Ecommerce Conversion Rates Are ultimate top-line metric For online store owners. With this data, you can see whether changes you make to your site have a positive or negative impact on how many visitors convert.
While this is important, there is often confusion about what is considered a reasonable conversion rate. Before you evaluate whether your ecommerce conversion rate is good or bad, you should evaluate how your performance measures up against your industry standard.
In this article, you’ll learn about ecommerce conversion rates, conversion rate benchmarks across industries, and how you can improve your results. Let’s dig
ecommerce conversion rate
An ecommerce conversion rate (CVR) is the ratio of the total number of visitors to your site compared to the total number of people who make purchases on your site.
For example, let’s say that 30 of 1,000 visitors to your online store made a purchase.
To calculate your Ecommerce CVR, take the total number of people who completed checkout (30) and divide it by the total number of site visitors in the same time frame (1,000). In this case, your Ecommerce CVR would be 30/1000 = 0.03 = 3%.
Today, many ecommerce retailers sell on multiple platforms. You need to aggregate your site visits and conversions in one place.
You can take advantage of a tracking spreadsheet or find a technical solution to track your performance across platforms.
We’ve created a free e-commerce conversion rate tracker that you can download HereWith an ecommerce marketing and sales plan template in our ecommerce planning kit.
Featured Resources: ecommerce conversion rate tracker
Why is your ecommerce conversion rate important?
Your ecommerce conversion rate is critical to the success of your online shop.
For example, you can drive 50,000 views per month to your website through advertisements. If you have a poor user experience on your website or your product descriptions are not effectively communicating value, you may only be able to convert a small percentage of that traffic into customers.
Ecommerce CVR is also a valuable metric to track over time to see if the improvements you’re making to your website, product assortment, product description, checkout process, or any other aspect of your online store are actually working. How is it affecting your business bottom line?
What is a good ecommerce conversion rate?
Don’t compare your ecommerce CVR to an aggregate benchmark that aggregates CVRs across industries. CVRs vary wildly across ecommerce sectors. Try to find conversion rates for your category or industry to use as a benchmark.
You don’t just have to look at the numbers. Conduct a cost-benefit analysis and make sure that you make more money than you spend selling your products online. From there, focus your time on optimizing your site beyond it’s current state.
If you have one category of items with an excellent conversion rate, you can also aim to bring all categories up to that standard. With that approach, you can rely on CVR benchmarks that reflect your specific target persona, not someone else’s.
If you’re starting from scratch, see below for industry-specific benchmarks supported by recent research.
Ecommerce Conversion Rate Benchmarks by Industry
come from the numbers below irp commercethat continuously collects data across multiple industries and shippro, The numbers were most recently updated in December 2022.
- Agriculture: 0.62% – 1.41%
- art and craft: 3.84% – 4.07%
- baby and toddler: 0.87% – 1.43%
- Driving a Car and a Motorcycle: 1.35% – 0.65%
- Electrical and Commercial Equipment: 2.49% – 1.31%
- Fashion, Clothing & Accessories: 1.01% – 2.20%
- Food & Beverage: 1.00% – 2.01%
- health and wellbeing: 1.87% – 4.20%
- Home Accessories & Giftware: 1.55% – 2.34%
- Kitchen & Home Appliances: 1.72% – 3.00%
- pet Care: 2.53% – 2.20%
- Sports and Recreation: 1.18 – 1.62%
ecommerce conversion rate optimization
- Insert explainer videos on your product pages.
- Give your visitors a clear set of product images.
- Get your copy tight.
- Add a chat feature to your website.
- Test different call-to-action (CTA) placements, options, and wording.
- Add social proof with stellar customer reviews.
- Offer free shipping.
- Improve your checkout process.
- Allow guest checkout.
- Add additional payment options.
1. Place explainer videos on your product pages.
It can be challenging to judge size, fit and material quality from photographs. The video displays more details. Add videos that show your products from different angles and allow people to see them in action.
You’ll also want to take into account the growing number of people who prefer to watch videos over text.
2. Give your visitors a clear set of product images.
There’s nothing more frustrating than looking at the small details of an item you’re considering buying online, only to find out you can’t zoom in.
Your ecommerce site should include images of your product from different angles and allow potential buyers to zoom in on product images. Doing so will allow these potential customers to get more accurate information about your product before making a purchase.
