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All terms
Metrics & economics

Conversion rate

Conversion rate is conversions divided by clicks (or sessions) — the share of traffic that completes the goal action. Ecommerce paid traffic typically lands between 1.5% and 3%.

— In practice

Conversion rate is the most powerful budget lever most teams ignore: raising it from 2% to 2.5% cuts the required ad budget by 20% at identical revenue. Landing page and offer work is usually the cheapest budget reduction available.

Define the denominator consistently (clicks vs sessions differ by 10-20% through lost clicks and multi-visits), and segment by intent: brand traffic converting at 8% blended with prospecting at 1.2% produces an average that describes nothing.

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