What is the conversion rate?

The conversion rate is defined as the percentage of visitors who complete a desired action on a website, which can include actions such as making a purchase, signing up for a newsletter, or filling out a contact form. This metric is crucial for assessing the effectiveness of marketing campaigns and understanding how well the website is meeting its goals.

By calculating the conversion rate, businesses can gain insights into user behavior and identify areas for optimization. For example, if a website receives a thousand visitors and fifty of them make a purchase, the conversion rate would be 5%. This metric directly indicates how successful the site is in converting visitors into customers or leads, making it a key performance indicator for online marketing efforts.

In contrast, the other options do not reflect the concept of conversion rate. The total number of users visiting a website represents traffic volume but doesn’t account for their behavior or actions. The ratio of leads to sales provides insight into sales performance but isn’t a measure of action completion relative to overall visitors. Average time spent on a webpage refers to engagement timing rather than completion of specific desired actions.