Sales Funnel Conversion Rate

Written by Ralph Chua
Last Updated On

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“In The Digital Age, Our Data Is Currency”.


You have build your first funnel

…but now what?

What’s the Sales Funnel Conversion Rate?

This is one of the most important metrics to keep track of when it comes to analyzing your funnel.

Sales Conversion Rates is essentially how many people move from one step in the funnel to the next.

For example, let’s say you have 100 people enter your first step in the funnel.

From there, let’s say 30 of those people move to the next step.

That means your Sales Funnel Conversion Rate is 30%.

The number provides insight into how effective each step of your funnel is and how much potential for improvement you have.

So pay attention to Sales Funnel Conversion Rates and make sure you track it regularly.

But wait…

What should we look at?

In this article, we’ll go over the Sales Funnel Conversion Rate and what you need to look out for.

We’ll also cover some tips and tricks for improving Sales Funnel Conversion Rates.

Let’s dive straight into it!

What is a Sales Funnel Conversion Rate?

Sales Funnel Conversion Rate is the end result of how well you know your customer persona and how effective you are in helping them get to the end of your funnel.

It is like a test score.

If you design an effective funnel and your customer persona is targeted properly, then you will likely get a high score.

Why “likely”?

Simply because the Sales Funnel Conversion Rate is based on your customer journey.

It’s not always easy to predict what they will do, but if you have done your homework and targeted the right customer persona, then the Sales Funnel Conversion Rate should be high.

If you follow along with sales funnel best practices and track the Sales Funnel Conversion Rate, you will be able to identify areas that need improvement and make changes accordingly.

This is why the Sales Funnel Conversion Rate is such an important metric for any business.

Next, let’s look at some numbers, shall we?

Sales Funnel Conversion Rate Formula

The formula for calculating the conversion rate is simply:

(Number of conversions/Total number of visitors) x 100.

For example, if your website received 100 visitors and 10 people ended up subscribing to a newsletter, then your conversion rate would be 10%.

In other words, 10% of the visitors to your website completed your desired goal.

We will discuss the desired goal later on.

What is an Average Sales Funnel Conversion Rate?

“If You Don’t Know Your Numbers You Don’t Know Your Business”.

Marcus Lemonis

Powerful words!

As much as I would like to give you a single-digit Sales Funnel Conversion Rate, the truth is that it really depends on your business and industry.

However, according to, the average conversion rate for e-commerce is 3.65%. 

While the average conversion rate for business services is 4.37% as per

But how do they come up with these numbers?

As per below is a step-by-step guide on how to calculate Sales Funnel Conversion Rates:

  • Step 1: Define Your Time Frame(Sales Cycle)
  • Step 2: To find the total number of leads (TL) that came into the sales funnel during a certain period of time, add up the number of new leads that entered the sales funnel during that time. For example, if in the month of, June you had 50 new leads enter the sales funnel, then the total number of leads for that month would be 50.
  • Step 3: To find your conversion rate, divide the number of converted leads (TC) by the number of total leads. For example, if 10 out of 50 leads converted to customers in June, you would divide 10 by 50 to get a conversion rate of 0.2.
  • Step 4: Take the number and multiply it by 100 to turn it into a percentage. In this case, that comes to 20%. That means your sales funnel conversion rate is 20%.

Is There a Perfect Sales Funnel Conversion Rate?

I wish there is…

Unfortunately, there is no one-size-fits-all answer when it comes to what the perfect conversion rate for a sales funnel should be.

Generally speaking, it’s considered good to have a conversion rate of between 2% and 5%, but this could vary depending on your product or service and the type of funnel you are using.

It’s important to track and analyze your conversion rates in order to optimize for higher conversions.

The 4 Types of Sales Funnel Conversion Rates

We mentioned desired goals earlier, let’s talk about it now.

The Sales Funnel Conversion Rate can be broken down into four types:

  1. Visitor To Lead Conversion Rate
  2. Lead to Paying Customer Conversion Rate
  3. Paying Customer to Repeat Customer Conversion Rate
  4. The Overall Sales Funnel Conversion Rate

I initially land upon these 4 types via a blog piece from

Let’s get into it, shall we?

Visitor To Lead Conversion Rate

The money is in the list

Russell Brunson talks about it all the time.

In one of his webinar, he couldn’t stress it enough when he said “The money is in the list”.

In fact, one of the skill set he recommend us to master is list building.

Visitor To Lead Conversion Rate is about getting people to the opt-in page and having them submit their contact details.

The formula to calculate this is:

(Number of Opt-Ins/Total Number Of Visitors) x 100

For example, if you have 200 visitors and 10 of them opt in to your newsletter, then the opt-in rate would be 5% ([10/200]*100).

On average the lead generation conversion rate is usually between 1-5%.

Result may vary depending on your industry and of course, the amount of sales and marketing efforts you put into it.

Study from show that across 10 different industry the average lead conversion rate is 4.02%.

Lead To Paying Customer Conversion Rate

You have traffic but it’s not converting?

No worries, this often happens.

Lead To Paying Customer Conversion Rate is about turning those leads into paying customers.

