CTR can be calculated by dividing the number of clicks by the number of impressions. The obtained result is multiplied by 100. Let us assume that our advertisement has received 150 unique clicks, and the number of views was 1000. In this case, we divide 150 by 1000 and then multiply the result by 100. (150/1000) x 100 = 15%. Our CTR indicates that the ad we reviewed received clicks from 15% of the people who viewed it.
That said, many elements can affect the click-through rate and thus the CTR. Among these elements, we can mention:
- The high-quality score of the proposed offers (the higher, the more users are forced to click),
- Placement of ads on the pages of the site (the higher “priority” the ads have, the easier it will be to attract the attention of the message).
- Content of ads (the more relevant, the more users will be interested in them).
What is the click-through rate (CTR)?
The Click-Through Ratio, also known as CTR, is the most critical click-through rate measure of performance for any online advertising campaign.
Click-Through Rate is a ratio between the number of clicks to the number of impressions.
High CTR (click-through rate) indicates that the messages we offer are in line with our intention. If we manage to increase traffic to our site, there is a greater chance of converting them into predefined actions.
Google, for example, uses this evaluation tool to provide all webmasters with an idea of the performance of various snippets found on the web.
The Click-Through Rate is an important KPI (key performance indicator) for evaluating digital content.
The CTR is a crucial figure for the user’s click behavior and is used to assess content. The reception metrics provide information about the user’s response and interest towards headlines, widgets, and ads.
The CTR is a user-relevant factor and allows weak points in the user approach to be identified and specifically optimized.
Here you can check out the differences between click rate and click-through rate!
How Much Is a Good Click-Through Rate?
When starting an advertising campaign, the question always arises: when can we say that we have a good Click-Through Rate and thus can be satisfied with the results of our advertising campaigns? Unfortunately, there is no definitive answer to this question. That is because the ratings depend on many factors, such as for example, the type of campaign, the competitors who have entered the game, and the target users we are targeting, among many variables.
To find the answer to this question, the best you can do is compare with market benchmarks. To take one of the classic examples, Facebook ads have average click-through rates consistently below 1%. If we are in this range, we can believe that we have done an excellent job: the ads are effective! If, on the other hand, we use Google, the average CTR should be around 2%.
It is also essential to analyze the cost per conversion. If, for example, we invest $ 100 and get a return of 25 cents in sales or leads – something that could be considered an excellent result! – but this means it has taken us 400 impressions before achieving these results. In other words: our CTR was 0.25%.
if you are one of the digital marketers, here are some tips on what you can do to improve your click-through rates:
Identify specific keywords
Keywords are some of the most important things to consider in Google Ads – always try to use the best ones. A well-written, high-quality ad loses a lot of traffic if it doesn’t match the right keywords. Using these words correctly ensures that our business is reaching the right users with our ads, increasing the chances of clicks and thus maximizing the return on your advertising investment.
Know your audience
All businesses are looking to increase traffic, especially when talking about paid campaigns. Investing ineffective money in advertising has nothing to do with investing in ineffective campaigns. Nevertheless, we always need to make sure that the traffic obtained from Google Ads campaigns is correct. It means that knowing our target audience is fundamental, and we need to do this even before we start creating an advertising campaign.
Include keywords in your ad URL
Adding keywords to your ad URLs is a great way to instill confidence in those who see them. When the keyword is in the URL, we give visitors confidence that they really will find what they are looking for when they click on a particular ad. Those who use this technique see a higher increase in CTR than those who don’t.
Add effective calls to action
While it may seem easy, strong calls to move in the text of your ad can significantly increase the click-through rate. The moment users see the ads, they will want to know the next steps. When we tell them exactly what to do, we’re leading them towards a long-awaited conversion. In this case, it is curiosity that will drive visitors to click the ad.
Many experts believe that an ad campaign cannot be evaluated solely based on CTR. This is true, but only partially. If the CTR is less than or equal to 1.5%, there is a problem because the total clicks are low. When the campaign has completed the learning process, and the audience has been properly configured, it should typically be between 3% and 5%. Implementing these ideas will help you optimize and increase CTR and make your ad campaign effective.
Why is the click-through rate important?
CTR is an important indicator because it allows us to understand users who come into contact with our advertising. Therefore, it shows which actions are practical and which need improvement. For example, if the advertising message is incomprehensible to customers, it will result in low CTR. Similar consequences may be associated with incorrect definitions of the target group.
The CTR is a KPI in content marketing that should not be underestimated. The number one medium in the customer journey is the Google search engine. If you want to rank well for the relevant keywords and get clicked on and generate traffic, you have to tease your content well and briefly.
When creating meta descriptions for individual pages, editors should look at competitors’ illustrations for the corresponding keywords and consider how they can stand out from the competition in the information offered. Those who arouse curiosity with their address and communicate better-added value will direct traffic from the competition to their website.
However, the importance of the click-through rate does not end with the search results but runs through the entire content strategy. Therefore, website owners and editors need to look at, analyze, and evaluate their communication efforts holistically. If at one point, the CTR deviates significantly, indicators for further optimization can be identified. Thus, CTR is an essential metric for measuring and improving content performance.
To increase the email campaign’s effectiveness, we can compare CTRs of different movements and thus – by trial and error – look for ways to communicate with customers effectively.
How to get a high click-through rate?
The honest answer to this question is, “It depends.” Click-through rates naturally vary from campaign to campaign and even from keyword to keyword. All the factors that determine how your ad is displayed have an impact – from the ad text to the ad’s position on the search results page.
While this means that you naturally want to have a high click-through rate, there’s still no magic number for it. Average click-through rates vary from industry to industry, and your expected CTR will depend on your ad position, among other factors.
The average for AdWords CTR is around 1.9% for the search network and about 0.3% for the display network. But the average is just that: average. This means that, as a rule of thumb, a good AdWords click-through rate is between 4-5% for the search network and between 0.5-1% for the display network.
The so-called “Click-Through-Rate” (CTR for short) shows the ratio of clicks on an ad to impressions. The click-through rate shows, as a percentage, how often an ad was clicked compared to how often users saw the ad online.
The click-through rate also depends on what time of day and where the banner is seen online. To gain more email subscribers and thus a higher click-through rate, online marketing should teach you how to understand numbers and their relationships.