CTR (Click-Through Rate)
The percentage of people who click after seeing something (e.g. an ad or message). Useful for evaluating acquisition experiments.
Definition
The percentage of people who click after seeing something (e.g. an ad or message). Useful for evaluating acquisition experiments.
More context
CTR is an interaction metric that can help diagnose message-market fit and creative effectiveness. It is usually a leading indicator—not a business outcome—so it must be paired with downstream conversions.
Why it matters
CTR helps you understand whether messaging resonates, but only matters insofar as it improves qualified conversions or revenue.
How to use it
Use CTR to compare variations in controlled tests, then follow the trail to conversion quality and pipeline impact.
Common pitfalls
Optimizing CTR at the expense of lead quality, or treating CTR improvements as “growth” without downstream evidence.
Related terms
- Acquisition — The “getting users/customers” stage. In AAARRR, it’s the step where people first start using or signing up.
- Conversion — A defined action that indicates progress (e.g. lead, signup, purchase). Conversions must have consistent definitions across teams to avoid confusion.
- KPI (Key Performance Indicator) — A measurable number used to guide decisions and evaluate progress. The first step in the process is choosing a KPI that can be measured periodically.
- Learning experience — A mindset where outcomes (including failures or execution issues) are treated as learning that improves future decisions and process quality.