More conversions almost always lead to more sales, while more traffic doesn’t necessarily increase sales. That is why conversion is more important than traffic if you want to increase revenue. Profitworks provides SEO and conversion optimization services and they see time and time again with their clients that increases in conversion lead to an immediate increase in sales.
This is just one of three key reasons why conversion is more important than traffic. Continue reading to learn about the other two.
More Traffic Does Not Always Equal More Sales, More Conversions Almost Always Do
More traffic does not always equal more sales. If you are bringing in tons of traffic, but it’s the wrong kind of traffic, then visitors will bounce and it will lead to zero closed deals. Here are some reasons traffic may increase, but conversions decrease:
- The content does not match the intent of the search phrase driving the traffic
- The website content covers a topic that is not directly related to the product or service you are selling
- The website content directly links to what you are selling, but it is TOFU content reviewed during the initial research stage and not during the purchasing stage
- The website content presents a poor image of your company and convinces prospects not to buy from you
- The website content is confusing or hard to understand
- Your lead capture form is broken or ineffective at converting
For an increase in traffic to lead to an increase in conversion, the traffic must consist of highly targeted users (targeted with compelling purchase-intent content) being funneled to high-converting pages. For example, the number one page for traffic on the Profitworks website links to a free accounting software. We offer this because many of our customers are small businesses. Yet, since that page is not at all purchase intent content for what we sell (SEO services), we have never received a lead from that page. It creates a lot of traffic to our website, but no conversions or closed deals.
On the other hand, if we work to increase the conversion rate of our home page and we can get the conversion to go from 10 leads a month or 1% of traffic, to 2% and 20 leads a month, I can guarantee you we will see increased sales.
It Is Easier To Double Conversions Than Double Traffic
In a simple A/B test, we have been able to increase the conversion of web pages by as much as 600% and often have them show improvements of over 50%. The time it takes to build and run the test can often be a few weeks.
On the flip side, to get that kind of an increase in traffic to a web page it will often take a few months and the amount of work that we would put into attaining those results is usually 3-4 times that of the A/B page test.
Here is a great example:
Let’s say that you get 10,000 visitors to your website a month and 100 closed deals from conversions from that traffic. Each customer equals, for the sake of argument, $1,000, so currently your website is bringing in $10,000 dollars in sales.
Now, if you were looking to double your sales, here is what it would look like if you try to achieve your goal through increasing conversion vs increasing traffic:
The other important factor to look at in this scenario, is that often when you increase traffic your conversion rate does not stay flat but actually dips. So there is a lower chance of success in increasing sales by $10,000 a month in the scenario if you double traffic, rather than doubling conversions.
Often, with a significant increase in traffic, conversion will drop 10-20%. Even if it just drops 10%, at the new traffic levels sales would only increase $8,000 per month. To get the full targeted sales increase you would need to increase traffic by 1,222 sessions.
Getting Conversion Right, Before Traffic, Leads To Better Profitability
For the reasons stated above, if you increase traffic but you have a low conversion rate, it does little for your bottom line. Conversely, if you have your conversion optimized first, and then push a bunch of traffic to your website after that, it will create better cash flow for your business.
The monthly increase amounts that we have experienced tend to be very attainable over the first six month period of working on increasing either conversion or increasing traffic.
Investing in your website can have great rewards. No matter what data you look at, investing in your website is always near the top of the list of the best ROI marketing choices you can make. From our data it on average delivers a 275% ROI, or delivers an additional $2.75 in additional profit for every dollar spent.
The Profitworks team provides marketing services specializing in SEO and conversion optimization. Profitworks is a company based in the heart of Canada's technology industry in Waterloo, Ontario.