The click through rate (CTR) is one of the most basic, and most frequently used, metrics in the online advertising industry. CTR is used to gauge the attractiveness and level of engagements ads get across all sorts of media, including Google Ads, Facebook and Instagram Ads, display/banner ads, Twitter ads, and even sponsored links.
Generally speaking, a high CTR is better than a low CTR. But the main metric is always sales/conversions. So don’t simply stop a campaign because it has a low CTR, since it might actually be converting into sales really well!
CTR (Click Through Rate) Calculator:
Use our click through rate calculator below to determine your CTR. Simply enter the number of clicks and ad received, and the number of ad impressions it received, and our calculator will show you the click through rate.
What is the Click Through Rate Formula?
What does CTR actually mean?
CTR means “click through rate”. Put simply, it is the number of people who clicked on something, normally and ad, that were given an opportunity to click on it.
A click through rate can be calculated either at a high level, or a granular level. Here is an example from one Google Ads account:
- Google Ads overall CTR: 12%
- Google Ads highest performing campaign CTR: 21%
- Google Ads highest performing ad group CTR: 29%
- Google Ads highest performing ad CTR: 42%
As you can see, overall the Google Ads account averages out to about a 12% CTR. But this can be broken down by ad, ad group, campaign, and many other dimensions as well. You might find high click through rates in one geographic region and low click through rates in other geographic regions – even with the same ads running in both!
Why is The Click Through Rate Important?
The click through rate (CTR) is one of the most important metrics to gauge the appeal of your adverts. For example:
- Ad #1 might be shown to 100 people, but only have a 1% CTR. This means out of the 100 people who saw it only 1 person clicked the ad. From this you can deduct that the ad either isn’t enticing, or it is enticing but it needs to be shown to an audience that would appreciate it more (and be more likely to click it).
- Ad #2 might be shown to the same 100 people, but have a 12% CTR. Obviously this is much more enticing, and you should probably consider running this ad moreso than Ad #1.
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