What is industry standard conversion rate?

[clickagent75]

Hey eComm gurus!

I'm trying to write a business plan for my eCommerce business. Is there an industry conversion rate that I can use as a benchmark?

For example, say I get 1,000 visitors to the site. Is there an industry standard conversion rate I can use...say 3%, that will tell me that for every 1,000 visitors I should expect 30 of them to purchase something from my website?

Where would I be able to get this info?

Need this figure to put my banker at ease so he can lend me money

Thanks!

[wmcfer1]

I've always heard that 1% is really good and I have worked for several small/med size ecommerce firms and those firms always shot for 1%.

Of course a big factor is what you are selling but I would also like more solid statistic if anyone has one.

[clickagent75]

1% hmm.

Are there any publications I can quote for this figure? Are there some sort of gov't or industry watchdog publications that would track this sort of stuff?

On a side note. I recall looking into advertising using banner ads and they quoted me at a .02% conversion per 1,000 impressions. Meaning that for every 1,000 people that looked at the banner ad, only 2 users actually clicked on it.

Lesson here is that although 1% sounds conservative and small, in web terms it may not be true (it can actually be much lower).

[devanium]

1% hmm.

Are there any publications I can quote for this figure? Are there some sort of gov't or industry watchdog publications that would track this sort of stuff?

On a side note. I recall looking into advertising using banner ads and they quoted me at a .02% conversion per 1,000 impressions. Meaning that for every 1,000 people that looked at the banner ad, only 2 users actually clicked on it.

Lesson here is that although 1% sounds conservative and small, in web terms it may not be true (it can actually be much lower).

Banner impression conversion rates and sales conversion rates are different. If you have 1000 random people looking at a banner, only a few will click. But if you have 1000 targetted people looking at your products, more will buy.

That said, I think the rate probably varies greatly depending on how targetted your incoming traffic is, and what type of products you sell. For most people, I think 1% sounds about right...

[Tomer]

Yes they are two different things. Banner CTR really is pretty low these days [> 0.1]. I would also like to know a general conversion rate of online stores.

- Tomer

[shadowbox]

http://www.clickz.com/experts/crm/tr...le.php/3362641

Basically, there's no such thing as a typical or average conversion rate, it really depends on your target audience and the product you sell.

[wmcfer1]

I found something a little more solid:
http://www.conversionchronicles.com/...rsionbenchleft

Quoted
"A typical range would be 0.5%-8% depending on the sector, target market and quality of the site and proposition."

From this stand point I need to start optimizing my shopping experience, I would love to be hitting above 1%. Does anyone else care to share what their conversion rate is?

[Tomer]

Thanks for that last link, finally some ballpark figures.

Here is another interesting link:
http://www.conversionchronicles.com/...pril_2005.html

Amazon.com has 12.8%! Wow!

[tke71709]

Thanks for that last link, finally some ballpark figures.

Here is another interesting link:
http://www.conversionchronicles.com/...pril_2005.html

Amazon.com has 12.8%! Wow!

Strong brand and few window shoppers, you go to amazon because you're looking to buy a book, not because it was a random link you clicked on some webpage.

Combine that with repeat customers and you're going to have a hell of a conversion rate.

[clickagent75]

Thanks everyone for the great replies. Tons of info and lots of good resources.

Cheers!