What Constitutes Good E-Commerce Conversion Rate?

In the field of e-commerce, a website’s conversion rate perfectly illustrates how successful (or unsuccessful) an online business is. When it is low, it means that the business is losing customers and it will lead to the inevitable closure of the venture. When it is high, then you can expect the business to thrive and live on for a couple of years.

In this article, I will delve deeper into the topic by giving you the things that constitutes good e-commerce conversion rate.

What is Conversion Rate?

Before anything else, I want to define it first. Conversion rate is a term used to define people who go to your website and ultimately click on your call to action button- with the intention of finding out what your business is or making a purchase.

This is a very useful and important metric for business owners because it lets them know how efficient their ventures are in terms of gaining profits.

Conversion Rates in Various Industries

Of course, conversion rate varies depending on the business sector you are in. According to Littledata’s information, the lowest conversion rates tend to be in the Home and Garden industry and the highest tends to be in the food and drink industries.

According to the research, the home and garden sectors typically do not shop for home tools in online stores as they want to make the purchase in storefronts.

Conversely, we need food to survive and people want the convenience of having their food delivered to them as opposed to ordering a take out by themselves.

How to Improve Conversion Rates?

Improving your e-commerce website’s conversion rate is actually very simple and it has something to do with optimizing your webpages to help elevate the user experience. Below are just some tips to improve your conversion rate.

1. Create a Virtual Showroom

Your customers will have no way to interact or see the products that you have on offer by themselves, which is why it is important in your part to provide them with some pictures and videos so that they can easily see what they’re actually looking at.
By giving them high-quality pictures and videos of your products, it will help convince your customers to actually make the purchase.

2. Simplify the Checkout Process

Look, people do not want to be bombarded with messages and forms that tell them what to do, especially when it comes to checking out.
To not get into your customer’s nerves, it will be in your best interest to make everything so much easier for them.
Perhaps, getting only their important information and letting them checkout their carts in as few clicks is possible can certainly help.

3. Implement a Review System

Social proof is one of those things that can really help influence people make the sale. That is because potential customers will be entice to purchase something if they see that the product is actually well-received.

4. Optimize Your Website

By making your website mobile-friendly and making it fast at the same time, you will further help improve the user experience which can also affect and improve your conversion rate as well.