Analyzing Teachers Pay Teachers Conversion Rates

This was a popular post that I made on the TPT forums a few months ago.  I think it’s worthy of being the first blog post on TPT School.

I’m not claiming to be an expert by any means, but I have been working with internet marketing for the last seven  years and have learned a thing or two.  I’d like to start a conversation and see if we can’t learn from each other.

What is a conversion rate? The conversion rate is the proportion of visits to a website who take action to go beyond a casual content view or website visit, as a result of subtle or direct requests from marketers, advertisers, and content creators.

In our case it’s the number of sales per product divided by the number of views that it generates * 100 gives you the percent.  Every market has it’s own conversion rate average, but generally speaking I’ve always heard the retail conversion rate was about 3%.  Amazon’s rate is actually higher than that because they are basically the best in the business at upselling/cross-selling you something that you need.

Let’s get back to TPT.  I’m going to list some of my products, their views, sales, and then their conversion rates.  I’ve only been here a month and have a small sample size which can definitely skew things.

Product 1  104  1  .96%
Product 2  149  8  5.33%
Product 3  167  4  2.3%
Product 4  46  2  4.3%
Product 5  441  33  7.5%
Product 6  234  3  1.2%
Product 7  110  4  3.6%
Product 8  184  11  5.9%

None of these products are bundles or  holiday specific.  They are regular lesson-based products.

Clearly, the front runners are products 2, 5, and 8.  I’m very happy with those conversions and the action that I’m going to take with those products will be to promote them more on Twitter, blogs, Pinterest, FB, etc.  People like what they are getting, the price seems right, and they are selling well.  It’s a numbers game at this point with these products.  The more views I get the more sales that come in.

It’s not necessarily the same with some of the lower selling products like products 1, 3, and 6.  With those products I need to take a look at why they aren’t performing as well as some of the others.  Remember, this is a numbers game.  If I have 100 views I should EXPECT 3 sales (3% conversion).  The fact that I’m not getting that is reason for concern.

These are the things that I’ll take a look at with these products.
1. Price – did I set the price right.  Would lowering the price increase conversions?  That’s an easy test to do.  Take a snapshot, lower the price and then take a snapshot later on and compare
2. Cover – Does my cover page need a refresh?
3. Item description – Have I described the item well enough?  Does my ad copy need any adjustments?

The other products are in decent shape right now and I’ll probably just continue to promote them as I have been.

You could over think this stuff until the cows come hope but the steps that I have listed above should really clean up a few messes that you may have lying around.  One thing that you need to remember is to not be married to a product.  If you’re dead set that your word wall package is worth $10 but your analysis tells you otherwise then it may be take to swallow your pride and lower the price.

That said, you may uncover a product that has a conversion of 15% or more.  Maybe you didn’t list high enough.  Would 10% at a higher price yield more money in your pocket?

Anyway, just some thoughts.  I’d love to hear your comments, analysis, etc.

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6 Responses

  1. Shelly Rees March 19, 2014 / 2:46 am

    This is really interesting! After I read your information about conversion rates, I went through my TPT store and analyzed some data. Many of my products were 6% or higher. I am considering slightly raising the prices on these and seeing how it goes. Conversely, a few of my products were around 2%. Perhaps I am charging too much for these.

    Great stuff! Thank you for sharing!

    • Chris Kesler March 20, 2014 / 1:15 pm

      I’d love to hear what you’re findings are with raised prices on the 6% or higher products. I’m in the middle of a test with a couple of my product that I raised 40%. One of them experience no slow down in sales while the other is taking a hit I think. I should have that data by the end of the month.

      • Shelly Rees March 21, 2014 / 12:58 am

        I’ll be glad to share my data. I raised the prices on 2 of these products today. I’ll give it 2 weeks and let you know! Thanks again!

  2. Heather March 22, 2014 / 2:29 pm

    Great post!

    Data can really be your friend 🙂

    ~Heather

    • Heather March 25, 2014 / 7:42 pm

      Just wanted to share that when I took a look at my analytics, I noticed that my bundles were only at 1%. YIKES! I was really shocked since they have been my biggest money makers, but apparently I have been missing out on hooking the customer into purchasing.

      I added detailed descriptions and enlarged the image and I have sold 3 in two days, where I was averaging 6-10 per month. Hopefully it continues.

      I also raised prices ($.50) on my products that were at 5% and sales on those products just about halted for 3 days. They are some of my top sellers which leads me to believe that my previous price point was the sweet spot. Hopefully, their satisfaction with lower priced items ($3-$5) will create repeat customers.

      ~Heather

  3. Jewel October 30, 2014 / 9:34 pm

    This is very interesting! Thank you! I analyzed my products and I have two that are at 9%. I should promote them more. The others need more work at 2-4%. I’m excited to read your other blog posts.

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