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What is click-through rate (CTR), and how is it calculated?


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Click through rate or CTR is a ratio of the number of clicks driven against impressions served in a digital advertising campaign.

To calculate the CTR, we require the following metrics from your server:

1.Clicks

2.Impressions

CTR(%) = clicks/impressions

Use this useful CTR calculator for ease!

CTR is one of the key metrics in determining how successful your ad has been at driving a click. If your KPI (key performance indicator) is to drive people to a particular URL or landing page, then CTR is a great metric to judge effectiveness.

CTRs vary depending on what type of digital ad it is, as well as how strong the call to action is, but in general Search PPC ads (1-5%) will generate the higher CTR, followed by larger rich media display (1-3%), social ads (0.20-0.80%) and finally standard IAB display banners (0.05-0.10%).

Please note, for branding campaigns when your KPI is not performance driven, CTR is a redundant metric. Marketers and advertisers should stop thinking in terms of CTR as the sole measure of success because in many campaigns it is irrelevant if a user clicks on an ad or not. Simply getting the ad or message in front of an eyeball is enough to increase awareness of the brand.

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Hello,

A ratio showing how often people who see your ad end up clicking it. Click-through rate (CTR) can be used to gauge how well your keywords and ads are performing.

CTR is the number of clicks that your ad receives divided by the number of times that your ad is shown: clicks ÷ impressions = CTR.

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