Archive for December 24th, 2008

Click Through Rate

Wednesday, December 24th, 2008

Click Through Rate (CTR) can be described as the percentage of people who click on you ad once it is displayed, and it is one of the factors that affects quality score in Google AdWords. A high CTR is desirable because it can help reduce bid prices and improve ad position. It is also means more traffic, which generally translates to more sales.

There are a number of things that can be done to improve your Click Though Rate. Ad that are placed in higher positions on the page, will almost always have a higher CTR than those lower down. The focus of this blog however, is how to make increase the number of clicks by making your ad more appealing.

There are a number of visual techniques that can be used to make your ad stand out more. Capitalising the first letter of each word can help, for example. Similarly, if parts of your ad text match the search query, they will be displayed in bold text. This also has the benefit of improving your quality, as discussed in yesterday’s blog. Another good visual technique is to incorporate google checkout as a payment method. This will enable you to display the Google Checkout Logo on your ads, which will draw a lot of attention to them.

Visual tricks work well but the best way to increase your CTR is to use accurate and relevant ads and precise keyword terms. Using generic terms will yield the greatest volume of traffic, but it is a poor tactic for maximising ROI and CTR. Instead, use specific targeted keywords and create small ad groups to ensure that your ads are pertinent. If you have a unique selling point, make sure you list it in your ad. Displaying “Free Delivery”, is a great example that can boost your click though rate and sales considerably. In fact, in some cases, I have recommended to people that they change their product prices to include free delivery to boost their ROI on their PPC campaigns.