Click-Through Rate
Percentage of ad viewers who click on the ad.
Formula
Variables
Example
50 clicks on 2 000 impressions → CTR = 2.5 %
How it works
Click-through rate measures how often people who see an ad actually click it, so it turns raw click counts into a fair comparison across campaigns with different exposure levels. Dividing clicks by impressions gives the fraction of views that led to a click, and multiplying by 100 converts that fraction into a percentage. A higher CTR usually suggests the ad is more relevant, attention-grabbing, or well-targeted.
When to use it
Use this when evaluating online ads, email links, search ads, or social media posts to see how effective they are at getting attention and action. It is especially useful for comparing performance between different ads, audiences, or time periods.
Worked example, step by step
An online banner ad is shown 8,000 times and receives 160 clicks. CTR = (Clicks / Impressions) × 100 CTR = (160 / 8,000) × 100 CTR = 0.02 × 100 CTR = 2% So, the click-through rate is 2%.
Common mistakes to avoid
- Using clicks alone instead of dividing by impressions
- Forgetting to multiply by 100 when you want a percentage
- Mixing up impressions with unique viewers or counting the same person multiple times without realizing it
Did You Know?
The average Google Ads CTR across all industries is roughly 3–5 %; anything above 7 % is considered excellent.
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