Website Conversion Rates Explained: Define the Action and the Total
What does a website conversion rate actually divide? The answer depends on the action and the denominator defined by the report.
1:47 · No narration: the video shows each step as text on screen, and every step is written out below, with buttons that jump the video to it.
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The six points in the video
This is a silent video. The headings, explanations and labels below reproduce the information on screen.
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Step 1: Define the outcome
An enquiry, purchase and phone-link click are different actions.
On-screen labels: Completed enquiry; Completed purchase; Clicked phone link.
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Step 2: Read the denominator
A rate may use sessions, users or eligible ad interactions.
On-screen labels: Session-based rate; User-based rate; Ad interaction rate.
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Step 3: Use a labelled example
Five enquiries across 100 sessions would give 5% in this simple example.
On-screen labels: 5 enquiries; 100 sessions; 5% in this example.
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Step 4: Check repeated occurrences
Understand whether several actions from the same visit count separately.
On-screen labels: Repeat action; Counting rules; Unique visit context.
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Step 5: Compare matching periods
Keep the action, denominator and report scope consistent.
On-screen labels: Same action; Same denominator; Comparable dates.
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Step 6: Look beyond the percentage
Review enquiry quality and actual business outcomes too.
On-screen labels: Useful enquiry; Customer outcome; Measurement limitations.
A practical check for your business
Write down the outcome being counted and the denominator before comparing rates. Check the reporting period and setup, then relate the measure to a useful business result.
Sources and further detail
Common questions
What does a website conversion rate actually divide?
The answer depends on the action and the denominator defined by the report. Compare the same action, denominator and date range.
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