Conversion Rate (Funnel Stages)

Definition

The fraction of users moving from one funnel stage to the next. Compound stage rates give the end-to-end rate.

Formula

Stage CR = Conversions at stage / Entrants to stage
End-to-end = product of stage CRs

Worked Example

Visitor -> signup:  5,000 clicks -> 400 signups   = 8.0%
Signup  -> paid:    400 -> 55 paying              = 13.75%

Click -> paid (compound) = 8.0% x 13.75% = 1.1%

Interpretation & Pitfalls

Fix the weakest stage first: doubling an 8% stage beats nudging a 60% stage.

In TupicFinance

Funnel metrics flow from usage data, letting CAC be decomposed stage by stage.