How to calculate the conversion rate of e-commerce

E-commerce conversion rate refers to the proportion of visitors to a website or e-commerce platform who eventually turn into actual purchases or complete specific goals (such as registration, subscription, etc.). ). The calculation formula of e-commerce conversion rate is as follows: conversion rate = (conversion number/number of visitors) × 100%, where:-conversion number: refers to the number of users who have reached a specific goal, such as the number of orders actually purchased. -Visits: refers to the number of users who visit websites or e-commerce platforms.

1. How to calculate the e-commerce conversion rate?

E-commerce conversion rate refers to the proportion of visitors to a website or e-commerce platform who eventually turn into actual purchases or complete specific goals (such as registration, subscription, etc.). ).

The calculation formula of e-commerce conversion rate is as follows: conversion rate = (number of conversions/number of visitors) × 100%.

These include:

-Conversion quantity: refers to the number of users who have achieved a specific goal, such as the number of orders actually purchased. -Visits: refers to the number of users who visit websites or e-commerce platforms. For example, suppose an e-commerce website has 1000 visitors, and 50 of them actually completed the purchase, then the calculation method of the conversion rate is as follows:

Conversion rate = (50/1000) ×100% = 5%

This means that the conversion rate of e-commerce websites is 5%, that is, 5 out of every 1000 visitors finally complete the purchase.

The conversion rate of e-commerce is one of the important indicators to measure the operation effect of e-commerce. We can compare and analyze the conversion rate of different channels, different pages or different time periods, understand which factors have an impact on the conversion rate, and take corresponding optimization measures to improve the conversion rate.

Second, the impact of the conversion rate on e-commerce:

The influence of conversion rate on e-commerce is very important, which is directly related to the profit and performance of e-commerce platform. The following are the main impacts of the conversion rate on e-commerce:

1. sales growth: increasing the conversion rate means that more visitors will eventually become actual buyers, thus increasing sales.

By optimizing the website layout, product display, user experience and other aspects, the conversion rate will be improved, which will bring more sales revenue.

2. The increase of customer unit price: the increase of conversion rate is often accompanied by the increase of customer unit price.

When users decide to buy, they are more inclined to choose high-value goods or increase the number of purchases, thus improving the average value of each order.

3. Increased customer loyalty: High conversion rate reflects consumers' trust and satisfaction with the e-commerce platform.

With the increase of conversion rate, customer loyalty will also increase, and they are more likely to become repeat customers and recommend them to other potential customers.

4. Optimization of advertising effect: Conversion rate is one of the important indicators to measure advertising effect.

By analyzing the conversion rates of different advertising channels and forms, we can optimize advertising strategies, invest more resources in channels with high conversion rates, reduce advertising costs and improve investment returns.

5. User experience improvement: In order to improve the conversion rate, e-commerce platforms need to pay attention to user experience, including website loading speed, page layout, and clear and accurate product information.

By constantly improving the user experience, users' satisfaction and trust in the website can be improved, so that it is easier to complete the purchase behavior.

In short, the conversion rate is an important indicator to measure the operation effect of e-commerce, which is directly related to sales, profitability and user satisfaction. By optimizing the conversion rate, the e-commerce platform can achieve better performance and gain opportunities for sustained growth.