What is a "good" conversion rate for your eCommerce business?
This is a guest blog from our friends at Endertech, an L.A.-based web and software development and design company. The content and infographic below have been adapted from this previously published article.
If you’re running an eCommerce business, there are hundreds of things you could measure, test, and optimize. You can A/B test your ads, optimize your site to improve your SEO performance, pump out more blog content, or any number of other options.
One thing many eCommerce businesses overlook, however, is conversion rate optimization. (Learn more about eCommerce conversion funnels.)
Conversion rate optimization is the process of improving sales by increasing the number of visitors who end up making a purchase on your website. This is a powerful way to improve sales numbers because a small increase can easily add up. If you’re currently selling $1,000 per month in product, improving your conversion rate from 1% to 2% would double your sales to $2,000 per month.
So, how do you measure your conversion rate performance? What is a good conversion rate for an eCommerce business?
The answer is: it depends.
Overall, the average conversion rate for eCommerce businesses is around 2-3%. However, there are a number of factors that influence this metric, including the industry you’re in, the product you sell, and where your traffic is coming from.
This makes it difficult to give a direct answer to the question “what is a good conversion rate?” We created the infographic below to provide some data points around conversion rate and help companies understand how this metric might be influenced by different variables. This way, you can construct an answer that’s specific to your own business.