# Bounce rate and Conversion rate

## Today we will review two important indicators for your website engagement, which are bounce rate and conversion rate and how to calculate them.

A helpful starting point for any website redesign project is an analysis of visitor engagement levels on existing sites.

#### Engagement levels are indicative of website effectiveness

This insight into the most effective site elements will give the redesign team an instant grasp of which features can be usefully redeployed in the new site design.

We will now review some short -term engagement measures with which you might already be familiar:

Short-term engagement measures include monitoring bounce rate, conversion rate, including visit and visitor conversion rate and micro-step conversion. Define and measure value events such as sales, leads and page views:

### 1. Bounce rate

What does bounce rate mean?

Bounce rate is the percentage of visitors who stay on the site accessing one page only (entrance or landing page).

Bounce rates are a useful, but under-used measure of short-term visitor engagement with a site. They are particularly helpful for reviewing the effectiveness of different landing pages.

How to calculate bounce rate?

Bounce rate % = 100 x Single page visits to a page (or site) / All page visits starting on page (or site)

Engagement rate % = 100 – Bounce rate %

Bounce rates per page can be between 20-80%, whereas conversion rates typically vary by less than 10%. The wide variation in bounce rate enables individual referrer or landing page design problems to be identified more readily.

### 2. Conversion rate

What does conversion rate mean?

Conversion rate is the proportion of site visitors who take an action like buying, registration or even checkout.

Conversion rates are a robust method of assessing onsite visitor engagement, but did you know that there are two different forms of conversion rate?

The two ways you can express site conversion rate are:

#### A. Visit conversion rate

Visit conversion rate is calculated by dividing the number of conversion events by the number of visits:

Visit conversion rate e.g. 1% = 10 conversion events / 1,000 visits

Visit conversion rate is usually used to assess paid search effectiveness, since visits = clicks.

For an etailer, the order conversion rate is:

Order conversion rate e.g. 1% = 10 sales / 1,000 visits

#### B. Visitor conversion rate

Visitor conversion rate is calculated by dividing the number of conversion events by the number of unique visitors:

Visitor conversion rate e.g. 1.25% = 10 conversion events / 800 unique visitors

For an etailer, the buyer conversion rate is often known as the ‘browse to buy ratio’ or, for a travel company, ‘look to book’:

Buyer conversion rate e.g. 1.25%= 10 sales / 800 unique visitors