Studies show that only about 22% of businesses are satisfied with their conversion rates.
Is your business in that lucky and minor group, or are you struggling with optimizing your website’s conversion rates?
The average landing page conversion rate across all industries was 2.35%. So, if you’re already obtaining a conversion rate between two and five, should you stop there?
Not if you want to get competitive in your industry. 💪
In fact, most companies are not after the ‘average.’ They want the high-reach conversion rates to gain good traction in the marketplace. 25% of top companies convert at or higher than 5.31%. However, if you want to take your seat among the top 10%, your ideal conversion rate should be above 10%.
Don’t let this number put you off. You’ll find simple methods to reach it with conversion rate optimization (CRO) and answer “what is a good conversion rate” by industries.
Here’s what we’ll cover:
A good conversion rate is higher than 10%, with a small percentage of businesses obtaining 11.45% on average, while this number varies based on industry and channel. Reaching a conversion rate of 5.31% or higher can place your company among the %25, making your conversion rate twice better than the average conversion rate.
Achieving an 11.45% or higher conversion rate gets you among the top 10% of global advertisers and makes your company’s conversion rates five times higher than the average.
Note: A good conversion rate for some industries like e-commerce is between 2 percent and 5 percent. We will talk about industry averages under the following subtitle.
Conversion rates are contextual. An online store selling high-end electronics will not have the same conversion rates as a store selling hand-made items.
Some of the variables that may impact conversions:
When answering the question, “what’s a good conversion rate” we must underline that conversion rates often vary by channel or medium. These factors impact what qualifies a conversion rate “good.”
For example, sellers on Amazon earn and maintain an average conversion rate that would leave behind what the industry deems as “good.” Perks of using a platform; Amazon also boosts their organic search conversion rates, which exceed 10%.
However, regardless of these differences, it’s still best to aim for 10% or higher conversion rates.
Here’s a table covering the paid and organic average conversion rates across different channels like Google, Amazon, and Microsoft Advertising.
|Channel||Average Conversion Rate|
The latest studies show that the average conversion rate for e-commerce websites is 2.86%. The average e-commerce conversion rate in the US is 2.63%, while the global website conversion rate is 4.31%. 2%+ is considered a good e-commerce conversion rate, given that the averages are lower than other industries.
Note that e-commerce conversion rate averages slightly differ based on product type, market, and device.
Growcode’s chart below provides excellent visualization of the wide variation of e-commerce conversion rate averages between different industries.
Wondering “what is a good conversion rate for websites”?
A conversion rate between 2 and 5 percent is considered to be good for websites.
As you can see from the table above, average conversion rates vary by industry. For example, e-commerce conversion rates are much lower than finance. However, these numbers are 5 times higher for the top 10%, regardless of the industry.
A well-detailed report by Unbounce clearly breaks down median to average conversion rates by industry in the graphic below:
It’s important to note that if you’re in a high-performing industry like finance, 5% isn’t an optimal conversion rate.
Therefore, comparing your conversion rates to the average conversion rate across all industries can be misleading to think that you’re doing better than you really are. In fact, the top 10% is achieving almost 5 times better and outperforming you.
But what can you do to get there? You’ll know by the end of this post. Before that, let’s get back to our main question, “what is a good conversion rate” but mainly for landing pages.
The average landing page conversion rate is around 2.35%.
However, a study by Unbounce shows that this percentage is only near the median. Unbounce studied 74.5 million visits to more than 64.000 landing pages created with their platform.
The landing pages in the report cover 10 different industries; travel, real estate, health, business services, credit/lending, home improvements, higher education, legal, and vocational studies/job training.
Here comes the interesting part…
Best conversion rates varied significantly across different industries. The median conversion rate hovered somewhere between 3 and 5.5 percent.
The gist of it is your landing page conversion rate depends on many factors, including audience behavior and environmental demand.
We recommend that you don’t settle for an average and work on landing page optimizations to attain better conversion rates. From average to outstanding—that should be your route. 🚀
If you know how to use them right, popups can quickly bring you a considerable conversion boost, and you won’t be annoying anyone.
Here are some simple tricks to get the highest conversion rates from your popups:
With these combinations, you’ll drive more conversions without disturbing the user experience.
