Cookie Preference Centre

These cookies are required for the site to work and therefore can't be removed: Grav session cookie (necessary, cannot be removed).

Third-party tools used to monitor performance and improve the user experience: Google Analytics, Google Optimize.

Widgets added to the site to provide additional features: LinkedIn.

Are you ok with optional cookies? They let us give you a better experience and improve the content we publish on this site.

Your cookie settings have been updated

Get more sales: generate more traffic or optimize conversions?
5 yrs ago Reading time: 1:54 minute
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Donec ultricies tristique nulla et mattis. Phasellus id massa eget nisl congue blandit sit amet id ligula. Praesent et nulla eu augue tempus sagittis. Mauris faucibus nibh et nibh cursus in vestibulum sapien egestas. Curabitur ut lectus tortor. Sed ipsum eros, egestas ut eleifend non, elementum vitae eros.

Conclusion: depends where you are in terms of volume, can testing really bring something

2 - Could CRO really make a difference for my business?

SLIDE

Let me put it that way: if you need to increase your sales you basically have 2 options to choose from:

  • either you spend money on acquiring more traffic (and keep converting that traffic at the same level)

  • or you invest in CRO to convert more of your visitors into customers (without bringing additional traffic)

SLIDE

Let’s compare both options by taking an example. Let’s say I need to improve my sales by 50%. I currently get 5,000 visitors a month. For now I convert 2% of this traffic on average, which represents 100 transactions a month. I only sell 1 product that costs $50 so my monthly turnover is $5,000.

If I were to improve my sales by 50% to get a $7,500 monthly turnover I would need to choose between:

  • spending an extra $1,250 on acquiring new traffic

  • or improve my conversion rate from 2% to 3%

I am a rational person so in a perfect world I would choose whichever option is the most cost-effective, which means that I will pick CRO if - and only if - it costs less than $1,250 to get a +50% conversion boost. We are not, however, in a perfect world, and it is not possible to predict by how much you will be able to improve your conversion rate if you spend $1,250 (either in time spent or money) on CRO. It just doesn’t work that way.

Still - and even though CRO might sometimes be more expensive to achieve the same result - I definitely recommend you pick CRO. Why? Because I am a conversion consultant! No just kidding! Because any conversion increase created during that month will last long-term whereas you would need to spend $1,250 every month to keep selling 50% more products. So even if you don’t get a positive ROI right away it will definitely pay off after a few months. And you will be able to get a higher monthly turnover without having to spend more money on acquiring traffic every month.

I encourage you to run the numbers for your business and see which option would be the most beneficial.

Written by:

Thomas Porhel

Thomas runs happyWeb' CRO department and provides growth advice & training to agencies. He turned his passion for scaling digital businesses into building a platform enabling agencies to reach a state of sustainable growth.

View author profile

Categories

Tags

Authors

This widget requires prior consent before loading. Please approve Widgets cookies to load this widget.