Before we discover out what clickthrough rate you must be aiming for, let’s start with the fundamentals.
What is a clickthrough rate?
CTR is just the ratio of individuals who click on your Google Ad once they see it. you can also estimate your Click Through Rate by taking the number of clicks that your Google Ad gets and divide it by the number of times your ad is shown, like this:
CTR = No of Ad Clicks / No of Ad Impression.
For example, if your ad gets 1 click and 100 impressions, then your CTR would be 1%.
Figuring out your CTR is very important because it allows you to see how well your ads are performing. If your CTR is average or good, it shows that your Google Ads are helpful and relevant. But, if your clickthrough rates are low, then your time, money, and efforts are getting to waste.
Your CTR will vary depending on which networks you utilize to position your ads. There are 2 Google networks you can use to place ads, so let’s re-evaluate them.
The Search Network
With the Search Network, your ad shows when a user searches for terms associated with your keywords. for example, if a user searches in Google for “Adidas shoes” Google ads with those keywords will display at the highest of search results with an “Ad” icon next to them.
The Display Network
On the opposite hand, with the Display Network, you’ll show ads on websites or apps that users are browsing.
Users might see your ad on a specific website because the content has relevance to your keywords or you’re retargeting previous visitors to your website.
Keep in mind…
Since the user isn’t actively looking for your keywords online, users are less likely to click on a Display Network ad. So, CTR is mostly lower for the Display Network.
So guys, Now you are more aware of clickthrough rates for Google Ads, let’s determine what a decent CTR rate is.
According to Google, the average or good click-through rate of ads on the search network is 2%. this means that, for every 100 impressions of that ad, two users clicked on that. This benchmark implies that any ad with a CTR above 2% will be considered above-average. Ads on the display network, however, usually have a much lower click-through rate around .1%, because these advertisements are primarily designed to extend brand awareness, instead of drive traffic.
Also, I want to inform you that CTR depends on your industry. Means what kind of industry you have & from which you are dealing, B2B services or B2C. As per data 2018, the industries with the lowest average click-through rates including Technology, B2B, & B2C.
Also, you can check here all the industries & there average CTR in this image.
The average click-through rate in Google AdWords overall the industries is 3.17% for search and 0.46% for display.
Both of these averages are higher than they were a couple of years ago – Good news for google ads online marketers and agencies.
The CTR also depends on your industry which belongs to these points –
1. Keywords: Include the keyword in Text Ad (The most important position is headline 1) & Create tightly themed keyword groups.
2. Avg. position: What is your ad position (Ad Rank).
3. Search Ad: Uppercase all words ad text.
4. Add Extension: You can use extensions for example – Call-to-action in Text Ad like – Shop Now, Visit Site, Click Now, Buy Now.