As a business owner you need to know how the actions you take impact your bottom line. The action that leads someone to buy from you (or not, as the case may be) is called a “conversion rate.” It is important to be able to measure these conversion rates because if you don’t, you’ll never know whether the things you are doing are actually helping you or hurting you.
Objectivity is Key
If you really want to figure out how to maximize your revenue, you are going to need to be able to take a step back from your business and look at it objectively. If this is hard for you, it is definitely worth the expense to hire an expert to help you out. There are plenty of them out there (like www.extraprise.com) that are waiting and willing to help you make sure that your business is doing the best it possibly can. The great thing about hiring an outsider is that, because they aren’t as close to your goals, they will be able to come up with all sorts of things that you can do that you might not have ever thought about on your own.
Learn the Lingo
There are several different types of conversions that you are going to want to be able to measure. Learn what they are so that you can get the most accurate numbers possible. More importantly, know what each of these types of conversions actually is and how they affect your bottom line. For instance, are your marketing efforts bringing in lots of visitors? Are those visitors then going on to actually purchase what you are selling? How long does it take them to do so? Each of those questions refers to a different type of conversion rate and knowing those numbers will help you pinpoint what you are doing right (or wrong, as the case may be).
Test, Test, Test
You are going to hear a lot about testing as you learn more about the best ways to measure your conversion rates. This simply refers to the act of trying something out to see what happens. The most popular type of test is called the Split A/B test. This is where you do two different things that are aimed at the same goal and see which thing gets the best result. This can be as simple as using two different sales pages or traffic funnels. The key to success here is patience. You aren’t going to get good numbers in a couple of weeks. You need to let the tests run for a while to see what they really do (or don’t) for you.
These are just three of the things that you need to know if you want to be able to successfully measure your conversion rates. Don’t worry if it seems overwhelming or complicated now. It will get easier the longer you work at it.