Sunday, June 5, 2011
Are Double Digit Conversion Rates Always Necessary?
Conversion Optimization is a very intriguing text. Its amazing that some well known companies such as QVC and ProFlowers.com can achieve double digit conversion rates that are 10 times higher than their respective industry averages. The author gives reasons such as the fact that selling online is cheap, that conversion optimization is mystical or hard to understand and conversion data is difficult to track for why companies do not achieve good numbers. He claims that the question is not IF these numbers can be achieved but IF companies are willing to do what it takes to get there. My question is, is conversion optimization at any cost necessary considering other components of the business. Does a company really need to achieve double digit conversion rates if it will cost them thousands or even hundreds of thousands in web development, testing and advertising costs? What if there are other components to the business that are generating significant profits and a website is merely icing on the cake? What if the purpose of an organization's website is to educate, inform or otherwise disseminate information? Tracking conversions here are still necessary and a good conversion rate is desirable to know that individuals are using information presented to them or getting the most out of the site yet focusing a great amount of resources to get huge numbers for a site like this doesn't make sense. For instance it may not be the best goal to try and achieve double digit conversion rates for a non-profit that is providing information and education as opposed to an eCommerce based website that is focused on revenue and sales.