Click-through rate (CTR) is a metric reflected by the ratio of the number of clicks on a link, Call to action (CTA) button, or ad to the number of Impressions it received – determined by how many users saw it.
For example, if an ad has been clicked on 200 times after being displayed 50,000 times, it has a click-through rate of 0.4%.
CTR measures the effectiveness of your content and marketing campaigns, such as PPC, email, or social media, in reaching your target audience. It can also help evaluate the success of different marketing channels in the business’ total performance. Moreover, CTR assesses how effective your choice of CTAs and advertising copy is.
The higher the click-through rate, the more successful the content or ad is in generating interest. If your CTR is low, you may be targeting the wrong audience, using messaging that doesn’t resonate with users, or spending money on irrelevant Keywords . There isn’t a single benchmark determining what makes a good CTR, as it will vary across industries and campaigns.
CTR alone doesn’t give you a complete overview of your company’s marketing performance, so reaching a high CTR shouldn’t be your primary goal. Always focus on business metrics first and combine CTR with other metrics, such as conversion rates.
