Figuring out competitor's Conversion rate
Knowing the conversion rate of a competitor is valuable information, i know some people might say it is irrelevant, due to the fact that it is completely dependent on the Quality of traffic that website is getting.
But if i were unable to chose a specific niche to target, knowing the Averages of these figures in each niche will defiantly give us an indicator of profitability for the niche:
average Pay per click costs: using semrush or other keyword spy tools( example forex trading niche has a high average ppc)
Average Selling price for the niche: manually checking the products of top competitors in the niche.
Conversion rate
Here is where it all tumbles, it is impossible to know the conversion rate of a specific niche (perhaps there are some publication regarding average conversion rates for large industries such as, financial products, retail and so on)
A method that i use as an estimator for the Average conversion rate for a niche, is using Alexa rankings, specifically the Click-stream option, which shows you where users go right after the website that you are looking at, and most e-products website use third party shopping carts or payment gateways such as click bank, so on the click-stream tab in alexa you can see what percentage of people actually visited these third-party gateways right after the website that were looking at, which could be a good indicator for the conversion rate, but of course i wouldn't take that exact number and title it the conversion rate, rather i would compare it between potential niche markets that i might go into, keeping in mind the average ppc and average sale price for each niche.
Unfortunately this method doesn't work on all website, but luckily i only need a small sample of websites that i see as representatives for a niche.
I do welcome critics on this method, i'm new to this field, and want to know more.
please add any other methods you found successful for estimating the conversion rate of a niche or a competitor.
But if i were unable to chose a specific niche to target, knowing the Averages of these figures in each niche will defiantly give us an indicator of profitability for the niche:
average Pay per click costs: using semrush or other keyword spy tools( example forex trading niche has a high average ppc)
Average Selling price for the niche: manually checking the products of top competitors in the niche.
Conversion rate
Here is where it all tumbles, it is impossible to know the conversion rate of a specific niche (perhaps there are some publication regarding average conversion rates for large industries such as, financial products, retail and so on)
A method that i use as an estimator for the Average conversion rate for a niche, is using Alexa rankings, specifically the Click-stream option, which shows you where users go right after the website that you are looking at, and most e-products website use third party shopping carts or payment gateways such as click bank, so on the click-stream tab in alexa you can see what percentage of people actually visited these third-party gateways right after the website that were looking at, which could be a good indicator for the conversion rate, but of course i wouldn't take that exact number and title it the conversion rate, rather i would compare it between potential niche markets that i might go into, keeping in mind the average ppc and average sale price for each niche.
Unfortunately this method doesn't work on all website, but luckily i only need a small sample of websites that i see as representatives for a niche.
I do welcome critics on this method, i'm new to this field, and want to know more.
please add any other methods you found successful for estimating the conversion rate of a niche or a competitor.