Click Through Rate

What is your Click Through Rate?

"Click Through Rate" or "CTR", is a buzz word in online marketing. However it is much more than that. It is an easy way for you to judge how well your online marketing is doing. Spend 1 minute going through the following to understand how to use it.

CTR measures the number of people who have clicked on something, compared to the number of people who could have. It is measured as a percentage. Mathematically, it must be between 0 (no-one clicked) and 100 (everyone clicked). (I have actually seen it greater than 100, but that was down to issues with the reporting tool.)

The main use of CTR is in pay-per-click advertising such as Google AdWords. There you have the paradox that a higher CTR will probably cost you more in total, but may actually reduce the cost of each individual click, and / or improve your advert's position. That is a topic for another day. However, it lets you see how important CTR is there. But how can we use it elsewhere?

The same measure can be applied to any option on your website, email marketing, or any other digital activities. The number of clicks relative to the number of possible clicks.

For this to work, you need to have some type of visitor statistics that can capture these figures for you. If you don't, or are unsure, speak to whomever looks after your online marketing.

Let's demonstrate this by means of some examples.

  • An online contact form. How many visitors to that page actually click on it? Presumably that is the purpose of that page, so why don't they all?
  • Special Offer promoted on your home page. Do enough people (indeed any) actually click on it? If not, what should you do about it?
  • Submit their payment details at the final stage of an online purchase. Many people don't, even though they have gone through all of the preceding steps. A lost sale.

I am sure that you can think of other scenarios that are relevant to your business. Indeed, you may already be thinking along these lines, usually in terms of "not enough people are...." whatever is important to you.

The power of CTR is that it allows you to measure what is important, detect trends, and allows early intervention if things deteriorate.

If everything appears to be OK, then congratulations. But what if you have a problem? If you don't care about your website marketing, then it's not really an issue. However, you wouldn't have read this far, would you?

Usually I would suggest that you first contact whomever looks after your website. However, you may now realise that website design and website marketing are two different skill sets. That is why web designers pass clients to us. Get in touch and I can tell you how we could help you.

By Kenneth Mackay, 17th February, 2015

This is one of a series of articles that deal with common issues when promoting your business online. We hope that you found it useful. Go to our online marketing tips to see previous pieces of advice. If there are any topics that you would like covered, please let us know.

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