CTR (Click-Through Rate) describes the click-through rate in internet marketing. In order to calculate it, the ratio of the number of clicks to the total number of impressions of any content is taken into account.
The goal of placing contextual ads in Google Ads is to increase traffic and sales. Ads help to drive traffic by making sure that users do not click through to find out more information. The click-through rate of advertisements is called – CTR in advertisements. With the help of this metric, it is not difficult to track what percentage of visitors out of the total number clicked on the ad.
Clicks/number of impressions) x 100 = CTR
For example, your ad was viewed by 100 people and 15 of them clicked on it. Apply the formula:
(15/100) х 100 = 15%
So, the CTR of an ad is 15 percent.
The click-through rate is a criterion for evaluating the quality of ads in advertising systems.
Let’s say that Sveta didn’t want to work on the ad content, but set a higher price per click equal to 200 USD and received a CTR of 10%.
Her friend Masha could afford the price of $150 per click, but came up with a bright and interesting ad that raised her CTR to 35%.
Let’s try to find out which content is more profitable for the advertising systems if both ads were shown to a thousand users.
Sveta: (1000 x 10%) x 200 = $20000
Masha: (1000 x 35%) x 150 = $37500
Despite the low click-through rate, Masha is considered a more desirable client for Google than her friend.
The above algorithm for calculating click-through rates is also relevant to search engines. A high CTR indicates a high number of clicks from the search engines. An attractive snippet will give you a high CTR.
A change in CTR affects
To increase CTR you should:
It turns out that CTR has a significant impact on advertising and search promotion. Therefore, attracting traffic and bids is impossible without working on increasing clickability.