What Is Click-through Rate?

What Is Click-through Rate?

Defined as the percentage of all impressions that resulted in a click-through, this metric is often used to measure the effectiveness of an advertisement, landing page, email campaign, or social media post. The higher your click-through rate (CTR) is, the more likely you are drawing in new traffic to your site.

Each time someone visits your website, you will get a certain amount of website traffic. This website traffic is represented in the form of an impression. A person’s action after seeing your ad is called a click-through.

For example: If you have an advertisement on a whiteboard and you get 40 impressions in one day and ten clicks, this would mean that you have a CTR of 10%.

CTR plays a significant role in improving your website performance as it helps you identify which marketing techniques and content are working and which aren’t. Conversely, a low CTR is an indication that your marketing methods are not working. Be it an ad placement, offer, or content, you’ll be able to pinpoint the problem areas and make adjustments accordingly.

What’s more, looking at your click-through rate by channel will help you determine which channel is most effective in driving traffic to your site. You can then allocate most of your ad budget into that channel for maximum results with this knowledge.

What is a good CTR?

This mainly depends on your business niche, keywords you are targeting, copywriting, ad copy length, and placement. The industry standard for most industries is anything between 2-3%. However, you can increase this by showing more ads to your visitors. When you are pushing the most targeted traffic to your site, CTRs can soar.

How to improve your CTR?

Improving your CTR will basically depend on where you want to boost it.

For instance, you have a low CTR on your site, what would you need to do?

The obvious answer would be to eliminate any and all distractions and ensure that the copy is concise and direct. But, there’s more: If you figure out which keywords/phrases are bringing in the traffic, then that would be your first step. You can plug those into Google Adwords or other PPC networks to drive them straight to your website.

Meanwhile, if your goal is to increase CTR on social media such as Instagram, Facebook, LinkedIn, or Twitter, you can use hashtags to generate more clicks. To make this happen, you’ll need to look at the most popular hashtags surrounding your niche/industry and include them in your post’s description.

There are other ways to improve click-through rates that are not as obvious. One way is to identify the common timeframes that people are online for each day. While you’ll have a hard time doing this for Facebook because it’s used by many different demographics, Twitter is still fairly universal.

Overall, make sure that your copy is clear, concise, and direct. Include something in your ad that makes it special and unique. Using the example above, showing a great picture of a person might make your ad more compelling.

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