What makes a good Click Through Rate?

Click through rate, also known as CTR, is the number of clicks your ad receives, divided by the number of times your ad is shown.

It’s commonly used to measure the success of an online ad campaign, but what is a good click through rate and what are the contributing factors? The higher the click through rate, the better, but what constitutes a good vs. sub par CTR?

Let’s take a look at the different components that will influence your CTR:

 

Data

A good general rule of thumb to go by is to have at least 100 impressions before you decide to optimise your campaign. You can give or take as you please but this is a good start because it means that the specific item, whether it be an ad group or keyword, has a fair chance of success.

 

Network

Depending on whether you are using the Search or Display Network can determine how high your CTR is. Search text ads and Google Shopping campaigns will usually have higher CTR’s than Display campaigns. That being said, Display re-marketing campaigns do have the potential for better CTR’s than other types of Display campaigns.

 

Relevance

Although this overall factor combines the whole search experience for the user from the search query up till the landing page, there are sub-factors within which work together to make a higher CTR. These are things such as your bids, keyword match type, ad copy, negative keywords and quality score. The top and bottom of it is, the more your keywords relate to your ads, the more relevant your ads are to users.

 

Ad rank

Your ads can have high relevance and your ad position can sometimes be lower than expected. In this instance, you need to consider both Google Shopping ad units, ad extensions and the importance that a text ad can diminish greatly. Don’t forget that you can increase your impressions without anyone even seeing your ad if it is below the fold on the users’ browser.

 

Device

Something to think about if you haven’t already, but CTR does vary by device. Mobile ads take up most of the screen so often users have only images before they have to scroll making mobile the front runner in CTR compared to those using desktop or tablet.

Based on these factors, it is up to you to determine what you consider a great CTR, others might say it’s too low, but I think 2% is a good focal point to aim for. As long as you are constantly striving to improve your CTR alongside your cost per conversion and conversion rate goals, you will stand the best chance at making your campaign successful, and that’s the best goal of them all, wouldn’t you agree?

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