What is CRO and why it is important for your business

In today’s environment, businesses compete not so much for the number of visitors as for their attention and willingness to act. Limited advertising budgets, market oversaturation, and growing user expectations force you to look for ways to get the most out of your existing traffic. In this article, you’ll learn how a systematic approach to Conversion Rate Optimization (CRO) can help you improve key business metrics, reduce acquisition costs, and take user experience to the next level.

What is CRO?

Conversion Rate Optimization (CRO) is a set of techniques, processes, and tools aimed at increasing the share of website or application visitors who perform the desired action (purchase, registration, subscription, etc.).

Conversion rate (CR) measures the effectiveness of interaction:

The main goal of CRO is to maximize the use of existing traffic, focusing not on increasing it, but on improving the user journey and removing barriers to conversion.

The approach to conversion rate optimization consists of several stages, which we will consider further. As a result, businesses get a steady increase in ROI, a decrease in CPA, and a strengthening of audience trust through improved UX.

Stages of CRO implementation

Before proceeding to specific actions, it is worth realizing that successful conversion rate optimization is primarily a systematic approach and close cooperation of all process participants (marketers, analysts, designers, and support staff). Only by combining in-depth data analysis, research on real user behavior, and careful hypothesis testing can you gradually and confidently improve the performance of your website or app. Below is a step-by-step guide that will help you organize your CRO work so that each stage brings clear, measurable results.

Setting up analytics and goals

Before starting any conversion rate optimization experiments, you need to make sure that your analytical tools are set up perfectly. Without clearly defined goals and events in, for example, Google Analytics, you will never see where your website is «losing» users. Therefore, first identify the key points of interaction – from clicking on the «Buy» or «Learn More» buttons to submitting a contact form or watching a video review of the product. And set up appropriate Goals or Events for each of them. The next step is to create a sales funnel: in these systems, you can display the sequence of steps that a user goes through from the first interaction to the conversion. This will make it obvious at which stage of the funnel your visitors get «lost» and therefore, where you should focus your efforts.

Heat maps of clicks and scrolls

After setting up basic analytics, you should move on to detailed behavioral visualization. Click and scroll heatmaps help answer the question: where exactly do users look, and which blocks are completely ignored? For example, if the majority of visitors barely reach the block with reviews or the «Cart» button, this signals the need to redesign the placement or design of these elements. Thanks to heat maps, you will see the «hot zones» and «dead zones» where you should test new hypotheses.

Surveys and interviews with users

The best way to understand your visitors’ motivations and doubts is to ask them directly. Embed small polls on key pages («What prevented you from completing your purchase?») or organize in-depth interviews with real customers. This qualitative feedback often reveals «invisible» barriers – from fear of leaving personal data to misunderstanding the purpose of certain fields in the form. The idea is simple: while you’re wondering why users are leaving, they’ll tell you.

Formulate and prioritize hypotheses

Based on the collected data, formulate specific hypotheses: for example, «if you reduce the registration form from five fields to three, the conversion rate will increase by 15%», or «adding a testimonial block below the main CTA will increase trust and reduce bounce rates». To be efficient, organize your hypotheses according to the ICE (Impact, Confidence, Ease) matrix to run tests with the highest potential and minimum time investment right away.

Conducting A/B testing

The next step is to live in numbers. Use special platforms (see Key tools for analysis and testing in CRO) to simultaneously display the original page and its variant with one changed element. It is important to test only one variable at a time – the color of a button, the wording of a headline, or the placement of a block of social proof. This will allow you to clearly understand what exactly influenced user behavior.

Analyze the results and confirm the effectiveness

After completing the test, check for statistical significance (p-value < 0.05). This is the only way to be sure that the results are not random. At the same time, calculate the ROI: compare the additional income with the costs of developing and launching the test. Don’t forget about the quality component: review the comments of test participants and feedback from the support team.

Implementation and scaling

If the variant is confirmed, implement it on all relevant pages and update design guides so that the team follows a single approach. Determine how new elements are integrated into the overall system of UI components to avoid inconsistency.

Continuous improvement

CRO is not about one successful test, but a continuous cycle of improvement. Plan regular reviews of the results, update hypotheses in line with changes in audience and market behavior, and train your team in new tools and techniques. Remember: every change creates new opportunities and challenges, so the optimization process never ends – it just moves to a new level.

Why is CRO important for business?

Conversion rate optimization allows businesses to work smarter, not harder. Instead of endlessly increasing your advertising budgets, you maximize the value of your existing traffic – and that’s why CRO becomes a real growth engine. Let’s look at the key advantages of this approach.

