Revenue Per Convertor (RPC)
How can I calculate RPC?
If you’re using personalization software like Coveo, RPC calculations and optimization will be done for you. If you don’t have access to personalization software and rely on basic A/B testing, here’s how you can calculate RPC:
Total Revenue / Unique Conversions = Revenue Per Convertor
How is revenue per convertor relevant to personalization?
With personalization, your visitors will see one of many possible variations of a web experience. By tracking the revenue per convertor relative to each variation, you can make data-driven decisions that optimize your website or mobile app. This could be done manually by your team, or automatically through personalization software than leverages machine learning.
How can I increase my RPC?
The most important factor to optimize when you’re trying to reach higher RPC is average order value (AOV). If you can sell more stuff – or more expensive stuff – to every person who buys from you, then you’ll generate more revenue per convertor. Here are a few ways you can boost AOV:
- Test multiple price points.
- Try tiered pricing.
- Create opportunities for upsells, cross-sells, and downsells.
- Introduce minimum order incentives like thresholds for free shipping, a gift with purchase, or a discount.
- Make it easy for customers to find what they’re looking for with advanced personalization.
