What is Click Through Rate

What is Click Through Rate?

And why a slight adjustment can save you thousands.

Digital marketers love acronyms: CPA, PPC, ROAS, MRR, and of course there is CTR. Such acronyms can be confusing to a layman. As a medical practitioner, you should be aware of the common terms that are used if you intend to use digital marketing.

Click-Through Rate (CTR) is one of the most important metrics that is used to gauge the effectiveness of your Pay-Per-Click (PPC) advertising. click-through rate could make or break your PPC campaigns and on this post, we are going to tell you why it matters and also why it is important to be on the higher side.

What Does Click-Through Rate Mean?

To put it simply, CTR could be described as the percentage of visitors who click on an advert after interacting with it. To get an accurate number, the total number of impressions an ad has received is divided by the number that has clicked the ad. A high click-through rate is an indication that the users did find your ad useful or fulfilled their query. click-through rate could be used to determine the Google Ads that are performing well so that budget adjustment is made accordingly which leads to increased traffic.

Why Click-Through Rate Matters

Click-Through rate is important because it is the main factor when it comes to determining your ad quality score. The quality score of your ad will also have a bearing on the effectiveness and cost of your PPC campaigns. Quality score is Google’s metric which checks for the relevance and quality of your PPC ads and keywords. The Quality score will be useful in determining the cost per click (CPC) which is then multiplied by the maximum amount you bid. The computation will determine your ad rank on search results.

Google has kept it a secret as to how much each of the different factors weighs but is more than obvious that click-through rate is the most important consideration. Google offers generous discounts for ads that are highly relevant to searchers. A good click-through rate leads to a high-quality score which in turn leads to a high ad position. This ultimately lowers your spending costs on PPC.

What is a Good Click-Through Rate?

This has been a very controversial topic among digital marketers because there is no straight answer to the question. Coming from a statistical perspective, it depends. The truth is click-through rate is going to vary from one campaign to another even if the keywords are similar in nature. It is understandable to want the highest click-through rate but you should have in mind that there is no magical number. According to WordStream, the average click-through for AdWords campaigns is 0.35% and 1.91% for display and search respectively. There are tools that you can use to compare your click-through with the industry’s benchmark.

When a High Click-Through Rate is Not Good for Business

Not every good click-through rate is going to be good for your business. There are situations where the click-through rate is excellent but is a result of unwanted keywords. The keywords may not be related to your business. It may not also be good for your business if you’re paying for every click. As a result, you’re running at a loss especially if the CPC is high. High CPC can also render high click-through rates useless. This means that you’ll not make a profit even if you get a conversion for the keyword. For a high click-through rate to make sense, it has to be:

Affordable: Assess your competition when setting up your campaigns and avoid keywords that are going to be profit-prohibitive.

Relevant– Everything from your landing page to your ad text should be relevant to the searcher’s query.

In essence, a good click-through rate is all about finding super-relevant keywords and attracting the right people to click on the ads.

A Slight Adjustment in CTR Can Save You Thousands

Benefits of High Click-through Rate

  • High Ad Impression Share
    There are a ton of benefits that come with having a high click-through rate with the main one being a lower cost per click. This eventually saves you thousands of dollars that would have been wasted on clicks. This applies to both kind of Google ads be it search or display. The impact does not only affect CPC but also the ad impression share.
    The impression share has a bearing on how the ads appear. A one point decrease or an increase in the quality score can have a great impact on the impression share. This is even more important on mobile because impression share is two times more competitive than desktop.
  • A Boost in Organic Results
    A digital marketing campaign should be holistic. You shouldn’t neglect SEO even if your focus is on paid advertising. With SEO, you get to rank organically. According to WordStream, there is a direct correlation between organic ranking and good user engagement metrics. You’re more likely to witness increased traffic in the SERPs if your targeted page has a high click-through rate. You will need to increase your click-through rate by more than 3% in order to move up one position. Google is giving more prominent organic results for sites with a high click-through rate.
  • Increase Conversion Rate
    An increase in click-through rate will also result in an increase in conversion rate. You should expect to see an increase in conversion rate by 50% if you just increase your click-through rate by 2%. This is more than enough proof that the click-through rate is the most important metric when it comes to determining the success of a PPC campaign.
  • You Get Free Clicks from Social Ads
    Facebook and most social media sites don’t have what you’d call a quality score for their ads. Facebook calls it relevance score while Twitter refers to it as Quality Adjustment Bid. Regardless of the name, the higher the quality score, the better the ad impression share for a given budget. You’re probably wondering how you benefit from free clicks because of a high click-through rate. Once a post is shared, it will appear on someone else’s news feed. Facebook won’t charge for such an engagement because it has happened naturally.

