Click-Through-Rate (CTR)
What is a click-through rate?
A click-through rate (CTR) is a marketing metric that indicates how often an ad or link is clicked, relative to the number of impressions or views. The CTR is usually expressed as a percentage and is an important metric for the effectiveness of advertising campaigns and the performance of ads.
How is the click-through rate calculated?
A simple formula for calculating the CTR is:
CTR = (number of clicks / number of impressions) x 100%
Example calculation:
Let's assume an ad was displayed 1,000 times (impressions) and clicked on 50 times. The CTR would then be:
CTR = (50 / 1000) x 100% = 5%.
This means that out of 1,000 ad impressions, 50 clicks were achieved, which corresponds to a CTR of 5%. A higher CTR indicates that an ad or link is more effective and brings more visitors to the advertised website.