Over a quarter (28%) of companies are satisfied with their conversion rates (either ‘very’ or ‘quite’ satisfied), up by 6% since 2012 and the highest level since 2009.
Addtionally, around three-quarters (73%, up from 65% in 2012) indicate they have seen an improvement in conversion rates in the last 12 months
The fifth annual Conversion Rate Optimization Report, produced in association with RedEye, also found that the proportion of organisations who say they experienced an increase in sales conversion rates has significantly gone up, from 60% in 2012 to 70% this year.
The research, based on a survey of almost 1,000 client-side and agency digital marketers, revealed that A/B and multivariate testing, using multiple methods to improve conversion and having a structured approach are among the seven factors most correlated with improved conversion and sales…
A/B and multivariate testing
As was the case last year, the most valued methods for increasing conversion rates are both testing methodologies, with around three in five companies surveyed saying A/B testing and multivariate testing are ‘highly valuable’.
While multivariate testing is the second most valuable method as indicated by client-side respondents, it is also the second most difficult to implement (after website personalisation).
How valuable do you find the following methods for improving conversion rates?
The Conversion Maturity Model included in the report shows that the more advanced a company is at refining its conversion rates, the more methods it is using and the more testing it is carrying out. Additionally, over two-third (70%) of companies carrying out A/B tests saw an increase in conversion.
Despite the obvious benefits of regular testing, the proportion of organisations carrying out more than 10 tests per month has dropped from 11% in 2012 to 5% in 2013.
Using multiple methods
The report found that using a number of different and complementary methods to aid conversion is highly correlated with improvements in conversion and sales. Two-thirds (67%) of companies that use three or more methods saw a large increase in sales conversion rates. Companies who have improved conversion using 47% more methods than those that have not improved conversion.
Customer journey analysis and cart abandonment analysis are particularly effective at increasing conversion and sales. Around three-quarters of companies that conduct customer journey analysis (79%) and cart abandonment analysis (75%) saw an increase in sales. Additionally, of all the methods used to help increase conversion, cart abandonment analysis shows one of the highest correlations to increases in sales.
Although half of companies acknowledge value of these methods (see chart above), only 49% and 29% respectively use them.
A structured approach
Companies that adopt a structured approach to improving conversion rates are twice as likely to see an increase in conversion.
Around two in five companies (38%) who had a large increase in sales had a structured approach to improving conversion rates whereas less than a fifth (14%, a drop from 23% in 2012) of companies that had a decrease had a structured approach.
Does your organisation have a structured approach to improving conversion rates?
This year’s survey also found that companies who adopt a structured approach are 55% more likely to see a small increase in sales and 23% more likely to see a large increase.