We are relatively new to Shopify since we just opened shop in March. We are not fully accustomed to the entire platform and are still learning a lot of the terms / aspects to it. What exactly is a conversion, how does it take place, and what does it look like in real time?
A conversion is the moment when a potential customer (a visitor) takes a step that directly contributes to your business goals (=sales). In the case of an online shop, this is usually a purchase.
The rate is calculated as follows:
1% conversion means that 1 in 100 visitors have bought something.
At 0.2%, it is just 2 out of 1000 visitors.