Online shoppers are seeking social proof like crazy. They want to see if your brand is trustworthy and whether your product is worth buying.
Customer testimonials are highly influential in shoppers’ decision-making process. In fact, I can’t stress enough how vital they are for your conversion rates. It is understandable since customers tend to trust more to each other than the marketing talk or the company.
When you combine smart marketing tactics with testimonials and product reviews, you can leave a unique impression on passive visitors so that more convert into buyers.
Have you checked if your customers abandon their shopping carts without completing the purchase?
If so, you’re not alone.
The average cart abandonment rate across all industries is 69.80%.
Here are a few quick tips on how to combat cart abandonment and improve conversion rates:
To drive more conversion rates from calls-to-action, you should consider putting aside generic ones like “Sign up” and “Buy now.”
For example, you try adding “Yes” to your CTA; “Yes, I want my coupon!”
Another way of using longer CTAs is to evoke an emotional response in users. In that case, incorporating more modifiers will get the desired effect.
Try different CTA buttons and copy to see which one brings more conversions and clicks. Heatmaps and recordings will tell you whether users are avoiding CTA buttons.
This way, you’ll know the problem and work on improving your CTA copy.
High converting websites often have superb customer support.
Many visitors experience toing and froing on between buying or not buying your product. That last bit of doubt keeps them from taking the desired action.
Live chat tools are the perfect fit for helping out prospects in doubt.
They are easy to add to any website and provide a simple way for customers to contact you, ask questions, and request assistance. Once you start solving prospects’ problems and clear away their questions regularly, you’ll see your conversion rates improving.
Most online shoppers fall into FOMO and buy before a limited-time offer ends. So, you can capitalize on that feeling by adding a countdown timer to your landing page close to your CTA button.
The simple addition of a countdown timer, which takes just a few minutes, will boost your conversion rates.
Marketers and business owners know that online or not, consumers avoid risk and putting their money at stake unless they trust the brand.
Therefore, providing money-back guarantees is important for increasing conversions and creating the best user experience possible.
Although money-back guarantees are not considered to be a shortcut to boosted conversions, they can be quite beneficial for customer trust and user experience. Simply highlighting your money-back offer will make your customers feel more secure and eventually contribute to your conversion rates.
Just think about it; wouldn’t you want your money back if a product or service you paid for sucks? I know I would.
Pro tip: If you want to know why people ask for a refund, you can ask them why with a simple form.
Here’s a beneficial video about money-back guarantee by Neil Patel:
Do you still have more questions about conversion rates? Let’s round up a few more.
The average conversion rate for Google Ads falls around 3.75%.
Google Ads mobile benchmarks show that the average conversion rate in Google Ads on mobile is 3.48% on the search network across all industries. To build a good conversion rate for your Google Ads campaigns, you should be aiming for 5.31% or higher.
It’s possible to achieve more conversions from your Google Ads campaigns by optimizing your landing page design, writing appealing and targeted copy, and refining campaign targeting.
Google Ads click-through rates benchmarks on mobile across varying industries show that:
The cross-industry average CTR in Google Ads on mobile is 4.10% on the search network and 0.6% on the display network.
The average conversion rate for pay-per-click (PPC) advertising is around 2.35%. If you want to drive a “good” conversion rate from your PPC campaigns, you should set your conversion rate goal to 10% or higher.
There are several ways to optimize your PPC campaigns for better conversion rates, including testing different ad copy, targeting, and offers. To get insights for optimization, you need to conduct a PPC audit and analyze your previous campaigns.
The average conversion rate for Amazon ads falls around 9.47%. Organic Amazon listings earn between 10 and 15 percent of the average conversion rate. To achieve a good conversion rate for Amazon, you should aim for 12% or higher.
While it depends on the industry you are in, generally, a conversion rate of 2% to 5% is considered to be good for email marketing. According to MailChimp, the average open rate for emails is across all industries is around 21.8%
So, now you have an answer to “what's a good conversion rate.” Hopefully, you can use these conversion rate optimization tips to lead a more holistic and effective CRO strategy.
Need a hand in keeping all our tips in mind? Here are all key takeaways in a nutshell 🐿️:
And that’s a wrap! 🎬 If you have any questions, comments, or additional suggestions for your fellow marketers and business owners, feel free to leave a comment below. 🙂