3. Tighten your copy.
make sure your Product Details are grammatically correct, easy to understand and well structured. It’s important to keep your ideal buyer in mind when writing your product description.
In some cases, retailers may have a few identical products that differ only on the basis of size. While product specifications should reflect the various product dimensions, it is fine to omit copy that describes the product’s use.
On the other hand, if you’re selling something like a body care product, you can write entirely new copy to describe who each product is suitable for, the different sensory elements of the product, and the look and feel of each.
On the baseline, always include product measurements, material specifications, warranty information and any other information that may be important to your purchase of the product. With this information, you won’t lose a potential customer who is wondering about an important detail.
4. Add chat feature to your website.
You can’t answer every question someone would have with your product description. However, while you want to do everything you can to persuade someone to buy your product when they’re already on your site, look at chat as another opportunity.
Chat can be a powerful tool to bridge the gap between your product description and the information someone is looking to buy.
Customers can ask questions about your brand, shipping policies, and anything non-product-specific without leaving the web page of the product they’re about to buy.
5. Test different call-to-action (CTA) placements, options, and wording.
Changing your CTAs is an excellent way to optimize the conversion rate of a website. Switching up the copy within your CTAs, the options people have for the next place they can go, or the prominence of those CTAs can be low-effort, high-impact ways to encourage people to buy.
Studies have found that most CTA tests do not produce statistically significant results, but those that do produce a large effect, with 49% average on-page conversion lift,
You won’t know what conversion rates you’ll see until you start experimenting with every little aspect of your site.
6. Add social proof with great customer reviews.
It is becoming increasingly easy for companies with cheap, low-quality products to provide comparable on-site experiences and images. This assures buyers that their products are the same as other products on the market, just less expensive.
However, one element that is difficult to fake are customer reviews. Let your customers review your products to prove your quality. If you’ve got good reviews, consider moving them up on product pages. Social proof can positively influence the buying decisions of potential customers.
If you don’t have a solution that allows customers to automatically leave reviews, collect quotes from people who have bought from you before. Add several to each of your product descriptions.
Remember that you can always run A/B tests by tweaking the design and placement of your testimonials. You’ll soon find out what works best.
7. Offer free shipping.
We recognize that offering free shipping is not the cheapest option. However, the ROI can be huge. Many people prefer to visit a local store when it is much cheaper to drive 15 minutes than to pay $5-10 for shipping.
Free shipping lowers the perceived barriers to ordering something online. This means you may end up with more people making purchases. The revenue from those additional customers can more than offset the loss incurred by paying for their shipping.
You can also set a minimum purchase amount before free shipping is applied to an order. You will encourage your customers to spend a little more on the products to avoid paying the shipping cost.
8. Modify your checkout process.
There are dozens of small changes you can make to the user experience of your checkout process. Two of our favorites are removing unnecessary fields and adding a progress bar.
It’s tempting to collect additional information about your buyers during the checkout process, but additional questions increase the time it takes to buy. Many people cannot be that patient.
Progress bar can have two advantages.
- First, they can ease shoppers’ concerns that they don’t have time to complete the checkout process at this point.
- Second, they give people a sense of accomplishment after each step they complete, creating positive momentum toward completing their purchase.
9. Allow guest checkout.
Allowing people to create an account makes sense for repeat buyers. But if you require people to create an account to make their first purchase, you could be losing out on potential customers. Additionally, some people do not like to save personal information online.
Trustpilot reports that account creation is required at checkout The second biggest reason why people abandon vehiclesComing right down to paying for shipping.
People who are frequent shoppers will eventually create an account if they feel comfortable keeping their information secure. In the meantime, don’t add extra steps to the checkout process for people who are ready to buy.
10. Add additional payment options.
A study of the merchant payments ecosystem revealed 50% of consumers will end the transaction If they cannot find their preferred payment method.
Consider running a survey to understand your customers’ preferred payment methods and add the one that’s most convenient for them.
By meeting your customers where they are, you’re potentially eliminating a nuisance (i.e., going to another room to get a different credit card) or an outright roadblock (i.e., access to any of the available payment methods). not accessible). You’ll also create a smoother user experience.
Improve your conversion rates.
By tracking relevant website metrics, you can find out what your current conversion rate is.
Find the right tools to help you optimize your conversion rates. Then, experiment to see what results.