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Establishing your conversion rate

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I told you the formula and criterion for establishing a conversion. So, how long do you give before you settle into a “normal” conversion rate? There are two answers.

The first answer is one to three months — that’s a fair measuring stick — that will allow for daily or weekly spikes in traffic and business to sort themselves out. I would go the full three if possible, but I have also found that business is pretty predictable on a month-to-month basis. I’m just saying three because if the “one month” that you measure is a big holiday month (like December), well, that could give you a skewed result.

The second answer is … there is no answer, because it’s infinite. You NEVER stop measuring conversion. For the most part, your conversion rate should hold steady (as it’s not a measure of how many visitors, but rather how many take an action), but even this can vary. For example, a construction company will have seasonal surges. So will a tax preparation service. The conversion rate in the spring for both of these businesses will (likely) be higher than in the winter, as more website visitors are actually looking for the service right away, so a higher percentage might take action. Make sense?

Again, no hard or fast rules. Just establish a conversion rate, and then check it every so often.

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