Is 1/100 conversion too high?

Discussion in 'General Marketing' started by penumbra, Oct 4, 2009.

  1. #1
    Im starting a peer tutoring site which will charge high school students 30$ a month ( a dollar a day, as i'll pitch it) to have access to 24/7 peer tutoring online. It's cheaper than most tutoring sites because they get tutored by fellow peers instead of trained professionals. Thing is, they'll mostly be under 18 so they will have to get their parents to put it on their credit card for them.

    I'm hoping to get a conversion rate of 1/100- but i want your opinions, is that too high? Will it be more like 1/1000 or less?
     
    penumbra, Oct 4, 2009 IP
  2. swiftini

    swiftini Peon

    Messages:
    8
    Likes Received:
    0
    Best Answers:
    0
    Trophy Points:
    0
    #2
    Your conversion rate will depend on many factors, chiefly the way customers perceive your product. If you are dealing with teens who have to ask their parents for permission to use your service 1/100 sounds high, especially for a new product. Nevertheless you can improve your conversion rate over time through referrals and testimonials. If you have a great service, people will find out. You can also use reviews and affiliates to increase your conversion rates.

    My short answer to your question is: who knows? It will depend entirely on the quality and success of your service and your ability to market effectively.
     
    swiftini, Oct 4, 2009 IP
  3. Lotos1

    Lotos1 Peon

    Messages:
    454
    Likes Received:
    5
    Best Answers:
    0
    Trophy Points:
    0
    #3
    In which country are you providing this service? Teens in general do not want to look for tutors unless their parents force them to do so because they're failing their subjects. So, I would target parents with my ads, not their children.
     
    Lotos1, Oct 4, 2009 IP
  4. dlm

    dlm Peon

    Messages:
    3,123
    Likes Received:
    86
    Best Answers:
    0
    Trophy Points:
    0
    #4
    I would guess something more along the lines of 1/250 to 1/500.

    But it depends on how targeted the traffic is. As Lotos said, I'd look at targeting the parents as they are the ones who usually hire the tutor and pay for the service.
     
    dlm, Oct 4, 2009 IP
  5. Dyersco

    Dyersco Peon

    Messages:
    26
    Likes Received:
    0
    Best Answers:
    0
    Trophy Points:
    0
    #5
    Hi Penumbra the conversion rate range depends how well you market this site. I am a college teacher and I know that peer tutoring is something that would appeal to both students (yes they do get desperate) and their parents - but get to colleges and maybe add an incentive like provide some commission bonus back to the college for a worthy cause.
     
    Dyersco, Oct 4, 2009 IP
  6. Craig Michaels

    Craig Michaels Guest

    Messages:
    25
    Likes Received:
    0
    Best Answers:
    0
    Trophy Points:
    0
    #6
    As a student myself, I honestly don't see the appeal in peer tutoring, perhaps i am missing something though.
     
    Craig Michaels, Oct 4, 2009 IP
  7. natan

    natan Peon

    Messages:
    26
    Likes Received:
    0
    Best Answers:
    0
    Trophy Points:
    0
    #7
    better do targeting the parents especially mother as they are the ones who cares more about their kids and they are the one who usually hire the tutor and pay for the service
     
    natan, Oct 4, 2009 IP
  8. dukeofism

    dukeofism Peon

    Messages:
    739
    Likes Received:
    1
    Best Answers:
    0
    Trophy Points:
    0
    #8
    If you can target students in college, they will convert much higher on tutoring services. College students are under much more pressure. They are paying for their education, their grades contribute directly to how much they will make in the future, and many of them need to keep a high GPA for scholarships. I speak directly from experience as I am currently enrolled as a college student.
     
    dukeofism, Oct 5, 2009 IP
  9. webceo2007

    webceo2007 Peon

    Messages:
    2
    Likes Received:
    0
    Best Answers:
    0
    Trophy Points:
    0
    #9
    1% Coversion would be very good in your niche.. but as others said, it purely depends how well you market/promote your site.. How targeted your traffic is. and how much qualified traffic is.. eg. if you go and buy bulk traffic 10,000 visitors for $10 .. then guess what 0 conversion but if you get really targeted and qualified traffic you get better conversion. who knows it could be 2/100 :)

    I am sure there would be many ways to qualify the traffic like we do in other niches. eg. optin to get a free report, articles, access to a video etc..
     
    webceo2007, Oct 5, 2009 IP
  10. Steve Powers

    Steve Powers Peon

    Messages:
    1,196
    Likes Received:
    5
    Best Answers:
    0
    Trophy Points:
    0
    #10
    It depends.It will be affected by many factors such as the popularity of your business、the preference of the
    students、the traffic of the keywords you used and etc...So you'd better not come to an conclusion on whether
    the rate is high or low.It's wise for you to make a budget and evaluate it yourself.
     
    Steve Powers, Oct 5, 2009 IP
  11. Scotkan

    Scotkan Peon

    Messages:
    35
    Likes Received:
    0
    Best Answers:
    0
    Trophy Points:
    0
    #11
    It might be worth looking at this from another angle. If you're going to pay for targetted traffic, what conversion rate do you need to make money? I recommend starting small and building your business when you know your profitable keywords and have tested different landing pages. Consider upsells to improve your ROI.
     
    Scotkan, Oct 5, 2009 IP
  12. lifeplayer

    lifeplayer Notable Member

    Messages:
    15,609
    Likes Received:
    475
    Best Answers:
    0
    Trophy Points:
    265
    #12
    Many factor will affect the conversion rate, especially content and traffic source. 1/100 conversion rate is reasonable is the content is attracting enough and the traffic is targeted. Else, the conversion rate will be lower.
    conversion rate more than 1/300 consider good enough, 1/1000 is too low
     
    lifeplayer, Oct 5, 2009 IP