Published under: CXO, Conversion Marketing, Inbound, Inbound Marketing

conversion-marketingConversion Marketing: Definition

In electronic commerce (Ecommerce), the term conversion marketing is used to signify the process of inducing a browser of your Website to purchase a product or service offered on the site. For online-retailers, successful conversion necessarily entails the sale of the item that initially triggered the consumer's interest and caused the individual to click the banner advertisement for the item.

For Inbound Marketing, conversion marketing represents the creation of a mindset in the visitor, leading to the set of victories required to successfully and gently guide the prospect through the sales funnel. A wide variety of disciplines are required to develop the customer experience optimization required for conversion marketing to be effective.

Measuring the Success of Conversion Marketing

Conversion marketing is measured by conversion rate — the proportion of site-visitors convinced or persuaded to respond to site-content and buy selected items. The equation below provides the basic conversion rate formula for Ecommerce marketers, and can be successfully applied to your own calculations:

Conversion rate = Quantity-of-sales / # of website visits

It should also be noted that conversion rates can be applied to other purposes, non-specifically sales-oriented. If, for instance, your site asks for:

  • viewers' opinions about a public issue or
  • their signing an online petition,

the term Goal-achievements (opinions generated, petitions signed, etc.) may be substituted for Quantity-of-sales in the equation, to arrive at the conversion rate for your campaign.

Three Important Factors for Conversion Marketing Success

Implementing a successful conversion marketing strategy relies on several factors to generate suitable viewer interest and response; 3 of the most important are:

  • Message content ~~ While the objective is to transform a website visitor to an actual paying customer, becoming a consistent content-resource is useful to conversion marketing. If you want consumers to convert their initial interest into a sale, you need to be certain they can rely on the stories you tell about your products. Relevant, timely content based on knowledgeable, trustworthy representations of products and ideas generate both immediate and longer-term interest in not only what you have to say, but also what you sell. Demonstrate your thought leadership with content that convinces consumers to seek the additional clarification of what you're offering, describing the specified product or service in a way that builds site-visitor interest. Dependable, innovative content creates good-will with consumers, leading to their trust and an enhanced inclination to convert their lead-interest into purchases.
  • Improve Search Engine Optimization (SEO) ~~ Make certain the links pointing to your site are sufficiently accessible and clear to generate high-level SEO. Improve your own recognition of your backlink profile by purchasing the services of a 3rd-party SEO tool (e.g., Majestic SEO, Open-Site Explorer), which can help identify such problems as:
    • excessive keyword usage, where an extreme presence of keyword-based anchor texts can lead to search engine over-optimization; the result can be confused consumers and penalization by the very search engines you depend upon for business leads, or
    • low-quality backlinks like those connected to gambling or pornography that may be inadvertently connected to your Website; these should be eliminated.
  • Personalize your approach ~~ Consumers are more likely to convert interest into purchase if they feel they are being addressed personally and respectfully. The direct objective of conversion marketing -- high conversion rates -- improves when consumers are approached with niche-specialized messages that suggest a particularly favorable relationship between your company and the consumer's needs and expectations;combine low-key sales-pitch with useful product information. Understand what your prospective customers are looking for and provide the links to satisfy those needs.

Conclusion

In all cases, the success of conversion marketing is measured by the rate of return -- expressed as the overall number of website visitors divided by the number of them who've actually completed a transaction. The higher the conversion rate, the more successful your marketing efforts, in terms of sales, opinions, signatures or your other point-of-focus.