CTR: What is Click Through Rate?
The click through rate (CTR) tells you the percentage of people who click ads once they have spotted them. In order to know the rate, the number of clicks is divided by the total impressions that the ad received.
Click through rate is a very important and crucial metric that has to be watched closely.
CTR can tell you a lot about the effectiveness of a campaign that you are running. A high CTR indicates that the ad copy (as well as the imagery if applicable) is actually resonating well with your audience. When a CTR is high, it shows that the people you targeted with an ad are indeed engaging with the ad (‘clicking it’). It also means that the benefits, products, or services that you offered were appealing and the copy provided was also convincing enough for the visitor to click the ad and land on your landing page. This, in turn, led to more people visiting the landing page after being exposed to the ad. A high CTR is goal with your campaign.
When the CTR is low, it means that the ad and/or ad copy was not really a good match for the audience that was targeted — or, the value proposition is below average. If you try to test an ad and realize that the rate low, you should work on new copy as the ad you’re running is not performing well.