Click Thru Rate (CTR)

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What is CTR and how does it effect your Cost Per Click (CPC)?

Your Click Thru Rate is calculated as follows:
Number of Clicks Received / Number of Impressions (times your ad is shown)

Your Ads and Keywords have their own CTR’s and CTR’s are used to help determine your Quality Scores (one of the main factors determining your Actual CPC).

The CTR is an important Metric (unit of measurement) for your account because Google views higher CTR’s as indicators that your ads are more relevant to the keywords that people are using to search. For example, a well targeted keyword that shows a similarly targeted ad is more likely to be clicked by a user and therefor have a higher CTR than a general keyword with a non specific ad.

Example of Well Targeted:
Samsung LED TVs
Ad Text:
Buy Samsung LED TVs
Samsung LED TVs now on Sale
Free Shipping on most orders

Example of less targeted:
Samsung LED TVs
Ad Text:
Buy TVs Now
Great prices on all kinds of TVs
Free shipping on most orders

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