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Once you've determined your customer demand threshold, it's time to figure out how to get more out of your existing website traffic. The calculation of the conversion rate Conversion rate optimization activity can drive web marketing results because it is a repeatable process where you can apply simple mathematical calculations and obtain specific effective solutions to user problems. For example, a landing page with 2,000 monthly visitors that generates 60 leads per month has a 3% conversion rate. If the same landing page is optimized over time and the conversion rate increases to 7%, the number of leads generated jumps up to 140 per month.

This is the power of conversion rate optimization. Increasing a conversion rate from 3% to 7% results in a 133% increase in leads. The interesting thing is that it will be really difficult to find a better way to get more leads without significantly generating additional new web designs and development service traffic to a website. Conversion rate calculation is a very popular key performance indicator because it can be applied to a wide range of actions and contexts: from list subscriptions (lead generation), to software activation, to e-commerce purchases, as well as offline activities such as in stores, events, trade shows or physical products.



The conversion rate is calculated by dividing the number of people who take one action by the number of people who are invited to take a subsequent action (according to a specific objective). The conversion rate allows us to understand how well an email or a web page or an ad is working regardless of how many people see it. If this month we could observe 10% more sales compared to the last period, we imagine that this is a success. But if our website visitors have increased by 20% respectively, our conversion rate is actually decreasing.