Conversion Rate (CVR)
Conversion rate (CVR) is the percentage of clicks or visitors that complete a desired action, such as a purchase, signup, or lead.
Conversion rate (CVR) is the percentage of clicks or visitors that complete a desired action, calculated as conversions ÷ clicks (or visits) × 100. If 1,000 people click an ad and 30 buy, the conversion rate is 3%.
The "desired action" depends on the campaign goal. It might be a conversion such as a purchase, a lead form submission, a free-trial signup, or an app install. Whatever the goal, CVR measures how efficiently traffic turns into outcomes once it arrives.
Why it matters#
Conversion rate is where ad performance meets the landing page. A great ad can drive cheap clicks, but if the landing page or offer is weak, CVR collapses and the campaign loses money. That's why native media buyers obsess over pre-landers and landing-page testing as much as creative.
CVR also sits between click cost and acquisition cost. Together with your bid it determines your CPA (Cost Per Acquisition): a 3% conversion rate at $0.50 per click implies roughly $16.67 to acquire each customer. Doubling CVR halves CPA without touching your bid, which is why landing-page optimization often delivers the biggest returns.
When analyzing competitors, a landing page that stays live and unchanged for months is a strong signal it's converting well.
Related terms: Conversion, CPA (Cost Per Acquisition), and Landing Page.
