What is conversion rate?
Conversion rate is the share of visitors who complete the goal, such as an order or an inquiry.
For e-shops it is usually 1 to 2 %, for lead generation a few percent. It depends on the offer, price, website speed and trust much more than on the ad.
Conversion rate is often the easiest lever: improving it from 1 % to 1.5 % cuts the cost per order by a third.
Formula
Conversion rate = conversions / visitors x 100
Example
1,000 visitors, 15 orders. Conversion rate is 1.5 %.