What is Conversion? The Division into Micro-Conversions and Macro-Conversions.

Conversion is directly related to the concept of sales and plays one of the leading roles in the marketing play. If you want to understand exactly what this phenomenon is all about, consider that the goal of all advertising efforts is first and foremost to interest the site’s audience and increase sales.

When a customer or recipient, in response to a campaign directed at them, performs a specific action, such as making a purchase or filling out a form – it is then said that a conversion has occurred. But is it that simple? It turns out not. Conversion can be something completely different for each company or industry.

Learn what actions of internet users can be considered a conversion and what is a micro and macro-conversion. Here’s some factual advice!

What is a Conversion?

As you already know, a conversion is a beneficial action from a retailer’s perspective that a website customer makes in response to an advertisement or other content. And while the most desired response to marketing campaigns by companies is to sell goods or services – conversion can also come in the form of somewhat less important actions. It is for this reason that the concept is divided into micro and macro conversions. What is it about and what does it mean?

“Conversion translated into Latin sounds similar – Conversio and simply means movement, rotation or change. According to the PWN dictionary, conversion is, among other things, the transformation of the form of something, so it is a source of change. In marketing, the aforementioned change refers to the state of affairs related to website traffic and the transformation of efforts related to running an advertising campaign into an effect in the form of, among other things, sold products.” 

If you care to comprehensively understand what conversion is – both the macro and micro version – imagine a situation in which an Internet user surfing the web comes across content such as an ad for shoes, then clicks the CTA button, enters the website of an online store and – thanks to the said ad – buys shoes there. In this case, we are dealing with a classic macro conversion.

However, if the recipient clicked on the ad, visited the website address, used the search engine and browsed the offer, but did not make a purchase and left the site, we are talking about a micro conversion.

Conversion may also take the form of many other behaviors of the user visiting the website such as: telephone contact with the store consultant, leaving contact details, signing up for a paid online course, adding products to the shopping cart, creating an account on the portal or signing up for a newsletter. As you may have guessed, some of the above customer responses belong to the micro-conversion group, while some belong to the macro-conversion group.

However, before you learn detailed information about each of these groups – remember that a conversion is simply a beneficial for the owner of the website reaction of a user who, by responding to an advertisement, changes from a passive to an active customer.

Passive and Active Customer and Conversion

To clarify, a passive customer is a customer who surfs the Internet and sees a specific ad, but doesn’t even look at it or simply closes it, not even spending a second to look at the offer of an online store or a service company. If, however, in response to a stimulus such as an advertisement or an e-mail the Internet user showed an active reaction, e.g. browsed different product variants online – he/she became an active customer.

It is the type of activity on the page and the degree to which it affected the main goal of the ad, which is to sell, that determines whether the activity will be classified as a macro or micro-conversion. Are you already starting to understand what this is all about? To get a better grasp of it, learn the exact definition of both conversions and practical examples of each.

What is Macro-Conversion?

First of all, macro-conversion is understood as a series of consumer behaviors that end with a significant and beneficial phenomenon for the advertiser. Exactly such as the above mentioned making an online purchase of shoes after clicking on an advertisement. Note that the very name of this concept with the prefix macro- suggests that it concerns something big or important.

Sales – although the most desired by sellers – is often a kind of idyll in macro conversion and not always the crowning achievement of the advertising campaign. There are, however, other examples of macro conversions which are also extremely important for the advertiser. Here are some of them!

Macro Conversion – Examples

Basic examples of generally understood macro conversion on a website include

  • making a purchase of goods or services,
  • contact via phone or e-mail,
  • sending a contact form,
  • leaving contact information (name and surname, telephone number),
  • clicking on an affiliate link,
  • purchasing a paid subscription on the site,
  • purchasing an account or requesting a demo (SaaS).

What is Micro Conversion?

If you already know what macro-conversion is and examples of it, check out what micro-conversion is. The prefix micro- suggests that in this case, we are dealing with something slightly less important. And indeed it is so. However, there is also a but.

Despite the fact that micro-conversion is a less desirable reaction of potential customers to an advertising campaign, remember that according to the saying – better a fish than nothing. It’s worth knowing that it’s these small and undefined actions of customers that narrow the conversion funnel and may lead directly to the goal, which is sales. Micro conversions are also worth analyzing if only to check the behavior of visitors to the site and diagnose the circumstances in which a purchase was not made.

In short, micro-conversions are reactions of potential customers to an advertisement, during which no purchase is made, but they are a harbinger of increased interest in a given brand in the future and of potential purchases after a detailed familiarization with its offer. See examples of this phenomenon!

Micro Conversion – Examples

Examples of micro conversions on a website include:

  • signing up for a newsletter,
  • watching movies and video ads,
  • clicking on contact information (e-mail address, phone number),
  • downloading an e-book from the website,
  • registering on the website,
  • adding product rating or comment (articles),
  • sharing links on a social media site,
  • browsing a page with a list of products or menus,
  • opening an e-mail message,
  • clicking on an ad on the website,
  • adding a product to a shopping cart.

