Click Through Rates
Click Through Rate (CTR) is a percentage where the number of clicks received is divided by the number of impressions generated. CTR is a key indicator of the account's overall performance and it is still the most important factor in deciding the keyword's Quality Score. From a marketing perspective, CTR is a measurement of how well your Ad's are reaching your target market.
Cost Per Click (CPC) is the amount you paid each time a user clicks on your ad. Your maximum CPC bid is the most that you'll be charged for a click, but actual CPC is often less. In the AdWords auction, the actual CPC is decided by how much is needed to achieve a higher Ad rank than your nearest competitor. A strong CTR corresponds to lower CPC, as it is easier to achieve a higher Ad Rank than your competition.
In the following graph, we compare your overall CTR and CPC to some of our typical clients' to show your position and indicate how much better your account could actually perform.
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