1. High ROI.

Imagine two identical companies: the first spends an additional 100,000 ₴ on advertising, and the second invests this money in testing and improving the checkout process and button text. The second company can get an increase in sales equivalent to five times the amount of the advertising budget due to small changes. That’s why investments in CRO return 3-5 times more profit: you don’t just increase traffic, but also direct existing visitors to purchase as efficiently as possible.

2. Efficiency of the marketing budget.

When your website is already working with a certain amount of traffic, every detail of the interface begins to «cut off» visitors. By replacing a single form or moving the feedback block closer to the CTA, you will immediately notice an increase in the number of applications or purchases. Thus, even if you don’t attract new users, your average CPA (Cost Per Acquisition) automatically decreases because more people from the same advertising channels reach the finish line – a purchase or subscription.

3. Improved UX and trust.

Users remember not so much the product itself as the experience of purchasing it. Imagine an online store with clear step-by-step instructions during checkout, tips in the form fields, and a progress bar that shows how much time is left to complete the order. Such a simple, human approach reduces the feeling of anxiety and uncertainty: the visitor is not afraid of getting «stuck» or making a mistake. As a result, not only the number of purchases increases, but also the number of those who come back again, which is a key indicator of loyalty and NPS.

4. Positive impact on SEO.

Search algorithms are increasingly focused on behavioral signals: how long a user stays on the site, how many pages they view, how quickly they return to the search results. If the pages are clear and interesting, visitors stay longer, view more content, and are less likely to go back to search. This increases your chances of ranking higher. So, by improving UX for conversion, you simultaneously increase the visibility of your site without additional SEO efforts.

5. Competitive advantage.

While many companies continue to increase their budgets to attract new visitors, you are working to improve the experience of those who have already come. This allows you to respond faster to market changes – you already know where customers are getting lost and have a proven methodology to remedy the situation. This approach makes your business more resilient to fluctuations in advertising markets and helps you stay ahead of the competition, even in niches with high CPCs.

Key tools for analysis and testing in CRO

The combination of quantitative and qualitative tools makes the CRO process truly human and comprehensive. For your convenience, we have compiled a list of useful services.

Analytics

Start with a system that captures all key events and shows their sequence (user flow):

• Google Analytics 4 – no-code event setup, user journey analysis, and flexible reports by event parameters;
• Adobe Analytics – an enterprise-level solution for multi-site and application development with dashboards customized for your KPIs and audience segments.

Understanding behavior through heatmaps and recordings

Heatmaps and session recordings allow you to see user actions:

• Hotjar  - an easy start for click and scroll heatmaps, plus quick on-page polls;
• Crazy Egg   – heatmap with the Confetti module to understand where clicks come from and Scrollmap to analyze scroll depth;
• FullStory – session recording with the ability to search by specific events (for example, a payment error) and filtering by audience segments.

A/B testing

Next, it’s time to test whether a new headline or a different button shape will really solve the problem:

• Optimizely is a visual editor for quick changes, the possibility of multivariate experiments, and integration with CRM;
• VWO – a simple interface, real-time analytics of results, and the ability to collect additional feedback from test participants;
• Google Optimize is a free option for starters that integrates with GA4 and allows you to run basic A/B and multivariate tests.

Usability audits and social proof

Numbers will tell you where the problem is, but only a live conversation or expert opinion will reveal its roots:

• UsabilityHub – mini-perception tests that help determine how obvious key elements are and whether the content hierarchy is clear;
• Lookback – organizing video interviews with real users to see emotions and clarify moments of misunderstanding directly in the process of interaction;
• UserTesting – access to a panel of ready-made participants who perform your tasks, commenting on the process and formulating «social proof» in the form of reviews and video recommendations.

Surveys

Sometimes it’s an open-ended question that will reveal what’s missing or what’s in doubt:

• Typeform is an intuitive interface with conditional logic that makes polls look like a dialog;
• SurveyMonkey – a proven classic with many templates and convenient reports;
• Qualaroo – a «nudge» survey that appears at a key moment (for example, when you try to close a tab) so that you have time to find out the reason for the refusal.

By combining these tools and techniques, you get a complete «ecosystem» of analysis and optimization. This allows you to feel every user click, understand their motivation, and then turn insights into real solutions to increase conversions.

Effective conversion optimization strategies

Before implementing changes, it’s worth finding out what helps to increase conversions without wasting time and resources. Here are some key approaches:

Let’s take a closer look.

1. Speed up page loading.

Every extra second of waiting steals conversions from you. Use a CDN to deliver static content from the nearest servers, switch to WebP or AVIF formats, compressing images without losing quality, and implement lazy loading so that the main content appears instantly and the secondary content appears when the user reaches the appropriate block.

