# Conversion rate: how do you calculate it properly?

> Conversion rate explained for service businesses: the formula, the stages worth tracking, a renovation example from Sherbrooke and the traps that skew it.

Updated on October 15, 2026 · https://app.pilotiko.com/en/glossary/conversion-rate

A conversion rate is the percentage of people who complete a target action out of everyone who had the chance to: submitting a form, booking, or accepting a quote. You calculate it by dividing conversions by opportunities, such as visits, clicks or requests, over the same period and multiplying by 100.

## In short
- Formula: conversions ÷ opportunities × 100, over one period.
- Google Ads' own example: 50 conversions from 1,000 interactions is 5%.
- A service business has several rates: visit to request, request to signed job.
- Rates above 100% can happen when one interaction counts several conversions.

## What counts as a conversion?

In marketing, conversion means a prospect becoming an actual customer. Quebec's language office uses exactly that logic in its e-commerce vocabulary, which is why it prefers coût de conversion du client over a literal translation of customer acquisition cost [2].

Inside analytics and ad tools, the word is broader: a conversion is any action you choose to track. A call from your Business Profile, a [quote](https://app.pilotiko.com/en/glossary/quote) request form or an online booking can each be set up as a conversion.

## How does Google define conversion rate?

Google Ads Help defines conversion rate as the average number of conversions per ad interaction, shown as a percentage. Its example: 50 conversions from 1,000 interactions gives a 5% conversion rate [1].

Google also notes the rate can exceed 100% if you track several conversion actions or count all conversions, because one click can produce more than one [1]. Before comparing two numbers, check what each one counts.

## Which conversion rates should a service business track?

| Stage | Opportunity (denominator) | Conversion (numerator) | What it tells you |
|---|---|---|---|
| Website | Visits to service pages | Quote requests or bookings | How clear the offer and form are |
| Qualification | Requests received | Estimate visits booked | How fast you respond |
| Sales | Quotes sent | Jobs signed | Price and quote quality |
| Loyalty | Customers served last year | Customers back this year | Satisfaction and follow-up |

Each stage has its own rate; multiplying them gives the overall visit-to-job rate.

## What does a full visit-to-contract calculation look like?

**Example: a bathroom renovation contractor in Sherbrooke, over one quarter**

- Visits to service pages : 1,500
- Quote requests received : 45
- Visit-to-request rate (45 ÷ 1,500) : 3%
- Jobs signed : 9
- Request-to-job rate (9 ÷ 45) : 20%
- Overall visit-to-job rate (9 ÷ 1,500) : 0.6%
- **= Nine jobs from 1,500 visits. Lifting the request-to-job rate from 20% to 25% would mean about 11 jobs from the same traffic.**

## Which mistakes make a conversion rate misleading?

- Counting a tap on your phone number as a conversion, then comparing it to a signed-job rate.
- Changing what counts as a conversion mid-year without writing it down.
- Looking at the rate without the volume: 50% of 4 requests is not better than 10% of 200.
- Ignoring what each conversion costs; [customer acquisition cost](https://app.pilotiko.com/en/glossary/customer-acquisition-cost) is the other half of the picture.
- Judging a channel on the first job only, without considering [customer lifetime value](https://app.pilotiko.com/en/glossary/customer-lifetime-value).

## How can you raise a conversion rate without spending more?

Start with the slowest stage. If visitors read but don't ask for anything, the page is often missing a ballpark price, a clear service area or an easy way to book. If requests don't become jobs, look at your response time and how detailed your quotes are.

Pick one [KPI](https://app.pilotiko.com/en/glossary/kpi) per stage, review it monthly on a [dashboard](https://app.pilotiko.com/en/glossary/dashboard) and change one thing at a time so you know what actually worked.

## What does Pilotiko measure today?

Pilotiko's internal reports show bookings, revenue and workload, with indicators for each room of the virtual office. Appointments made through Pilotiko's online booking are part of the bookings counted in those reports, which gives you the numerator for the request-to-booking stage.

> Coming soon: a Google Analytics connection and Google Ads and Meta Ads management. Pilotiko does not run any ads today.

## Frequently asked questions

### What is a good conversion rate?

There is no universal good number; it depends on the stage you measure, your trade and where the traffic comes from. Compare your rate with itself over time, using the same definition.

### What is the conversion rate formula?

Divide conversions by opportunities for the same period and multiply by 100. For example, 45 requests from 1,500 visits is 3%.

### Why is my Google Ads conversion rate over 100%?

Because a single interaction can produce several conversions when you track multiple actions or count all conversions. Google explains this in its conversion rate definition.

### Should phone calls count as conversions?

For a service business, yes; many customers call rather than fill in a form. At a minimum, track how many calls lead to a quote.

### Is conversion rate enough to judge a campaign?

No. You also need the cost of each conversion and the value of the customers it brings in. A campaign that converts less but attracts recurring maintenance contracts can be more profitable.

## Sources

1. Aide Google Ads, « Conversion rate: Definition », https://support.google.com/google-ads/answer/2684489 (accessed on 2026-10-15)
2. Office québécois de la langue française (Vitrine linguistique), « coût de conversion du client (GDT) », https://vitrinelinguistique.oqlf.gouv.qc.ca/fiche-gdt/fiche/26541620/cout-de-conversion-du-client (accessed on 2026-10-15)