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What is more important than getting more web
site traffic?
Many webmasters focus on getting more traffic to their web
sites. While getting visitors is very important, it is much
more important to increase the conversion rate of your web
site.
This article will tell you why improving your conversion
rate will have a much higher effect on your web site than
getting more traffic.
The conversion rate of your web site is the ratio of sales
to visitors to your web site. If your web site gets 30,000
visitors per month and 300 of these visitors purchase something
from your web site then your conversion rate is 1/100 or
1%.
Scenario 1: Increase your sales by getting more
traffic
For example, you could use IBP to
improve the search engine rankings of your web site to
get more visitors. Or you could run ads on Google AdWords
to get 500 additional visitors per day.
That would be 15,000 additional visitors per month and
a traffic increase of 50%. You have to invest a lot of
time and money to get 50% more traffic. Is it worth it?
Let's say that you sell a product that costs $50. Before
increasing the traffic to your web site, you had 300 sales
per month = $15,000.
Now that you have 15,000 additional visitors per month,
you'll make an additional $7,500 per month (Your conversion
rate is 1%. That means that 150 of the 15,000 new visitors
will buy the $50 product from you).
That means that you'll earn a total of $22,500 after getting
more traffic to your web site.
That's not bad. However, depending on how you got that
extra traffic (pay per click, search engine optimization,
ads, etc.) you had to pay a lot to get these additional
sales.
Scenario 2: Increase your sales by improving your
conversion rate
On the Internet, you'll find many articles that
explain how to increase the conversion rate of web sites.
You have to tweak some web page elements, you have to write
good copy, your web site must be clean, visitors must be
able to immediately see the benefits, etc.
After some tests, your conversion rate might go up to
3%. Depending on how your web site looked before, this
is not hard to do.
Although you still have just 30,000 visitors per month
you now make a total of $45,000 per month.
Your new conversion rate is 3%. That means that 900 of
the 30,000 visitors will buy the $50 product from you.
And you don't have to pay for traffic to get these additional
sales.
Do you want $22,500 or $45,000?
It's much easier to increase your conversion rate than to
increase your traffic. You can quickly change the contents
of your web page and you can quickly test different options
on your web pages.
Increase your traffic and you'll earn $22,500. Increase
your conversion rate and you'll earn $45,000. To increase
the conversion rate of your web pages, you just just to spend
some time to learn and to tweak your web pages.
That's where AxROI comes
in. AxROI tells you how many of your visitors buy something
on your web site and how much they spend on your web site.
If you use AxROI with different landing pages you can quickly
find the web page on your web site that delivers the highest
conversion rate.
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