Top Conversion Optimisation Company Australia 2023

Funnel Conversion Rates

So, you’re researching your marketing funnel, which is awesome. You’ve gone way beyond digital marketing 101; you’ve got your website ticking along, you have traffic on the website and you’re collecting sales or leads, but you want more. Someone has mentioned your funnel conversion rate and how that can grow your business.

Great – it’s time to take a look at your marketing funnel and make your website more efficient. Because your conversion rate can make or break your business.

By optimising your marketing funnel you can increase your leads and/or sales with the same marketing spend. Ie. you don’t need to increase your ad budget to increase your conversions. Instead, you can leverage your data and optimise. Your conversion rate has a direct impact on your cost per lead and in turn your profitability. And, the best way to improve it is by taking a look at your marketing (AKA sales) funnel.

So, we’re going to breakdown:

  1. What a Sales or Marketing funnel is
  2. How to work out the conversion rate for your funnel
  3. Industry benchmarks for funnel conversion rates
  4. How to improve your funnel’s conversion rate

This will help you analyse your website’s marketing funnel, assess if you’re performing at industry standard, or if you need to improve and what strategies you can implement to increase the conversion rates of your marketing funnel, should this analysis prove you’re underperforming.

an illustration of a marketing funnel

What is a Sales or Marketing Funnel?

A marketing funnel, also known as a sales funnel, is a model used to visualize a customer journey. It’s the path from initial awareness of a product or service to the point of purchase and beyond – to retention, referral, and then back again to customer.

Essentially, it is a framework outlining the stages a potential customer goes through before making a buying decision.

We can use the old advertising adage AIDA – Awareness, Interest, Desire and Action. The foundation of marketing funnels has always existed, it’s the implementation of tactics within each stage that has and will continue to change.

Here’s a breakdown of a typical marketing funnel divided into these four stages:

  1. Awareness: Potential customer becomes aware of a product or service, through advertising, content marketing, etc
    Focus: Attract a user’s attention & generate interest.
  2. Interest: You have the user’s attention.
    Focus: Provide detail about the product or service.
  3. Decision: The potential customer is interested in the product or service and is considering making a purchase.
    Focus: Provide them with the information to make an informed decision, such as pricing, customer reviews, and product specifications.
  4. Action: The final stage of the marketing funnel – point of purchase. This may involve completing an online order form, visiting a physical store, or contacting a sales representative.
    Focus: Conversion

By understanding the different stages of the marketing funnel, you can develop targeted marketing strategies that address the needs and preferences of potential customers at each stage, leading to higher conversion rates and increased sales.

Here is a great example of an e-commerce conversion funnel from Smart Insights

How to calculate your marketing funnel’s conversion rate

We have a great breakdown of what a conversion rate is here and how to calculate it, including a helpful example. But as a quick summary, here’s how to calculate your site’s overall conversion rate:

Divide the number of conversions by the number of visits to your website or landing page.

For example, a website that receives 5,000 visits and had 100 leads
100/5000 = 0.02
Convert to a percentage – 0.002 x 100% = 2%

You can use this calculation along your marketing funnel to work out conversion rates throughout. Here is an example below

Using this funnel, this example site can analyse where their users drop off. This could be for various reasons:

  • Irrelevant information
  • Too difficult to find what they’re looking for
  • Prices too high
  • Expensive postage (e-commerce)
  • Item out of stock (e-commerce)
  • Not servicing their area
  • Etc

You can analyse your data and see if your website is performing inline with your industry. Ie. are you beating your competitors or missing the mark?

So, how can you tell if you’re conversion rate is where it should be or subpar? Let’s take a look at industry averages and see where you sit.

Industry benchmarks for marketing funnel conversion rates

All websites/apps/landing pages are different. We’re often asked by clients, “what should my conversion rate be?” The answer is – it depends.

The best option is to track the conversion rates for your industry and work from there. This does not give you a get-out if you’re already hitting your industry’s average but gives you a jumping-off point if you’re in the dark on what minimum you should aim for.

Unbounce, an A/B testing software, that we’re very familiar with and often recommend, runs an annual CR report and provides a helpful breakdown by industry.

Here’s the latest data they had available – see how your industry ranks.

Report from Unbounce

They also provide a more granular breakdown of conversion rates for those with a landing page.

So, if you’re in the travel industry and you have a landing page running for a marketing campaign and this landing page only sees a conversion rate of 2% you can assume it’s underperforming and there are plenty of optimisations available that could help.

So, how can you improve your conversion rate by utilising your marketing funnel? Here’s how…

How to improve your marketing funnel’s conversion rate

Step 1 is to analyse your conversion (marketing/sales) funnel with multiple data points.

