Here, we’re about to define conversion rate (CR), one of the most important email marketing metrics. After the brief definition, we will provide you with a manual on how to use our CR calculator.
Defining conversion rate
The word “conversion” clearly speaks for itself. Conversion is a process of transforming or turning something into a different thing. In terms of eCommerce, CR indicates the performance of marketing efforts converted into a precisely measurable incomes index. Every email campaign we run has its specific purpose or a targeted action we convince readers to perform — make an order, visit a blog, etc. The metric allows us to estimate our conversion — the percentage of recipients who completed the desired action after reading our email.
Why measure conversion at all?
No matter what industry or niche we are in, conversion is our top objective. We invest money and efforts into digital marketing. We adopt a wide variety of sophisticated practices. We use AI-based tools to design our emails and plan the campaign with a creative approach… We do all that to reach our planned goals. CR is the metric that expresses the outcome of our marketing strategy.
Advantages of the CR metric over other metrics
When we track, say, click-through rates, we can only approximately estimate the engagement of users. However, by knowing the CR, we can precisely measure in numbers how people react to our CTAs. This metric compares the number of positive responses to the total number of contacts; that’s why it is considered one of the most accurate and useful metrics. Using this indicator, we can conveniently analyze multistage processes, including the intermediate and final results. For example, when the marketing strategy consists of the stages “attract — hook up — retain — engage — sell,” using our website CR calculator, you can calculate the CR at each stage, dynamically track the changes, and forecast the final CR.
How to calculate CR?
OOf course, you can do it using our CR calculator. Nevertheless, we’d like to show you the formula. It’s very simple:
- determine the email campaign or period of time you want to find the CR index for;
- take the total number of clicks on CTA items for the campaign/period;
- take the number of completed conversions;
- divide the number of conversions (performed actions) by the number of visitors (clicks);
- and multiply the result by 100.
That’s all. Let’s make an online web conversion with our tool. In total, 450 subscribers have read our promo newsletter, and 60 of them ordered gadgets through the CTA button with a hyperlink to our online store. Divide 450 by 60: the result is 7.5. Multiply it by 100, and voila: our CR is 750%.
Too routine? Use the Stripo percentage calculator online: the CR can be calculated even faster — just insert the numbers in two fields of our calculator and save more time!