## Definition of Conversion rate (CR) Conversion rate (CR) is a [[product metric]] used in [[product management]] to measure the percentage of website visitors who complete a desired action, such as making a purchase, filling out a form, or subscribing to a newsletter. CR is an important metric for businesses to track because it measures the effectiveness of their marketing campaigns and website design. A higher CR indicates that a larger percentage of visitors are taking the desired action, which can lead to increased sales and revenue. ## How to calculate Conversion rate (CR) It is calculated by dividing the number of conversions by the total number of website visitors, and multiplying by 100 to get a percentage. To calculate CR, businesses need to track their website visitors and the actions they take. This can be done through tools like Google Analytics, which provide data on website traffic, conversions, and user behavior. By analyzing this data, businesses can identify areas where they can improve their website design and marketing campaigns to increase CR. There are several factors that can influence CR, including website design, user experience, pricing, and marketing messaging. To improve CR, businesses can optimize these factors to make it easier for visitors to take the desired action. This might include simplifying the checkout process, adding social proof or trust badges, or offering incentives like free shipping or discounts.