Fill in your specifics for the last 30 days:

The CTR on your advert was ______%
How many visitors did your site have _____________%
How many visitors stayed longer than 1 minute __________%
How many visitors completed an event like an ebook download _________%
How many visitors converted ___________%

If you can spot a significant drop in one of these areas, it’s a good area to run an A/B test. If we use our example above;

Example site spots a significant drop in conversion from step 1: awareness, to step 2: interest. This could mean that the information in their headline isn’t clear or relevant. They run a test and change their headline. This small change increases their landing page’s conversion rate

They’ve grabbed another 25 leads by changing a headline.
Small changes like these, taken incrementally, will help your marketing funnel’s conversion rate increase.

You can use Google Analytics to track specific, personal goals along the marketing funnel and create data points to generate useful visuals for marketing decisions.

screenshot of a marketing funnel

If you’re not sure what changes could help your marketing funnel’s conversion rate you can use the following to help:

  • Visitor tracking including; heat-maps, click-maps and visitor recordings
  • Conduct on and off-page traffic and customer surveys
  • Be able to communicate cross-functional with the Developers, Designers, Copywriters, Management, SEO/SEM/Social team and your Legal Team

Alternatively, work with a digital marketing agency experienced in conversion rate optimisation to ensure you’re analysing, testing and optimising your website and/or landing page.

We have more tips for conversion rate optimisation here.

Key Takeaways

Your conversion rate can make or break your online business. Tracking and analysing your marketing funnel can help you spot problems and optimise areas that will increase your conversion rate, drop your cost per lead, increase your profitability and grow your business.

Improving conversion rates is a marathon, not a sprint – you win with incremental improvements.

Remember to

  1. Analyse
  2. Hypothesise
  3. Test
  4. Rinse and repeat

Use your marketing funnel conversion rates as key data points that reveal huge amounts of information that you can use to benefit your business and optimise your marketing efforts.

What is a marketing funnel?

It’s a model used to visualize a customer journey, outlining the stages a potential customer goes through before making a buying decision.

How to calculate a marketing funnel conversion rate

Divide the number of conversions by the number of visits to your website or landing page. You can do this calculation at each stage along the marketing funnel for multiple data points.

How can I improve my marketing funnel conversion rate?

Analyse your conversion funnel with multiple data points. If you can spot a significant drop in one of these areas it indicates a good area to run an A/B test. Multiple, small changes over time will create positive, incremental growth of your conversion rate.

Share this:

Facebook
Twitter
LinkedIn

Free 25 Page eBook

Download the Influencing Your Digital Marketing Metrics ebook

Growth in numbers translates to growth in business, learn about the digital marketing KPI’s that can dramatically boost your business trajectory.

Free 25 Page eBook

Download the Influencing Your Digital Marketing Metrics ebook

Growth in numbers translates to growth in business, learn about the digital marketing KPI’s that can dramatically boost your business trajectory.

Where to from here?

Related Blog Posts

There’s always more to learn when it comes to digital marketing, continue learning about it by clicking on one of our blogs here

Here's what our clients say

Book Your Digital Strategy Session

Free 45 Minute Digital Strategy Session

We’ll get in touch with you to arrange a time for your session and gain some initial background on your business needs

What you'll get

Website Audit

A strategic look at your website from the inside and out conducted by one of our senior digital strategist’s

Industry Strategies

An insiders view of what unique strategies work for similar businesses in your industry and how you can capitalise on these learnings

Spy on your competitor’s

A sneak-peak at what your competitors are doing online

Success framework

A digital marketing success framework tailored to your business

Niki Patterson

Business Assist help us with the growth of our business, which is what every business wants, and also it really feels like everyone on the team understands and knows your business well. It’s not just one person, everyone is somehow involved and I appreciate that. Thank you so much for all your hard work in fixing our campaigns. We are all incredibly appreciative.

Jo McMillan

Business Assist were a pleasure to work with as we developed our new website. They were responsive, considered and always sought to provide us with the best possible product at a competitive price. We are very happy with the website they produced for us and have had a lot of positive comments on it. Business Assist is also great with follow up and ongoing support, should we need it.

Dean Burns

We only launched Rent Busters Perth in November 2018, so it is incredible that Business Assist generated over 500 leads for us in June 2020!  They helped us with our branding, market positioning and have since worked very closely with us on developing new offers, headings and campaigns every month. And most importantly we are signing a record number of deals every month!

Business Assist are more like our business partner than supplier and we heavily rely on their expertise and the results they deliver are extraordinary – I can’t recommend them more highly.

