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Money & metrics · also called feed CTR, second-click rate, SERP CTR

Ad CTR (feed click rate)

Ad CTR is the share of searches or results-page views on a feed that end with the visitor clicking a paid ad.

The short answer, from the The Arbitrage Desk glossary

After the visitor clicks a keyword, a results page loads with ads from the search feed. Ad CTR is the fraction of those page views that produce a paid click, the "second click" of a two-click flow and the only one that earns money.

Several things move it. Coverage comes first: if the feed returns no ads for a query, there is nothing to click. Ad depth and the relevance of the ads to the query matter next. So does the visitor: someone who truly wants a quote for boiler repair will click an ad offering one.

Ad CTR is also a quality gauge that feeds read carefully. Very low rates suggest the wrong audience or weak keywords. Very high rates, especially alongside poor advertiser conversion data, suggest confusion, layouts that blur ads and content, or automated clicking. Search feeds forbid any attempt to encourage or reward ad clicks (see incentivised click). The healthy way to raise ad CTR is to choose keywords with strong commercial intent and deep advertiser demand.

An example

Say 450 searches lead to 270 ad clicks: ad CTR is 60%. If coverage drops so that 20% of searches show no ads, only 360 searches can be monetised, and at the same click rate 216 clicks result, cutting revenue by a fifth.

Related terms