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All glossary terms
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Conversion Rate

The percentage of prospects from employee-shared links who complete a desired action (e.g., applying for a job, filling up an enquiry form)

PeopleSocial Team
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September 10, 2026
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5 min read

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What is conversion rate?What are the common types of conversion? Why does conversion rate matter?

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What is conversion rate?

Conversion rate is the percentage of total visitors to a website or landing page who complete a desired goal (a conversion) out of the total number of visitors.

Conversion Rate = Number of Conversions divided by Total Visitors multiplied by 100

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What are the common types of conversion?

  • Macro-conversions: Purchasing a product, subscribing to a service, or filling out a lead generation form
  • Micro-conversions: Creating an account, signing up for a newsletter, adding an item to a cart, or downloading a resource

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Why does conversion rate matter?

  • Measures Marketing ROI: Shows how effectively marketing campaigns drive valuable user actions, not just traffic
  • Lowers Acquisition Costs: Higher conversion rates mean getting more revenue out of existing traffic without spending more on ads
  • Guides Optimization: Highlights friction points in the user journey (e.g., checkout drops or confusing landing pages) through Conversion Rate Optimization (CRO)

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