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Glossary · Metrics

What is Conversion rate?

Also known as CVR.

Definition

Conversion rate (CVR) is conversions divided by clicks or sessions, expressed as a percentage. If 1,600 clicks produce 50 purchases, the conversion rate is 3.1%. It measures what happens after the click, so it is a property of your landing page, offer and checkout more than of your ads.

How it is calculated

CVR = (Conversions ÷ Clicks) × 100

What to know

When CPA rises and CPC has not, conversion rate is the cause. That points at page speed, message match between ad and landing page, price, shipping cost, or checkout friction.

Conversion rate is also sensitive to traffic quality. Broadening an audience will usually lower CVR even when nothing about the page changed.

Related terms

CPACPA (cost per acquisition) is ad spend divided by the number of conversions. Spending $2,000 to generate 50 co...CTRCTR (click-through rate) is clicks divided by impressions, expressed as a percentage. An ad shown 10,000 times...AOVAOV (average order value) is total revenue divided by number of orders. $48,000 across 600 orders is an AOV of...

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