What is a Conversion Rate?

What is a Conversion Rate?

A conversion rate is a measure of the percentage of email subscribers who respond to a call-to-action in an email marketing campaign or promotion. The call-to-action could be to ask subscribers to buy something, register for an event, book a sales call, download digital materials like ebooks and whitepapers, etc. 

How to Calculate an Email Conversion Rate

To calculate your email conversion rate, take the number of subscribers who perform a requested action, divide it by the total number of subscribers you sent the campaign, and multiply it by 100. How to calculate an email conversion rate For example, let’s assume you want to calculate the email conversion rate on an event registration campaign. If you sent the campaign to 1,000 subscribers and 270 of them registered for the event, your conversion rate would be: (270/1000) X 100 = 27%

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  For email marketers, Google Analytics has a few other tricks that will track conversions and give accurate metrics that, if used correctly, will increase conversion rates and get the results wanted and needed for maintaining and building successful outcomes. Google Analytics allows you to configure your newsletter links with five different parameters that will trigger a reporting metric. Here are all five parameters and their values: UTM parameters
  • utm_source = to identify the source sending traffic to your property
  • utm_medium = to identify the medium of the traffic source
  • utm_term = to identify paid search keywords if you’re running ads
  • utm_content = to differentiate links within the same ad, email, or post
  • utm_campaign = to identify the campaign
  Adding any combination of the five parameters for tracking activity on a link can help you identify how to improve your campaigns. Plus, you will see how successful you are at getting email-generated traffic to make additional purchases, request quotes, download marketing material, or perhaps some other goal unique to your marketing campaign. Let’s assume you want to create a link to track how much traffic your email list sends to your website, your link with tracking tags would look something like this: https://www.yoursite.com/big-sale.html?utm_source=newsletter&utm_medium=email&utm_campaign=March__2022.

What is a Good Conversion Rate for Email Marketing?

What is a Good Conversion Rate for Email Marketing In 2021, the average email conversion rate was around 15.22%. So, a good conversion rate would be 16% or higher. However, you also need to consider that some industries have higher conversion rates than others, so take the time to research the average conversion rate in your industry to see how your campaigns measure up.

What is Conversion Rate Optimization and Why is it Important?

Conversion rate optimization (CRO) is the process of improving the percentage of email subscribers who respond to a call-to-action in an email marketing campaign or promotion. Your conversion rate is a crucial metric as it helps you measure how successful your campaigns are. A low conversion rate usually translates to low sales, which most businesses don’t want. Because of this, you need to take steps to improve your conversion rate.

How to Improve Your Conversion Rate

If you’ve measured the conversion rates on your recent campaigns and noticed they’re not as high as you want them to be, here are five strategies you can use to improve them.

Conduct A/B Testing

A/B testing is the process of testing different versions of a campaign to see the one that performs better. You won’t know what your subscribers like until you ask them. A/B testing is one way to ask them without making them think too long about the answer.   You can test different campaign elements like the subject line, CTA buttons, copy length, etc.  As you carry out A/B tests on your campaign, it’s best practice not to test all these elements at once, as doing so can make it difficult to identify the elements making your campaign work.

Use Personalization

Email personalization involves using specific information about a subscriber in the messages you send to them.  The most common type of personalization is using a subscriber’s name in an email. However, you can also personalize a message based on a subscriber’s location and preferences. Some of the positive effects of personalization, besides helping you improve your conversion rate, include more engagement, improving the subscriber experience, and helping you stand out in a crowded inbox. Use Personalization

Segment Your List

Segmentation helps you avoid sending the same message to every subscriber on your email list. As such, you can reach the right people with the right message at the right time. For instance, segmenting your list based on location can help you avoid sending emails about your New York event to folks living in Los Angeles since it might be too far for them to attend. Other proven ways to segment your email list include by demographics, time last purchased, sales funnel position, subscriber interest, etc.

Improve Email Deliverability

Sometimes, your conversion rates might be low because your emails are not reaching your subscribers’ inboxes in the first place. To improve your conversion rate, you’ll need to work on your email deliverability. Some email service providers, like iContact, offer email deliverability services to ensure your emails pass the spam test and get opened.

Create Optimized Landing Pages

As you’re trying to get people to click the link in your email, you also need to ensure that where you’re sending them to is optimized for conversion. In most cases, those links lead to specific landing pages.  How to optimize your landing page To optimize your landing page:
  • Use headers that grab attention.
  • Get rid of any clutter.
  • Optimize the page for mobile devices.
  • Have a singular purpose and CTA for the page.
  • Use social proof to make the page trustworthy.

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