If you already know what micro and macro conversion is, learn the basic concepts associated with these phenomena.

What are the Conversion Goals?

For webshop owners, the most important goal is naturally to sell a product. However, keep in mind that the founders of other portals, such as news or blogs, will consider the most important conversion goal to be keeping people reading the article on the site for as long as possible and clicking or watching a lot of ads.

This means that the conversion goal is not clear for everyone. For example, an online training provider may start out with the goal of having people leave their email address and download their newsletter, which will result in a later purchase of the training. Remember that in order to achieve meaningful results from a Google ad campaign or any other campaign, you need to clearly define your own conversion goals.

What is a Conversion Rate (Conversion Rate)?

Conversion rate, also called conversion rate, is a percentage value indicating the number of people who performed a specific action (bought, sent an inquiry, etc.). So we can say that this rate shows the effectiveness of advertising and websites in terms of achieving the objective. The higher the CR, the better for the brand. However, this value is usually a few percent.

How to calculate CR Conversion Rate?

The conversion rate is calculated by dividing the number of all conversions by the number of all users who, even though they did not perform any action, were also on the landing page they came to by clicking on ads or links.

So if the number of users who have been on your e-commerce site is 50, but only 5 of them made a conversion, e.g., made a purchase, filled out a form or inquired about a product – the number of conversions, that is 5, is divided by the number of recipients, that is 50, and multiplied by 100%.

As a result of the equation 5 / 50 x 100% = 10% we get the conversion rate, which in this case is 10%.

It is also worth mentioning tools useful for conversion analysis. These include:

  • Google analytics (also in the premium version),
  • Clickmeter,
  • Kissmetrics,
  • Optimizely,
  • Facebook pixel.

By logging into a particular system you can easily check all the statistics.

Why calculate the Conversion Rate CR?

Conversion Rate (CR) is used in online marketing to diagnose the parameter of website effectiveness and observe user behavior. By calculating these percentages you can calculate the cost of acquiring customers and change the strategy, goals, and actions to promote the brand.

By having the conversion rate information, you can also predict the potential revenue and upgrade your services, products, and content for the customer of your website. So by having your website’s CR, you can increase savings, increase profits, and better correspond with your audience’s needs.

What is a Conversion Pixel?

A conversion pixel is, in short, a piece of code that is placed on a web page in an area where a customer makes a specific goal. Thanks to it, the website owner may check the effectiveness of advertising and create groups of recipients who visit the page. In practice, this translates into a better implementation of campaign objectives and makes it possible to tailor actions to specific individuals, i.e. the website user or potential customer.

How to increase your Conversion Rate? Here are 5 golden tips

One of the main goals of marketing in the broadest sense is that you should increase the conversion rate. In order to do so, you should perform actions within the website such as, but not limited to:

Posting Unique and Comprehensive Content and Descriptions

If your website contains detailed and reliable data about the product and exhausts the topic of the products offered on the website – the customer is more likely to trust you and make a conversion, e.g. by making a purchase or leaving contact information.

Offering Several Payment Methods

Payment service in the online store should be simple and a source of pleasure for the recipient. So make sure to allow payment by card, bank transfer, Blik and PayPal or on delivery.

Make sure your CTA Buttons have Engaging Words

Try to make sure that when a potential consumer enters your site, he is attracted by specific and engaging CTA buttons. They can be captioned with phrases such as “See our news” or “See our bestsellers”.

Position your Website using Relevant Keywords

If you position your website for specific keywords, consumers will be directed to relevant subpages with products they are interested in. This will lower the risk of an Internet user leaving your site and buying somewhere else.

Provide clear information about Complaints and Returns

In order to gain customer’s trust, provide detailed information about return and complaint policy. Withholding such details can contribute to lower conversions within your pages.

How to ensure that Conversions don’t drop?

Remember that in order to keep conversions high, you should avoid posting misleading content and unsightly images and regularly analyze the effectiveness of your online campaigns. Also make sure that your website is optimized in a way that is friendly to Google’s algorithms.

For example, many customers count on being contacted by filling out a form, interesting information or an article, tips, watching a demonstration video, or being able to read a newsletter before using your service. In the case of the technical industry, it is also worth making available in the menu the possibility to download detailed data about the product in the form of a PDF file.

If such elements are missing on your website – users will find in Google search other sites that meet their requirements and perhaps it is there where they will make online purchases.

Summary

Finally, conversion is for many the most important link of e-commerce.  It is the factor that determines the advertising effect and profits of the website owner. Therefore, it is worth taking care of the CR factor and analyze it with all available methods. It is the number of visits to the website and engagement of potential customers that allows achieving the conversion goal which is the finalization of relations between the seller and the customer, i.e. sales dreamed of in marketing!