The formula to calculate this is:

(Number of Sales/Total Number Of Leads) x 100

For example, if you have 100 leads and 10 of them purchased your product, then the sales conversion rate would be 10% ([10/100]*100).

On average, this number is usually between 2-4%.

However, it can vary drastically depending on your industry and the product or service you are offering.

Of course, we hope it will be higher but it often takes some testing and tweaking to get it there.

Some ClickFunnels users report conversion rate as high as 40%.

Paying Customer To Repeat Customer Conversion Rate

“If you don’t have continuity you don’t have a business”.

Russell Brunson

Getting new client is easier or harder than retaining current client?

Surprisingly, it’s much harder to get new customers than to retain existing ones.

That’s why having a good repeat customer rate is essential for the success of your business.

The formula to calculate this is:

(Number of Repeat Sales/Total Number Of Sales) x 100

For example, if you have 100 sales and 30 of them purchased again, then the repeat sales rate would be 30% ([30/100]*100).

On average, this number is usually between 10-20%.

Again, if this number is lower than that, it’s probably a good time to revise your offer and your fulfillment process.

The Overall Sales Funnel Conversion Rate

Then there is the Overall Sales Funnel Conversion Rate which is calculated by combining all the above numbers.

The formula to calculate this is:

(Total Sales/Total Number Of Visitors) x 100

For example, if you have 1000 visitors and 10 of them purchased your product, then the sales conversion rate would be 1% ([10/1000]*100).

Depending on how complex your sales and marketing funnels are, this number can be anywhere between 0.1-10%.

The higher the better but remember that it’s not just a number.

It’s a measure of your success in converting visitors into customers and repeat customers.

So make sure you keep an eye on each individual stage of your funnel to maximize your Sales Funnel Conversion Rate.

What are sales funnel metrics?

Sales funnel metrics are measurements that tell you how well your sales funnel is working.

They show you which parts of the funnel are most successful and which may need improvement.

For example, if you have an online store and you want to know how many people view your products on your website, that would be one metric.

Another metric might be the number of people who add items to their shopping cart or make a purchase.

Sales funnel metrics usually are calculated based on the 4 metrics below:

  • Entrances: Measure the number of people who enter your sales funnel. 
  • Conversion rate: The conversion rate is the percentage of those entrances that turn into paying customers. 
  • Total sales: Total Sales is the total amount of money you have made from all purchases in your funnel. 
  • Average cart value: Finally, Average Cart Value is the average amount of money each customer spends when they buy from your funnel.

Is Sales Funnel Conversion Rate and Sales Funnel Metrics the same thing?

No, Sales Funnel Conversion Rate is one Sales Funnel Metric.

Sales Funnel Metrics track your entire funnel performance while Sales Funnel Conversion Rate looks specifically at the percentage of leads that become paying customers.

Together with other Sales Funnel Metrics, Sales Funnel Conversion Rate gives you a better understanding of how successful your Sales Funnel is.

By tracking Sales Funnel Conversion Rate and Sales Funnel Metrics you can make more informed decisions about your Sales Funnel and tailor it to better serve your customers.

How to use sales funnel metrics

To use sales funnel metrics, you first need to identify which metrics are relevant for your particular sales process.

Once you have identified the metrics that best measure success, you can track them throughout the entire process.

This will allow you to see where customers may be dropping off in the sales process and make any necessary changes to improve performance.

You should also monitor the trends of these metrics over time to understand how your sales funnel is performing on an ongoing basis.

Here is a list of sales funnel metrics that can be used to measure success:

  1. Customer Acquisition Costs (CAC)
  2. Click-Through Rate (CTR)
  3. Cost Per Lead (CPL)
  4. Conversion Rate
  5. Average Order Value (AOV)
  6. Time to Purchase
  7. Customer Lifetime Value (CLV).

10 Best Conversion Rate Optimization Practices

To maximize your Sales Funnel Conversion Rate, it is important to use the best conversion rate optimization practices.

This includes things like:

  1. Testing different offers and pricing structures
  2. Creating targeted landing pages
  3. Offering multiple payment options
  4. Personalizing customer experience
  5. Tracking customer behavior
  6. Optimizing your website for mobile
  7. Utilizing customer feedback
  8. Implementing targeted email campaigns
  9. Building trust with customers
  10. Leveraging social proof and reviews

By following these best practices, you can optimize your Sales Funnel Conversion Rate and improve the overall performance of your Sales Funnel to get more conversions and sales.

Bottom Line: Sales Funnel Conversion Rate

The difference between a successful ClickFunnels user and a not-so-successful one is because they launch their first funnel and continuous tweak it to perfection.

“If you can’t measure it, you can’t improve it”.

Lord Kelvin (1824–1907)

That quote pretty much summarize the importance of Sales Funnel Conversion Rate.

Sales Funnel Metrics and Sales Funnel Conversion Rate play an important role in measuring the success of your Sales Funnel.

By tracking Sales Funnel Metrics & Sales Funnel Conversion Rate, you can make informed decisions on how to optimize your Sales Funnels and maximize conversions.

Finally, by using the best conversion rate optimization practices, you can further improve Sales Funnel Conversion Rate and get more leads to convert into paying customers.

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