The percentage completing a step out of those who started it.
Example
500 visitors and 40 signups is an 8% conversion rate.
Important
A conversion rate without a denominator definition is meaningless. Agree what counts as a visitor before comparing anything.
Related terms
Funnel — The sequence of steps from first contact to paying customer, with drop-off measured at each step.
Activation — The moment a new user first experiences the product's core value.
Cohort analysis — Grouping users by when they joined and following each group over time.
Lessons that explain it
Funnels and conversion — Find the biggest leak, not the easiest one. Most founders optimise the top of the funnel while losing 90% at activation. (12 min)