Why high CTR is important if you are only paying per click?

Posted 3 years ago in BUSINESS.

Before getting to the part where we have to discuss the importance of the CTR let us first get to the part where we will get to know what exactly a CTR is. 

Why high CTR is important if you are only paying per click?

CTR (Click-Through-Rate)

Putting it simply the full form of CTR is Click-Through Rate and it is the percentage of the impressions that are resulted or you can also say obtained in a click. The CTR formula is like this; if the PPC ad has impressions of number 1,000 and one-click then it will be 0.1% CTR. As a metric, the CTR which means Click-Through Rate tells the users about the relevant searches that are finding your ads to be. 

Just take it like this if you have a – 

  • High CTR: then the users would be finding your ad to be relevant that too highly. 
  • Low CTR: then the users are discovering your ads to be less relevant. 

The goal of the PPC is to crusade to get more and qualified users to come and perform desired actions on your website for example it could be to make a purchase, fill out a lead or contact form, or download a spec sheet. The main and the foremost purpose of the CTR is to improve the relevancy of the ads of your websites and also generate desirable actions or to select impressions vs Click-Through Rates.

Importance of CTR (Click-Through-Rate)


  • First of all, let’s look at what a good CTR is; well it depends on several factors like – 


  • Your industry 
  • The set of the keywords that you are using or binding on
  • The next would be the individual campaigns within the PPC account. 

It is quite strange to look for a double-digit CTR on the branded keywords whenever someone is looking for your brand name then it would be the trademark or the brand name for the same. 



  • Impact of CTR on the rank of the ads


The CTR is just an indication of how relevant your ads are to the researchers but it also contributes to the fact that what will be the rank on your Ad on the search engines. The ad rank will determine the position of your ad on the page of the search results. And it is right that the PPC is not a pure auction and the top position not always goes to one with the highest bids but to the one with the highest ad rank. 



  • Impact of CTR in scoring quality score 


Quality score is actually the measure of the relevance of the advertiser as it is related to the keywords, ad copy, and also the landing pages for this the users can always go to the professional pay-per-click agency. If your ad is more relevant then the landing pages are more likely that the users will see the higher quality scores. The point is that a very good CTR will help you to gain revenue that too higher quality scores. 


Kamal Hasan

Living in India