What is Conversion Rate?

Conversion rate is the percentage of users who complete a desired action during a digital campaign or website visit. These actions, known as "conversions," can include making a purchase, filling out a form, downloading a resource, or clicking a call-to-action button.

For marketers managing multi-channel advertising campaigns, understanding conversion rate is essential to measuring the effectiveness of efforts across various mediums, such as CTV, native, or display advertising. A strong conversion rate reflects how well your campaign resonates with your audience and drives meaningful engagement.

How to Calculate Conversion Rate

The formula for conversion rate is straightforward:

Example: Let’s say you’re running a geotargeted campaign with 5,000 impressions and 250 users take the desired action (e.g., visiting your landing page). The conversion rate would be:

For businesses utilizing Agility’s programmatic platform, conversion rate insights can help guide decision-making. With tools like conversion tracking and advanced analytics, you can refine strategies to target the right audience and maximize ROI.

Pro Tip: Conversion rates can vary by channel and campaign goal. For example, video ads on CTV might have a different conversion rate compared to display banners, so always tailor your expectations to the medium and audience.

Conversion rate is more than just a metric—it’s a lens into how well your campaigns perform. By continually optimizing your ads and leveraging sophisticated tools, you can improve this key indicator and achieve greater impact across your marketing efforts.