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28 July 2013

What is CTR?

One way to determine how successful an online advertising campaign has been is by looking at its Click Through Rate or CTR.

CTR is a measurement of the amount of times your ads have been clicked on. To calculate a single ad’s click through rate, you must divide the number of clicks by the amount of impressions — the amount of times an ad has been displayed on a webpage — the ad has received.

Example: You are running an advertisement that has been clicked on 50 times and has 4,000 impressions. To calculate the CTR, you divide 50 by 4,000 to get .0125. (Calculation: 50/4,000 = .0125)

You will want to express your CTR as a percentage, so you will multiply the .125 by 100, revealing that your ad has had a 1.25% click through rate. (Calculation .0125×100 = 1.25%)

The industry average CTR is about .08%, so having a 1.25% CTR means your advertising campaign is doing very well.

Matt Cobb, an Account Executive at BubbleLife Media, graduated from Texas Tech University with bachelor's degrees in advertising and journalism. He has written articles that have been featured in a variety of publications, including The Daily Toreador, Lubbock Avalanche-Journal, Lubbock Magazine and In addition to writing, Matt is well-versed in the advertising realm, having spent time with an agency in Lubbock and managing client accounts at BubbleLife Media.