Lead Generation and Conversion Rate Improvement – Why They Are Both Important For Any Web Business - By: Andre Gomez

The importance of lead generation for an online business can never be over estimated. In fact, trying to generate as many leads as possible is among the most important activities that any website owner of webmaster should do. Those websites that are really successful have one thing in common – all of them are able to generate a huge number of leads that can go into hundreds and even thousands every day. Here’s another fact that you should know. Most websites that fail on the Internet are not due to some faulty product or service, and not even because of a faulty business plan. It is because of the fact that these websites never really receive the kind of web traffic they need to become successful.

Why Do Websites Need So Much Traffic To Become Successful?

This is mainly because of the poor conversion rates. This rate quite simply is the percentage of people who are converting at your website from all the visitors that it is receiving. For example, if your website is receiving 100 visitors every day, and if 5 people are going on to become customers, then your conversion rate is 5%.

Experts are of the opinion that the conversion rate of an average website is usually between .5% and 2%. And there is probably no website in the world that consistently scores above 10%. So if 2 out of every 100 visitors are converting, you should consider yourself extremely lucky. You surely have a highly efficient website that is working very well.

Of course just making 2 sales every day will not do too much to make your business a success. If your revenue per customer is $25, then this means all you are earning is $50 daily. You need more sales, and to make this happen, you need to concentrate on lead generation. With some lead generation activities, you will soon enough see an increase in traffic to your website. If for instance your daily traffic goes up to 200, and your conversion rate remains the same, you would end up making 4 sales instead of the 2 before. And if the selling price is also unchanged, you would be able to double up your revenues.

What You Can Do To Enhance Lead Generation

There are many things you could do such as,

• Search engine optimize your website so that it comes up in the search results page for popular keywords. This will surely boost the web traffic the website receives.
• You can start PPC campaigns too. Though quite costly for most small businesses, but a PPC campaign can give you immediate traffic. You can however keep your daily budget low to control your expenses.
• Article writing and posting to article directories.
• Publishing press releases to PR websites.
• Sign up in a forum in your niche and post useful comments. If your posts are informative and interesting, very soon you could be viewed as an expert by others. Many of them will even visit your website.

Lead Generation and Conversion Rate Improvement

You must do a bit of both. Here’s a classic example. Let us assume that you are receiving 100 visitors daily and your conversion rate is 2%. Your daily revenue is $50. Now if you can just make 1 more person convert out of 100, then your conversion rate as well as revenue goes up by 50%. Now if you can double up the traffic through lead generation to 200 daily, and also manage to convert at 3% instead of 2%, then you are essentially converting 6 visitors. So your daily revenue now stands at $150. This is a whooping 200% improvement.

About the Author

Press the link to check all the Lead Generation resources.

Article Directory Source: http://www.articlerich.com/profile/Andre-Gomez/56782

Additional Articles From - Home | Internet business | Internet marketing