Click-through rate (CTR)

What is Click-Through Rate (CTR)?

Click-Through Rate (in short: CTR) is an important metric in digital marketing that measures the effectiveness of marketing campaigns, onsite campaigns and email marketing campaigns. It represents the ratio of users who click on a link to the number of total users who view a page, email, or ad. CTR helps you gauge how well your content captures attention and encourages viewers to take your desired action, such as visiting your website or landing page. High CTRs indicate content engaging content and effective targeting.

How to calculate Click-Through Rate

Calculating CTR is straightforward. You divide the number of clicks a link receives by the number of times the link was shown (impressions), then multiply the result by 100 to get a percentage. The formula looks like this:

CTR = (Number of Clicks / Impressions) × 100%

For instance, if your ad was shown 1,000 times and received 50 clicks, your CTR would be 5%.

Benchmarking – What is a good Click-Through Rate (CTR)?

A “good” CTR varies widely by industry, the platform being used, and the type of content displayed. For instance, an average CTR for Google AdWords across all industries is about 2%, but this can be higher for search ads and lower for display ads. Email marketing campaigns, on the other hand, might see an average CTR around 2-5%. And onsite marketing campaigns can see a CTR between 2-25% depending on the targeting and offer. Instead of comparing your CTR against universal standard, think about which type of campaign you are running, who you’re targeting, and the offer itself. For example, an onsite campaign with a birthday message targeted to people who have a birthday that same week can receive a CTR upwards of 50 – 70%, but a general message prompting visitors to “Learn more” about why your delivery times are a little longer than usual might only receive a 0.5-1% CTR.

However, here are some guidelines related to different content types:

Tips to Improve Click-Through Rate (CTR)

Improving your CTR involves several strategies focusing on optimization and personalization:

• Write better copy: Use action-oriented language and curiosity gaps in your ads or emails to intrigue and motivate your audience.
• Improve targeting: Refine your targeting to reach the most relevant audience who is more likely to be interested in your offer.
• Visual contrast: Ensure your content is visually appealing and stands out from the environment it’s shown in.
• Test different angles: Use A/B testing to test different visual hierarchies and promotion angles. Test percentage discounts (i.e. “20% off”) vs absolute discounts (i.e. “Get $10 off”)
• Use Urgency and Scarcity: Countdown timers and product stock notifications can increase the motivation to click for your target audience

Tools for Tracking Click-Through Rate (CTR)

Many tools can help you track and optimize your CTR, each offering different features tailored to specific marketing needs.

• Triggerbee: Offers insights into how users interact with your website and content, allowing for targeted campaigns and improvements to drive higher CTRs. Triggerbee’s analytics tools make it easy to track CTR’s for your onsite campaigns along with conversion rates and more.
• Google search console: Provides comprehensive data on your search performance and lets you track CTR for different keywords and search terms your website ranks for.
• Marketing automation tools: Almost all marketing automation tools, like Rule, Klaviyo, Mailchimp and Voyado offers detailed reports on opens, clicks, and conversions to help you analyze your performance and make tweaks for improvement.
• Ad platforms: CTR is one of the most important metrics when you’re running ads. Whether you’re using the Meta ads, Google ads, or TikTok’s ad platform you’ll be able to measure the performance of your ad campaigns.

By focusing on targeted content, engaging design, and continuous optimization, you will be able to significantly improve your CTR.