What CTR can be Considered Good in Google AdWords?


What CTR can be Considered Good in Google AdWords?

Good CTR in Google AdWords

CTR is one of the main metrics of any PPC campaign. In this article, we’ll show how the CTR of paid Google AdWords search ads is affected by the level of competition in your niche, the specificity of your ad text, the popularity of your brand, and a host of other factors.

The question is popular, but, unfortunately, there is no such thing as a “good CTR”. Since the CTR indicator depends on many different factors and variables, the question posed above sounds approximately the same as, for example, the question “what kind of income can be considered good” (without reference to any particular field of activity), “what is the speed of driving a car can be considered good ”(without reference to the traffic rules of a particular country) or“ which dish is the best on the menu ”(without reference to your tastes, preferences, budget and lifestyle).

When determining what makes a good CTR, you need to consider 11 things:

1. How narrow is the key request – narrower keywords and phrases usually allow you to target and personalize ads more accurately, which means that their CTR is generally higher.

2. The specificity of the key request – the more specific the request (the more accurate, more detailed and more clearly reflects your proposal), the more likely that the user who entered this request in the search bar is looking for exactly what you are offering – the more personalized advertising you can offer him and, as a result, the higher the CTR.

3. The personalization and relevance of your advertisements – the more precisely your advertisements are “tailored” to a key request, the more effectively you demonstrate to a search user that you are ready to satisfy his needs, and the higher the CTR of your advertisements. And although this is obvious, even 10 years after the advent of AdWords, most advertisers do not implement this principle correctly.

4. The specificity of the advertisement – perhaps you are trying to “filter out” users so that only representatives of your target audience click on the advertisement — for example, indicate a price in the text of the advertisement or write something like “only for corporate clients”. The more specific your ad is and the stricter you limit the circle of people to whom it is intended, the lower the CTR.

5. Similarly, the more enticing your ad appears to a wider audience, the higher the CTR. Ads that mention discounts, low prices, special promotions and contests usually have a higher CTR than more vague and generalized ones.

6. “Branding” of a key request – the CTR of search ads displayed when searching for your brand keywords is usually very high (often 40% or more), while a competitor’s advertisement in the context of such requests will have a CTR below 2%.

7. The level of competition – the greater the number of advertisements displayed when searching for some key query, the lower the likelihood that the user will click on your ad, and therefore, below its CTR.

8. Quality of competitors ‘ads – the higher the quality of competitors’ advertisements, the more attractive they are, the lower the CTR of your ads.

9. Is your brand name popular, is it registered as a trademark, are competitor advertisements displayed when searching for your brand name – the law regulates the use of trademarks in different countries: in some states, for example, competitors cannot advertise appear in search results for your brand name. Thus, if your advertisement is the only one displayed in the search results for your brand keywords, its CTR will be significantly higher than if Google searches for your brand returns a whole page of search results for your competitors.

10. Bid size – the higher the bid, the higher the position your ad receives, the more often users see it and the higher its CTR.

11. The frequency with which extensions are displayed in your advertisements – since the display of advertisements extensions depends on their expected impact on the CTR (relative to competitors’ advertisements), the more attractive your users are to your site links, the more often they will be displayed , and the higher will be the CTR of ads.

CTR is not the most important thing in PPC marketing. Remember – a high CTR alone does not sell anything. An ad that says something like “click here for free money” will probably have a fantastic CTR, but it will generate a dismissively low number of conversions and a terrifying ROI (unless, of course, you really donate free money).

Thus, CTR is mostly useful when you want to find out what type of advertisements consumers tend to pay attention to, or when you want to determine how the CTR of ads for any keywords has changed compared to last month.

It doesn’t matter if your ad’s CTR is 0.2% or 20% – this will not have a significant impact on the final profit of your company. Both high and low CTR can bring significant amounts if the PPC strategy is organized correctly and implemented correctly. Don’t get hung up on CTR; instead, make your campaigns’ primary goal to increase return on investment and increase overall business profitability.

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