Top 10 conversion metrics to track in 2024

Conversion metrics are essential for optimizing your marketing efforts—you can’t optimize what you don’t measure. By tracking key conversion metrics, you gain insights into what’s driving results and where your strategy may need improvement. These metrics reveal how well your content engages users and leads them to take action, helping you increase conversions and maximize ROI.

What are conversion metrics?

Conversion metrics measure how well your marketing campaigns drive conversions. In other words, they tell you whether your ads, SEO content, social media activities, etc., convince people to take a desired action—whether it's making a purchase, booking a demo, or signing up for a newsletter.

By tracking these metrics, you can identify areas for improvement and optimize using real data. This ultimately leads to increased conversions, improved ROI, and a better understanding of user behavior.

10 conversion metrics you should be tracking in 2024

Ultimately, the conversion metrics you track will depend on your needs and goals, but these provide a good starting point.

» Find out which content marketing KPIs you should be tracking.

1. Conversion rate

Conversion rate measures the percentage of users who complete a desired action out of the total visitors or leads. It reflects how well a page, campaign, or overall marketing strategy drives users to take action. It also provides insights into which audience segments and channels deliver better results.

To calculate conversion rate, use this formula:

So, if your site gets 1,000 visitors in a month and 50 convert, your conversion rate is (50 / 1,000) * 100 = 5%. The average conversion rate is usually between 2% and 5%, but this varies per industry. So, be sure to research benchmarks in your industry to set a realistic target.

» Turn traffic into sales with conversion rate optimization.

2. Cost per acquisition

Cost per acquisition (CPA) measures how much it costs to acquire a new customer. This conversion metric helps you determine whether your marketing campaigns are worth the investment. By tracking CPA, you can identify the most efficient marketing channels and budget more effectively.

Use this formula to calculate CPA:

By maintaining a lower CPA, you can also boost content marketing ROI.

» Learn how to measure content marketing ROI.

3. Cost per conversion

Cost per conversion (CPC) tracks the cost of getting a single conversion. By showing you how much you spend on each successful action, it helps you measure the profitability of specific campaigns or channels. That way, you can determine if the money you spend is justified by the results.

To calculate CPC, use this formula:

» Lower CPC by reducing content creation costs.

4. Return on ad spend

Return on ad spend (ROAS) measures the revenue generated for every dollar spent on advertising. It provides a direct look at the profitability of your ad campaigns by showing how effectively your advertising dollars drive revenue. By monitoring ROAS, you can see which campaigns generate the highest returns—both on a high and more granular level.

Use the following formula to calculate ROAS:

Say you spent $1,000 on ads and earned $2,000. Your ROAS would be 2,000 / 1,000 = $2. You can express this as a 2:1 ratio, showing $2 earned for every $1 spent, or as 200% by multiplying by 100.

» Compare SEO vs. PPC to see which offers better results.

5. Return on investment

Return on investment (ROI) measures the profitability of your marketing efforts by comparing the revenue generated to the cost. It gives you a clear picture of the overall effectiveness of your marketing spend and highlights which strategies drive conversions.

» Learn how to measure SEO ROI.

To calculate ROI, use this formula:

Tracking ROI can help you avoid wasting resources on low-performing campaigns and instead focus on strategies that contribute positively to your bottom line.

6. Click-through rate

Click-through rate (CTR) measures the percentage of people who click on a link, button, ad, etc. out of the total who view it. CTR indicates how engaging your content is and how well your message resonates with your audience.

To calculate CTR, use this formula:

A high CTR usually indicates that the elements in your content are very relevant and support the user journey.

» Increase CTR on your content pages to over 40% with Entail CRO.

7. New visitor conversion rate

New visitor conversion rate measures the percentage of first-time visitors who convert. It helps you understand if your content and calls-to-action are persuasive enough to drive new users toward conversions, which is essential for acquiring new customers.

To calculate new visitor conversion rate, use the standard conversion rate formula but apply it specifically to new visitors rather than total visitors:

Remember, first-time visitors are unfamiliar with your brand and may lack trust, so they typically don't convert. As a result, new visitor conversion rates are often lower than those of returning visitors. Because of this, you may want to measure them separately to avoid skewing your overall conversion rate.

» Improve trust by building topical authority.

8. Returning visitor conversion rate

Returning visitor conversion rate measures the percentage of repeat visitors who complete a desired action on your website. It indicates how well your brand stays top of mind and builds trust over time, motivating users to take action on future visits.

Use this formula to calculate returning visitor conversion rate:

Again, returning visitors are more likely to convert, so returning visitor conversion rates tend to be higher than that of new visitors.

» Encourage repeat visits and increase trust by creating high-quality expert content.

9. Customer lifetime value

Customer lifetime value (CLV) estimates the total revenue you can expect from a customer over the duration of your relationship. Tracking CLV can help you understand the long-term value of each customer beyond the first sale. By focusing on CLV, you can develop strategies to retain high-value customers, which can reduce the need to acquire new ones.

Use this formula to calculate CLV:

Note: To find customer value, multiply the average purchase value by the average number of purchases.

Understanding CLV allows you to tailor your marketing efforts and budget to improve customer loyalty, maximize revenue, and optimize customer acquisition strategies.

» Not sure which conversion metrics to track? Talk to a CRO expert.

10. Revenue per visitor

Revenue per visitor (RPV) measures the average revenue generated by each website visitor. It can help you understand the value of every visitor and the overall effectiveness of your marketing strategies. By tracking RPV, you get a better idea of the quality of your website traffic and the efficiency of your conversion funnels.

» Increase RPV by boosting conversions with content that converts.

Use this formula to calculate RPV:

For example, if your revenue in a particular month is $15,000 and your site gets 5,000 visitors, your RPV is 15,000 / 5,000 = $3.

Focus on the metrics that count

By tracking conversion metrics, you gain valuable insights into what increases conversions and ROI and where your campaigns may need optimizing. Ultimately, the metrics you choose should align with your business's goals. So, select the ones that best support your strategy and help you make the most impactful improvements.

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