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What is Conversion Rate?

Conversion Rate is the percentage of new accounts that become paying customers. If 100 accounts were created this month and 20 started paying, your conversion rate is 20%.

How to Calculate It

Conversion Rate = New paying accounts / New accounts × 100
Example:
  • New accounts created: 80
  • Accounts that started paying: 16
Conversion Rate = 16 / 80 × 100 = 20%

Why It’s Useful

It tells you how well you turn signups into revenue. A high activation rate but low conversion rate means people use the product but don’t pay — could be a pricing or packaging issue. Bigdelta calculates this automatically from your account creation and billing data.