CTR (click-through rate)

CTR (click-through rate) - Frequency of Click-throughs as a percentage of impressions served. Used as a measure of advertising effectiveness. See also Impression, Click-through.

CTR is an effective measure of direct response to an ad. However it does not measure the effectiveness of ads in creating brand awareness or affecting brand perception. There has been a tendency for CTR to be used as the sole measure of  online ad-effectiveness even for brand advertising where it is often not an effective measure. Other techniques such as "pre and post campaign measurement" are better measures of the branding component of advertising. As with any advertising, the goal of the campaign is paramount. If the goal is to drive direct response, then CTR is an appropriate measure. If the goal is different, then another measure may be more appropriate.

Click-through rates are affected by a number of factors - the targetting of the audience, the "offer" made by the campaign, the quality of the creative, and the size and placement of the ads. Because of this, click-through rates can vary widely.


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