Conversion rate
DefinitionGrowth
Conversion rate
The percentage of people who complete a desired action out of those who had the chance to: visitors who buy, viewers who click through, sign-ups who activate. The multiplier that brand strength quietly raises before performance optimisation ever touches it.
Evidence from the library
2.86xBrands with 60% awareness convert at 2.86x the rate of brands with 20% awarenessStat35%Click-based attribution sends a third of spend to sales that would have happened anywayWarning~3xBrand awareness does not move click-through rate, but it strongly predicts conversion rate: a brand at 60% awareness converts nearly 3x better than one at 20%.Stat1% / 15%Advertising conversion rates - about 1% typically, 15% at best - have not changed in 100 years despite a century of advances in creativity, targeting and testing.Stat+5pp awareness = +5pp Share of SearchAt low awareness, brand growth converts into search demand roughly one for oneStat
Source
Marketing Definitions
standard digital analytics practice
More from this source
DefinitionCustomer acquisition cost (CAC)DefinitionCustomer lifetime value (LTV)DefinitionLTV:CAC ratioDefinitionROASDefinitionMER (marketing efficiency ratio)DefinitionClick-through rate (CTR)DefinitionCPMDefinitionHook rateDefinitionHold rateDefinitionChurn rateDefinitionCreative fatigueDefinitionMarketing funnel