Increase Email Opening Rate

A lot of people don’t like opening emails from unknown sources. Google has become very effective when it comes to filtering emails and your message might go directly to spam even if it is not soliciting for anything. Even if your email does make it to the inbox folder, there is no guarantee that it will be opened. An email with a good click-through rate improves the chances of it being opened and read. You should clean your database so that you only remain with those who are interested in your product or service.

You can only enjoy the mentioned benefits if you start improving your click-through rate.

Ways to Adjust and Improve Click-through Rate

There are small adjustments with regards to click-through rate that could save you thousands of dollars every month on PPC campaigns. There are generally two ways you can use to significantly improve your quality score: excellent creative and precision targeting. It is difficult to make an assessment if you don’t have quantifiable data for split testing.

  • Countdown Timers and Urgency
    Humans are wired to do things last minute. The fear of missing out is always going to work to your advantage. By creating a countdown timer, you’re essentially telling the web searchers they’ll be missing out on a big opportunity. Some advertisers like Clarks America have witnessed up to a 33% increase in click-through rate because of using countdown timers and creating a sense of urgency.
  • Using Ad Extensions
    This is a simple hack that a lot of digital marketers tend to overlook. Google is all about advertisers getting a good click-through rate. When people get good click-through rates, they are likely to spend more because they can see the return on investment. Google highly recommends using ad extension if you want to see an increase in your click-through rate. Including the positive reviews could be used as a trust badge for online searchers who are still on the fence.
  • Use of Symbols 👍
    You can use symbols to draw attention to your Google ads. This will make your stand out from your competition if used correctly. This can lead to a better ad score which improves your position. Make sure you’re using symbols in your ad copy whenever it is relevant to do so.
  • Keyword in the URL
    Some marketers do the mistake of not putting the keyword in the ad URL. A visitor will be more drawn to an ad that has the keyword because it somehow looks like it can fulfill the query. They will assume the ad is relevant since it displays the keyword they are searching for. According to WordStream, it was found out that 33% of 580,000 analyzed did not have the keywords they were targeting in the URL.  Adding your keyword in the URL only takes seconds and can go a long way in improving your click-through rate.
  • Know Your Audience
    This should be the first thing you do before you even write copy. You want to make sure you’re getting the right traffic so that you can get the quality leads. If you know your audience, it will be easy to know how and where to get them. The production or service description needs to be on point since they look for specific terms. You should also know how they compare and choose their products. Once you have identified your targeted audience, you need to have a stellar value proposition in place. You don’t want to bombard them with information or the same product that every competitor is offering. You offering has to be different from the competitor. Start by describing their life and wants and ask yourself if their needs are currently being made and also how you can improve it.
  • Call-to-Action
    The call to action message is what will determine whether or not people click on your ad. There is the satisfaction that comes with clicking a call to action and you should offer just that. Humans are curious creatures and your ad should be able to help them make that decision to know more about the product or the service. If they don’t get an answer to their query, they will return back to the search engine and look for an alternative. Make sure your landing page is on point and you’re adequately answering the queries.
  • Title Capitalization
    This is another simple hack that you could use to differentiate you from the competition. Title capitalization looks more appealing and can definitely improve your click-through rate if your competitors are not using the trick.
  • Research Competition
    A good way of improving your ads is to look at what your competition is doing. You can then get pointers on areas you need to improve and how you can also make a better ad copy. Are they using compelling copy or a strong call to action? You can then reverse-engineer the process to your benefit.
  • Test
    PPC is not an exact science. There are basic things that a common across the board but there is no one campaign that could be identical to another even in the same niche. When you’re starting out, the best you can do is to collect data about your target audience. It is from this data that you’re able to observe patterns. You can then decide to disable campaigns that are not delivering and optimize those that look promising. You can also do split testing depending on given variables to see which campaigns perform. By optimizing your campaigns, you get to utilize the budget more effectively.
  • Regular Bid Adjustment
    Sometimes the campaigns might not be utilizing the budget well. By regularly adjusting the bids, you’re making sure that your campaigns don’t suffer. Sometimes bidding to low may result in no clicks at all which beats the purposes of PPC campaigns.


The click-through rate is a core factor that determines the success of PPC campaigns. As a doctor or other medical professional, you should make sure that you are consulting with an experienced and qualified digital team on how to improve the click-through rate of your PPC campaigns.

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