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Click Through Rate

What is Click Through Rate or CTR?

Click Through Rate is the ratio of the number of people who see an ad to the number of people who click on it. CTR helps in understanding how well your keywords, ads, and listings are performing and make improvements accordingly.

Why is it important?

Below are a few reasons why CTRs matter.

Good CTRs indicate that your ads and content are relevant.
CTR is an important factor in deciding the ad ranking on search engines.
CTR helps in determining your ads’ quality scores.

How to calculate Click Through Rate

Here is the formula to calculate Click Through Rate (CTR).

CTR = Number of clicks / Number of impressions

Related Terms

Ad impressions

An Ad impression is counted when a user sees an advertisement on an app or website. Impressions are measured in terms of CPM and eCPM, expanded as Cost Per Mille and Effective Cost Per Mille, where Mille represents a thousand impressions.

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