Kevin Frye posed a question to Jeff and me the other day asking about some of the measuring devices behind a dealer website. One of those items in question was the Conversion Rate. In trying to answer him, I realized we may not be all measuring this statistic the same way (just like how we all measure “Internet deals” differently).
Here are the various measurement methods that I know of:
- Number of form submissions by email vs. your total number of unique visitors
- Number of form submissions by email vs. your total number of visits
- Number of form submissions by email vs. you number of form views
- Total number of leads from your website vs. your total number of unique visitors
- Total number of leads from your website vs. your total number of visits
- Most traditional definition: number of purchases from the website vs. the total visits
I’m sure there are more ways to measure, but those seem to be the most basic….or universal.
So, when someone says the average dealer website converts at 2-3%, what does that mean? How was that percentage derived? Some site providers would say you need to measure the effectiveness of your forms; making number 3 the conversion rate method of measurement. It also shows a much higher percentage when you look at things that way.
Regardless of which method you may use to measure your conversion rate, watching it is important. A small change that makes the number go up or down might be worth looking at and either applying that change more or getting rid of it. If you’re not watching this little statistic, shame on you, but if you are and have been, how are you measuring it?