I often get asked what is considered to be a good Click Through Rate (CTR). The answer to this question will depend on a number of things:
- The industry you’re advertising in.
- How well your ad is written (or produced for non-text ads).
- How targeted your keywords and keyphrases are.
- Where your ad is being shown.
Before we answer what a good CTR is, let’s look at how we can improve our performance in each of the above 4 areas.
The industry you’re advertising in doesn’t require much attention as there’s nothing you can do to changes this - unless you’re in a product planning stage. But, if you’re looking up PPC tricks and tips, then chances are you’re into production already and ready to sell product.
If your ad is well written, you can achieve a massive increase in CTR. So how do you write better ads for PPC? Learn more about human psychology and experiment. You may have read that using the word because in a question will increase the likelihood of a favourable answer. In a similar way, you can use tricks like this to increase the probability that someone will click on your PPC ad. Learn. Test. Learn more. Test more. Achieve results.
Target Keywords and Keyphrases
Common keywords will get you a lot of traffic, but the market for these keywords may be so saturated that you won’t achieve a good CTR. Even worse, the popularity of these keywords will mean you have to pay top dollar to achieve the first page of search results. If you put in specific, targeted keywords, you can achieve a massive increase in CTR.
To target particularly well you can group your terms in “inverted commas”, or simply keep adding keywords to your phrase. You probably won’t receive much traffic as highly targeted keywords and phrases don’t get searched as much, but you’ll get a great CTR for very little Cost Per Click (CPC).
Filter out Sites
Ads shown on the Google Content Network often have a particularly bad CTR. The conversion rate can be even worse. The reason for this is because generally, a visitor is at a web site to read particular content or to find specific answers. If they find what they’re looking for at the site, then they won’t click on your ad. On the odd chance they do click your ad, the probability of your site capturing their interest is very low unless you have exactly the information they’re after.
It’s not all doom and gloom though. Some sites on the content network have visitors who are very open or who don’t mind spending money to save time or just get the job done. If you have the answers (or products) they need, you’ll get the clicks and the conversions. So the trick is to filter out the bad sites wisely.
So What is a Good CTR!?
So after all this, what is a good CTR? As you can see above, there are so many factors that there’s no way to predict a good CTR for your individual case, however here are some rules of thumb that we have observed:
- A CTR under 1% is almost always bad.
- A CTR of 1-2% is mediocre.
- A CTR greater than 2% is pretty good and what is you should be looking for.
- A CTR greater than 4% is fantastic.
- A CTR of 75% is mind blowing (and yes, it’s possible with targeted keywords and phrases - just ask our clients ).