What does the term "conversion rate" signify in digital marketing?

The term "conversion rate" in digital marketing specifically refers to the percentage of users who take a desired action after interacting with an ad, typically after clicking on it. This action could involve making a purchase, signing up for a newsletter, filling out a contact form, or any other objective set by the marketing campaign.

The conversion rate is a critical metric because it helps marketers understand the effectiveness of their ads in prompting users to follow through with the intended action. A higher conversion rate indicates that the ad campaign successfully engages the target audience and encourages them to act, making it a key performance indicator when evaluating the return on investment (ROI) of digital marketing efforts.

This understanding of conversion rates enables businesses to optimize their advertising strategies, enhance user experiences, and ultimately drive more successful campaigns, making option C the correct choice in this context.