Conversion Rate (CR)
The percentage of visitors who completed a desired action. Average: 1-4% for purchases, depending on category.
In practice
CR is the 'health' of the store. Doubling CR from 1% to 2% doubles revenue from the same traffic, with no extra advertising spend.
Common misconception
'A CR of 1% is always bad.' A $2,000 luxury jewelry item might have a CR of 0.3% and still be profitable. Always compare against category and price.
How to fix it
Low CR? (1) Watch Hotjar recordings of 10 visitors who didn't buy, (2) CR by source — organic usually converts 2x better than Facebook, (3) CR on mobile vs. desktop.
Example
A flower shop: overall CR 1.4%. Segmented by source: Organic 3.2%, Facebook 0.6%, Shopping 2.1%. Directed ad spend to mimic Shopping — overall CR rose to 2.3%.
Priority
Improving CR comes before increasing budget. Below 1% CR, every extra ad dollar is a loss.
Related terms
Keep learning. Metrics that touch the same area:
- Bounce RateAnalyticsThe percentage of visitors who left after viewing only one page. In GA4, replaced by engagement rate — the percentage of visits with 10+ seconds, a conversion, or 2+ pages.
- ConversionAnalyticsA desired action a visitor takes — a purchase, sign-up, form submission. The basis for measuring marketing success.
- ATC – Add To CartAnalyticsThe action where a visitor adds an item to the cart. Average ATC rate: 8-10% of product page visits.
- Cart AbandonmentAnalyticsA customer added an item to the cart but didn't complete the purchase. Average: 70-75%. One of the biggest opportunities.
- Open RateAnalyticsThe percentage of recipients who opened the email. Average: 20-25% in eCommerce.
- Click RateAnalyticsThe percentage of recipients who clicked a link. Average: 2-3%. A CTOR (click-to-open rate) of 10-15% is a good target.
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