We’ve been meaning to redesign the SporkMarketing.com website for about 2 years now. It was a slow process for us because:
- There’s never enough time to get our work done
- We lacked focus and direction when it came to deciding on a new layout
- There didn’t seem to be a reason to rush – our old site performed well (or so we thought)
However, on June 3rd, our current site design finally went live. Without trying to brag, we’re proud to report that all key metrics — time on site, pages/visit, bounce rate, and conversion rates — have improved.
Our new site works better than our old one…imagine how much money we’ve lost by delaying our redesign for so long. (Click for a larger view)
Improvements We’ve Measured
Looking at the four week period beginning June 4th and ending July 1st, and comparing it to the period between April 30th and May 28th, we’ve seen some great improvements overall. If we exclude both branded search traffic and Stumbleupon traffic (our beer infographic gets a ton of monthly visits from Stumbleupon.com, most of whom don’t stay for very long):
- Average pages viewed per visit is up 10%
- Visit duration is up a healthy 25%
- Bounce rate has fallen about 8%
- Conversion rates have increased a whopping 46% (we’re getting 1.5 times as many leads as we used to)!!
That last metric is the only one that matters, and it’s also the one that hurts the most.
How To Calculate The Value of A New Website
Let’s say that your site is designed to generate leads (like our site). Let’s say that your industry is like most industries – that it costs you $100-$300 to generate a decent quality lead.
To figure out how much a new site could be worth to you:
- Project how much of an increase you anticipate in conversion rates – a 10-20% increase is a good place to start
- Multiply this percentage by the number of leads you’re getting each month
- Multiply again by your average lead cost
20% increase in lead volume * 10 leads/month * $200 avg. cost per lead = $400 in additional “value” each month from a new site
If a site redesign costs you $5,000, but it “earns” an extra $400 in leads each month, than you’ll get your money back in about a year.
Another Way To Think About Re-Design – How Much Does it Cost You To Keep Your Old Site?
Our site should have been redesigned 2.5 years ago. During that time, we probably lost out on dozens of leads. Since each lead has a value between $100-$300, our inability to redesign our site cost us thousands of dollars. That’s a harsh realization.
Hopefully, you can learn from our mistake. If your site needs a re-design, do it now. The longer you wait, the more you lose.