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Click-through rate


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Click-through rate (CTR) is a metric that measures the number of clicks advertisers receive on their ads per their number of impressions. In this tutorial you'll learn exactly how click-through rate is calculated, why click-through rate is important to your pay-per-click marketing account and what constitutes a good click-through rate for PPC, and how you can get one.

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Click-through rate

  1. 1. Click-Through Rate (CTR) - Learn How toRaise Your Click Through RatesClick-through rate (CTR) is a metric that measures the number of clicks advertisers receive ontheir ads per their number of impressions. In this tutorial youll learn: Exactly how click-through rate is calculated. Why click-through rate is important to your pay-per-click marketing account. What constitutes a good click-through rate for PPC, and how you can get one.So what is click-through rate, anyway?As mentioned above, PPC click-through rate is the rate at which your PPC ads are clicked. Thisnumber is the percentage of people who view your ad (impressions) and then actually go on toclick the ad (clicks).Generally, you can view your click-through rate within the dashboard of your PPC account:Why do click-through rates matter?Click-through rate is important to your account because it directly effects your Quality Score.Google AdWords and other search marketing platforms offer pricing discounts for ads that offerhigh relevance (read: make searchers happy with their search engine results). One means fordoing this is to offer higher Quality Scores to ads with high AdWords click through rates: High click-through rates lead to high Quality Scores. High Quality Scores allow you to improve or maintain ad position for lower costs.Additionally, if you are advertising on relevant queries, achieving a high click-through ratemeans that you are driving the highest possible number of people to your offering.Whats a "good" click-through rate?
  2. 2. This is a hotly debated topic: what constitutes a good click-through rate?From a purely statistical standpoint, theres no such thing.Take a look at Yahoos answer to the "whats a good click-through rate" question:The honest answer to the question is, “It depends.” Click-through rates are naturally going tovary from campaign to campaign, and even from keyword to keyword. Everything involved in theway your ad is displayed plays a part, from your ad copy to the ad’s ranking on the results page.So while you want to have a "high" click-through rate, theres really no magic number. Generallyspeaking, as we mentioned above, you want as high a click-through rate as possible.Except when you dont.When higher click through rates are actually bad forbusinessIf a keyword isnt pertinent to your business or isnt going to generate sales, leads, brandinggains, etc. then a high click-through rate for that term is actually bad for business. Thereasoning for this is fairly clear: Youre paying for every click. A lot of clicks generate a lot of ad spend. Some times youre generating clicks on keywords that are priced too high, and wont turn a profit even if they convert. Irrelevant terms and clicks are just spending money without bringing in additional business.So you dont always want higher click-through rates: what you want are high CTRs on keywordsthat are: Relevant - Have to do with your ad text, your landing page, and your offering. Affordable - Keywords that arent going to be profit-prohibitive.So, in a nut shell, a good click through rate means first targeting the right words, then getting asmany people as you can to click on those ads.Achieving strong click-through rates for your adsA pay-per-click solution for click-through rate, then, should provide you with: Targeted keywords to bid on. A means of discovering cheaper, cost-efficient clicks. Tools and methodology for closely integrating keywords with ad text and landing pages.
  3. 3. The ability to quickly and efficiently segment keyword groups to generate closer targeting.WordStream answers each of these challenges with the softwares search engine marketingplatform and solutions: Targeted Keywords - The software offers keyword research, keyword suggestion, and Web analytics tools that generate extensive, highly relevant clicks. Cost-effective Clicks - WordStream offers best-in-class Quality Score management tools and a unique means for identifying long tail keywords, ensuring that you are discovering the cheapest and most relevant clicks possible. Additional Tools - Finally, you need to actually create compelling ad text (text that relates to what the person was searching for in the first place), have them relate to your keywords, and have them synced with your landing pages. Keyword Grouping - WordStream offers sophisticated keyword grouping and PPC management tools which allow you to create tightly related segmentations.Generating a truly optimized click-through rateIf youre interested in generating the best click-through rate possible for your offering, learnmore about WordStreams tool set and how it can be leveraged to generate better CTRs byreading about our: Web Analytics Tools Keyword Research Tools Keyword Grouping Tools Ad Text Creation Tools Landing Page Tools Quality Score SolutionsAnd, of course, learn more about WordStreams tool set and how it affects click-through rate by: Trying WordStream Free Today Requesting a Live Demonstration Signing up for our Search Marketing Webinar Subscribing to our Newsletter