Conversion rate optimization (CRO) is a powerful tool for driving exponential business growth. It can help you understand your customers better, acquire more customers, reduce cost-per-acquisition, and increase profits. In this article, we'll explore the 11 main benefits of conversion rate optimization and how you can use it to create a successful CRO strategy. Let's start by looking at the basics of conversion rate optimization.
CRO is the process of optimizing your website or app to increase the number of conversions. This can be done by improving the user experience, using social proof, and running split tests. For example, consider a website with 1000 organic visitors per month and a 2% conversion rate. After running several split tests, that conversion rate could increase by up to 4%.
This would double the number of customers without increasing traffic. Companies investing in CRO can increase profits without increasing total costs. Even a 2% increase in conversion rate can significantly increase a company's profits. This attracts new customers and boosts sales, but does not require cost cuts, joint ventures, or financing.
The benefits of conversion rate optimization are virtually limitless, but here are 11 of the most important advantages:
- Understand Your Customers Better: By optimizing your website or app for conversions, you can gain valuable insights into your customers' behavior and preferences.
- Get More Customers: By improving your conversion rate, you can acquire more customers without increasing traffic.
- Reduce Cost-Per-Acquisition: By optimizing your website or app for conversions, you can reduce the cost-per-acquisition and increase profits.
- Increase Profits: By improving your conversion rate, you can increase profits without increasing total costs.
- Free Up Money for Advertising: Increasing your conversion rate is a great way to free up money for social media marketing or PPC campaigns.
- Improve User Experience: Conversion rate optimization means customers have a smoother, more pleasant experience with your brand.
- Increase Search Engine Results: If you can minimize your bounce rate and keep your customer on the website longer, you'll get better search engine results.
- Identify Conversion Goals: Conversion rate optimization starts by first identifying what the conversion goals are for any web page or application screen.
- Iterate and Improve: There's always room for improvement when it comes to increasing conversions, and the best companies are constantly iterating and improving their sites and apps to create a better experience for their users and increase conversions.
- Gather Data for Other Metrics: CRO provides you with all the data you need to optimize other metrics and achieve greater business growth potential.
- Combine with Paid Advertising: Using paid advertising can be a great combination with conversion rate optimization, as it allows you to track the success rate of different keywords and ads.
