CTR Formula

CTR (Click-Through Rate) is calculated by dividing the number of clicks by the number of impressions and multiplying by 100. The formula is: CTR = (Clicks ÷ Impressions) × 100, which expresses the result as a percentage.

Context and Usage

The CTR formula is primarily used in digital advertising and marketing to measure the effectiveness of online campaigns. Digital marketers apply this formula across search engine marketing, display advertising, email campaigns, and social media advertising to evaluate how well their ads or content engage target audiences.

Common Challenges

Common challenges with CTR include its inability to measure conversion quality and potential for manipulation through accidental clicks or click fraud. High CTR doesn't always correlate with business success, as users may click without genuine intent to convert, leading to misleading performance assessments when used as a standalone metric.

Related Topics: conversion rate, CPC, impressions, CPA, ROAS, engagement rate, bounce rate, CPM, quality score