You can’t decide what to improve if you don’t have a baseline to measure against. This is why tracking the right metrics is so important: they measure your performance and your progress, and help you identify places for improvement.
There are several different metrics you can use, but don’t choose too many to track at once, or you risk confusing and overwhelming yourself.
To learn what are the available metrics to measure results.
To understand that without measuring, you are only guessing.
To learn how to apply the measuring tools available.
To use the measured results to gain better outcomes.
Here are the key metrics to measure:
A “conversion” happens when someone takes the action you desire, which in this case is completing a purchase. This is the most important metric to track.
Conversion rate = n° of purchases ÷ n° of clicks x 100
For example, if you get 3000 sales from 100,000 clicks, then you have a 3% conversion rate.
If your copy isn’t converting at the rate you’d like, then look again to see if your text is speaking to your ideal customer.
Click-Through Rate (CTR)
Click-through rate, or CTR, is the number of people who click on the link in your copy. In the case of sales copy, that’s likely to be the CTA button.
CTR = n° of clicks ÷ n° of people who see your sales page, email or ad x 100
For example, if your email is opened by 2000 people and 100 click on the link you’ve sent, your CTR is 5%.
If few people click the link in your copy, then try a different CTA button varying the text.
Open rate is a critical metric to track for emails. If people don’t open an email, they can’t click on your links which means you don’t get results.
Open rate = total unique opens ÷ total recipients x 100
For example, if you know that 200 emails have been delivered with no bounce backs, and 10 people open them, your open rate is 5%.
If you’re finding that few people open your emails, then you need to test new subject lines.
Cart Abandon Rate
Your sales copy is pitched to send a potential buyer to a shopping cart to complete the purchase. That’s where the money changes hands.
People open carts with the intention of buying but sometimes don’t follow through. This is called the cart abandon rate.
Divide the total number of completed purchases (x) by the number of shopping carts created (y). Subtract the result from one and then multiply by 100 for the abandonment rate.
1 - (x ÷ y) x 100 = cart abandon rate %
For example, if you have 45 completed purchases and 200 shopping carts created, the shopping cart abandonment rate would be 77.5%.
1 - (45 ÷ 200) x 100 = 77.5%
This metric gives an idea of what’s happening and is good for flagging a potential issue. However, it doesn’t explain why someone abandoned their purchase. Did the person get distracted, go off to something else and forget to carry through the purchase? Was your shopping cart too difficult to use? Did you suddenly add postage to the total which wasn’t mentioned before? If you’re seeing a high abandoned cart rate, you need to dig into why this is happening.
Use Your Tech
Don’t worry too much about the calculations. There’s tech to help you, especially from the services you use, for example from:
- Paid ad providers on social channels such as Facebook
- Email service providers for open rates
Gather the data and periodically spend time analyzing the results and planning what changes you can make to improve your stats.