2. Simplify forms and reduce barriers.

Unnecessary fields in the form are a chance to lose the user at the final step. Remove unnecessary questions and leave only critical data, add a progress bar («step 2 of 3») and error messages at the time of entry so that the person corrects inaccuracies immediately. Auto-complete fields based on browser or customer profile also reduces time and minimizes bounce rates.

3. Personalize every interaction.

When a user sees a call to action tailored to their interests, they feel that you understand them. Use data on previous views and purchases to create dynamic CTAs, such as «Learn more about the small business plan» instead of the universal «Learn more». Offer relevant products or articles, show exactly those offers that are really interesting to the visitor.

4. Add social proof and elements of trust.

People trust other people. Place real customer reviews with photos and names in a prominent place, show partner logos and video product reviews. A short message like «More than 15,000 users have joined» or a few favorable reviews create a sense of security and base decisions on the experience of previous customers.

5. Run regular A/B tests and document the results.

Even a small change can make a big difference. Test one hypothesis at a time, monitor statistical significance (p < 0.05), and record all settings and results in a common knowledge base. This allows the team to quickly find what works best and avoid repeating unsuccessful experiments.

6. Optimize for mobile devices.

Nowadays, most users come from their phones, so the interface should be adaptive: large buttons are easy to touch, minimal text, and clear navigation. Forms on a mobile screen require special attention to autocomplete so that the user does not spend extra time entering data.

Ukrainian and international cases

CRO operates in real conditions and delivers tangible business results. Let’s take a look at three success stories that show how small changes turn into a significant increase in conversion.

Kiss My Keto (USA): an omnichannel strategy to reduce the abandoned cart rate

Visitors to the product and checkout pages were leaving their shopping carts unfinished, with an abandonment rate of up to 70%. The Kiss My Keto team worked with OptimO’Monk to develop a four-step popup strategy:

1. Exit-intent popups with a 15% discount code that appeared when a user tried to leave the page.
2. A countdown timer that created an effect of urgency and encouraged faster checkout.
3. Personalized offers based on product previews and purchase history.
4. Auto-activation of coupons when users saw an already applied discount code in the shopping cart.

This strategy led to a 19.29% reduction in bounce rate and a 7.17% increase in conversion rate.

HubSpot: A simple change that yielded a bigger response

On their CTA pages, buttons had low click-through rates, which slowed down the user’s path to sign up or purchase. HubSpot’s marketing team decided to conduct A/B testing of the CTA button color: a blue or green button was compared to a bright red button. The new red color of the button attracted more attention – the conversion rate increased by 21%.

Booking.com: intelligent personalization with AI

Users received standard tabs with hotels and offers that did not take into account their preferences and previous search history. This resulted in a decrease in engagement and booking rates.

Booking.com has implemented AI algorithms that analyze in real time:

• a particular user’s search and browsing history
• geographic location and seasonal preferences;
• data on missed shopping carts and canceled bookings.

Based on these signals, the service automatically offers personalized hotel and package options. Thanks to this flexible personalization, conversion rates increased by 31% compared to standard, static offers.

There are also notable examples of successful applications of similar practices in Ukraine. For example, Rozetka reduced bounce rates on its filter pages by improving UX filters and adding autocomplete, while OLX simplified the ad creation form and optimized photo uploads, which led to a significant increase in user activity.

Research on the effectiveness of CROs

The latest analysis confirms that the right CRO strategy is not just a buzzword, but a real measurable impact on business performance when you look deep into the numbers and context.

1. ROI from CRO reaches 223%.

Companies that implement conversion rate optimization tools receive on average more than twice the profit compared to costs – ROI is approximately 223%.

2. Website speed is critical.

A 1-second delay reduces conversion by 7%, and a delay of up to 3 seconds results in up to 20% loss of users. If a page takes more than 3 seconds to load, 53% of mobile users simply leave. Even a speedup of just 0.1 seconds can increase conversion rates in retail by 8.4% and up to 10.1% in the travel segment.

3. The average CR in e-commerce is ≈ 2.96%.

The average conversion rate of online stores in 2024-2025 is about 2.96%. However, well-optimized businesses can reach 3.6% and higher.

4. Video on landing pages increases CR by +80-86%.

A study shows that embedding video on landing pages increases conversion by up to 86%. Other sources indicate an increase of up to 80%.

5. Pages with less text and a clear CTA convert better.

Landing pages with a small number of fields (up to 5) convert up to 120% better, and clear CTAs increase the result by 3 times or up to +34% when using social proof.

CRO is not an experiment in luck, but a clear strategy with trackable metrics. Increasing speed, implementing video, the right structure and text, personalization, and social proof all combine to solve one of the key challenges: turning more visitors into customers.

Serhii Ivanchenko

CEO

Author's page