Landing Pages & Conversion Optimization

Most marketers have limited resources—by which we mean they don’t have infinite time and money. If that sounds like you, you might ask yourself whether it’s more worthwhile investing in more traffic or in improving your conversion rates.

In the end, it comes down to one thing:

Which approach guarantees a better return on your investment (ROI)?

Throwing more money into generating paid traffic (like Google Ads or Facebook) is an attractive proposition since it comes with predictable and budgetable outcomes.

But your return on investment will always be the same and may plateau. If your landing page has a conversion rate of 10% today, it won’t get any better just because you pay for more traffic. You’ll score higher conversions, sure, but at the same rate and for additional expense.

On the other hand, improving your conversion rate lets you get more conversions without increasing how much you spend on traffic.

Let’s do a little napkin math:

A: Paid Traffic

PPC Budget: $1000/month

Visitors: 1000
Value of conversion: $20
Conversion rate: 10%

Revenue: $2000 ($1000 profit)

In the first scenario, we simply paid for visitors. In the second, we invested a further $400 to improve conversion rates. But both scenarios returned $1,000 in profit in the first month.

So… uh… aren’t they the same thing?

Not really. The initial expense of $400 took a bite out of the profit during the first month, but our efforts created a 2% increase in the conversion rate and a 40% increase in ROI overall that will have lasting effects. So the next month will look like this:

C: Paid Traffic + Optimization (Month Two)

PPC Budget: $1000/month
+ Conversion Optimization: $0

Visitors: 1000
Value of conversion: $20
Conversion rate: 12%

Revenue: $2400 ($1400 profit)

Creating and optimizing high-performance landing pages allows you to increase your profit with the same PPC budget. And you don’t need to be a “mathemagician” (or web developer) to make it happen.

So How Exactly Do You Optimize?

Now that you know the benefits of optimizing your landing pages, learn how A/B testing can help you to make big improvements to your conversion rates.