Most managers of e-businesses need to address multiple levels of visit to business transformation or “conversion”. In most businesses I would recommend to measure multiple levels of conversion e.g. store conversion, basket conversion etc.
In my business we separate the generic browsing traffic from the traffic that continues to the configuration/ basket layers. We call the first level of browsing the consideration layer. Hence, the first level conversion of traffic to the second level – the configuration layer – is referred to as consideration %. When customers chose to check out from the configuration layer (including basket etc) we call this conversion.
This may sound confusing. But the point is that using different lingo for these different types of conversion makes it easier to communicate. The final word we use is convergence. This is the product of the two factors consideration and conversion above. In essence, the number of checked out customers (receipts)/ site visits = convergence.
I have seen a number of different terms in this area but I am finding the above system of terms more and more useful. Make sure you separate the levels of conversion because they all tell you very important things about where you need to fix your business when things aren’t working.
2 responses so far ↓
If your consideration is going south, check the distribution of your leads! « Philip Hallenborg’s e-business blog // March 11, 2008 at 12:23 pm |
[...] March 11, 2008 · No Comments For an understanding of consideration please check previous article here. [...]
Price points don’t drive site visits « Philip Hallenborg’s e-business blog // March 12, 2008 at 12:30 pm |
[...] after time I see how price point drives convergence and conversion especially. Site visits is much more dependent on magnitude of advertising and advertising spend. To [...]