can use your click-through rate information to find an amazing offer that more people will actually respond to. And when you find an offer with a high CTR, you can focus on customizing any website while improving other CRO metrics.

Video Review on YouTube.

✓ What is CRO or Conversion Optimization?

CRO is, in simple words, an increase in the number of orders without increasing the advertising budget.

✓ How does CTR affect sales?

A high click-through rate increases website conversion (CRO).

✓ What is the average CRO, conversion rate for the site?

The standard average is around 2,35%. 

✓ How is (conversion optimization rate) CRO measured?

CRO is measured by a set of many indicators, the main of which are cost per conversion (CPA) and click through rate (CTR).

✓ What's the difference between CRO and SEO?

SEO, or Search Engine Optimization, is the process of increasing your website's ranking in organic search engine results. CRO, or Conversion Rate Optimization, is the process of continuously testing website elements to increase conversions, leads, and sales for your business.

✓ Why is CRO important?

CRO helps your brand increase awareness and increase your ROI and total income. With successful SEO and advertising, your website or landing page gets more traffic. CRO can help convert it into quality traffic. By optimizing conversions, you can generate more sales or leads with the same traffic.

✓ Who is a CRO manager?

A conversion rate optimization manager will work with key customers to improve their website performance and increase conversions.

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