Lisa Bywaters

We’ve been working with Steve and the team at Business Assist since 2010.  With an information dense website it’s vital for us that our visitors find the information they need, when they need it. The BA team understand that people search for information in an organic way, that it’s not a linear process. By using their expertise, we now have a friendly, welcoming website that allows visitors to find the information they need quickly and easily. They were also extremely helpful when we transitioned to our new name and new website – with everything from developing a new website that incorporated consumer and staff feedback, to developing an SEO strategy and Google Ads campaigns that helped us retain our past users and attract new ones. They’re a professional, friendly team that takes the time to get to know the needs of your organisation and your website users.

Tony Raunic

A few years ago Hunt & Hunt Lawyers decided to put more resources into our SEO.  We interviewed a number of contractors who all promised their services would be superior.  We were struck by Steve Foura and his team’s preparedness to invest time in learning about what was distinctive about our business and what we particularly wanted to achieve.

We appointed Business Assist to focus on SEO improvements for aspects of our property team marketing including our compulsory acquisition advisory services.

The results have been outstanding with web-based enquiries growing exponentially and, critically, the right prospective clients contacting us and invariably converting into fee paying clients.

We certainly recommend Business Assist highly for any professional services business looking to better leverage its internet presence.

Ultimately, Hunt & Hunt asked Business Assist to develop a new website for our national legal group and we are very pleased with the results.

We continue to work with Business Assist today across various teams as we derive great value from Steve’s practical layman’s advice on SEO.  Business Assist also understand our business and genuinely seem to go the extra mile to add value.

Robert Thorpe

It felt that our previous digital agency was not very engaged with our business – there was a real disconnect.  With Business Assist we feel like we’re talking to the people who are actually implementing the campaign, or at least have a very good understanding of it.  We believe this is one of the main  reasons we saw results happen straightaway – increased new customer inquiries from Australia and overseas. But the other thing we get is great advice from Business Assist about things we can and can’t do from a Digital Marketing perspective. We trust really these guys. The other thing we’re getting is the changes we’re asking to make or services we’re changing, it happens really fast – there’s nothing like a 2 week period of waiting.

Amanda Greer

We’re a small business but we try and behave like a bigger company and Business Assist help us lift that bar. They have helped us get ahead of our competitors. We have a strategy meeting soon where we will develop a 5 year plan and we look forward to Business Assist’s input and planning what we should be working with them on for the next 5 years.  Business Assist have a  really good personable team and they tailor to us – we really like the flexibility. We’re very strategic in what we do and Business Assist helps us enhance our competitive advantage by reacting to opportunities quickly. Our position, interests and needs are well aligned.

Dave Porter

Business Assist are responsible for our new leads coming in. Increasingly, we are becoming more and more reliant on digital marketing as the other avenues are either too expensive or deliver little or no return. So we are extremely reliant on Business Assist.  And they have delivered for us for many years and continue to do so in 2020 where we keep having all-time record revenue weeks! We also really appreciate the team at Business Assist and I’ve always enjoyed working with a company that we feel as though they are really part of our team. We have a very healthy working relationship.

Karl Zimmerman

Since hiring Business Assist to take over our in-house Digital Marketing management, our Google Adwords spend has gone down by 75-80% and our traffic has increased by over 150%. To see such a massive drop in spend and yet an increase in traffic has to be one of the biggest and most impressive things I have ever seen.

Also, compared to what we were getting before, we see Business Assist basically as a free investment with the high returns and the increase in traffic we are getting. Not only that, each time we face any problems, the team gives us much valued solutions, not just ‘yes, we can fix that’ but also different options to choose from.

Business Assist gave us the ability to trust them with our money compared to the other 3-4 companies we had before them. We now can see where our money is going and the returns for it. They also take the time to explain details to us and make sure we are given regular updates. As we grow as a business, we see us growing with Business Assist.

Brayden Cameron

We have been using the Business Assist team since 2013. Coming from a trade background in Roofing & Roofing maintenance and jumping into Digital for all that is involved is a daunting task. We know everything worth knowing about our own trade and Digital is such an unknown area. In turn we were so hesitant because we felt like we were getting ripped off from previous attempts with other agencies and any requests for information or advice would have an extra charge or a feel like such an up-sell. Upon working with the Business Assist team we have COMPLETE clarity around the following:

  • Cost Vs Conversion (analytics)
  • Competitor analysis
  • Our target market and how to attract them
  • Brand Strategy Marketing
  • Social Media
  • SEO & so much more.

Providing these services should be a given for any Digital company – however we have found that it is not. Providing this whilst maintaining honesty and transparency even educating us along the way, whilst not making us feel like idiots because we didn’t know certain terms throughout the process is the real benefit working with Business Assist. We have meetings every week / fortnight with the team to report on every aspect of the business on a digital front. We feel the Business Assist team is an extension of our 40 + family. I think we are really fortunate we found a company that propelled us to grow from 2 staff to 40+ in 7 years – they know our company as if it was their own!