Close Rate is the percentage of leads that turn into conversions. You calculate it simply by dividing your conversions (from your leads) by all the leads you had (and then multiplying by 100 to turn it into a per cent. Close Rate is a phrase that comes from sales but can be applied to digital marketing.
A low Close Rate can indicate that either there is a problem with how your BoFu content drives people to convert *or* the quality of your leads. Unqualified leads will generally have a lower Close Rate than Qualified Leads.
7 Things To Know About Close Rate
- Close Rate is also known as Lead-To-Close Rate or Closing Ratio.
- A closed lead doesn’t technically mean that you “won” – it also includes deals that you lost out on. However, Close Rate is generally used to be synonymous with “Win Rate” (except in Salesforce).
- According to HubSpot, average sales close rates are between 15%-30% depending on your industry. Across all industries, it’s about 19%.
- Gathering leads via a sign-up form is fine. Qualifying those leads with some sort of follow up questions is better.
- If you want to know whether it is your sales efforts or your leads which are a problem, check out the Open Rate and CTOR of your emails. If they’re good, then your leads are probably good too.
- Close Rate can be split down into two further rates – Lead-To-Opportunity Rate and Opportunity-To-Deal Rate.
- Close Rate is essentially the conversion rate of only your leads. Conversions can come from anywhere though.
Other names for Close Rate (synonyms)
Lead-To-Close Rate, Closing Ratio