What is a Good Click-Through-Rate for Google Ads?

Interestingly, most people aren’t automatically turned off by paid search, with 68.2% of UK consumers unaware that Google results are ads. Like any form of paid advertising, there’s a learning curve involved if you are going to master Google Ads.

Naturally, the click-through rate is one of the most essential parts of Google Ads. In this guide, we discuss what a good click-through rate is and how to improve it.

Understanding Click-Through-Rate (CTR) on Google Ads

Your CTR is measured by a ratio of clicks to impressions. In other words, it’s the percentage of people who click on your ad after seeing it. For a marketer, it’s a measure of how relevant their ad is and whether it’s compelling enough to encourage people to click.

With search advertising in the UK rising to £14.7 billion in 2023, the market has never been more competitive, making CTR more relevant than ever. Some of the reasons why CTR matters include:

In short, a better CTR translates to a more effective campaign and more visitors to your site, where you can then convert them into paying customers.

How the CTR of Google Ads differs depending on the industry

CTR differs heavily by industry because every industry has an entirely different audience. The strategies that work for insurance brokers won’t work for travel agencies, as every audience responds to different marketing triggers.

If we use a WordStream study of industry CTR rates, we can see that the standout industries for average CTRs in 2024 are:

In contrast, they found that the lowest CTRs were in the legal industry and dental services, with CTRs of just 5.30% and 5.38%, respectively. Overall, these rates have increased significantly over the past five years as Google includes more ads above the fold.

But it’s vital to mention that Google itself doesn’t release comprehensive figures on average metrics. That’s why average CTRs tend to vary heavily based on which company conducts the study, so take all numbers with a pinch of salt.

We’ve also written blogs on facebook ad CTRs, and Google Search Console CTRs.

What factors influence Google Ads CTRs?

The key to a successful CTR is producing the right ad for the right audience. The principle of great advertising doesn’t change based on the channel. But how does Google evaluate your ads, and what results in your CTR?

You likely recognise these factors from other marketing channels, including social media, and that’s because they are the pillars of what makes a successful ad.

What is a good click-through rate for Google Ads?

A “good” CTR depends on your industry. The traditional advice was that anywhere between 2% and 5% translated to a successful ad. However, this is only a general rule of thumb, and you must conduct your research to determine what’s “good” for your industry.

Start by deciphering the average rate. Anything above the average would be considered a good CTR. Below-average CTRs indicate that your ad either isn’t relevant or compelling. In other words, you’re not fulfilling the expectations of your target market.

Ways to improve Google Ad CTR

Google Ads have immense potential for driving results and helping you to grow your business. On a global scale, businesses that spend $1 on Google Ads see a return of $2, making mastery of this advertising channel one of the most impactful assets your company can have.

But how do you improve your CTR? Here are some starting points for boosting this metric:

Reassess your keywords

Focus on your target keywords. Your ad copy should closely align with the search terms your target market uses. Consider search intent and whether your ad matches up with what your audience wants. You can use Google Search Console to find the right keywords.

One avenue to explore is negative keywords. Instead of targeting specific keywords, you’re excluding specific keywords to prevent random clicks. It’s another tactic for refining your target audience that so many marketers miss out on.

Write better copy

Written copy must grab your audience’s attention in a few seconds. If it doesn’t, their eyes will move further down the page to your competitors. Think about whether your headline grabs their attention and whether it’s persuading them to click.

Don’t forget about ad assets

Ad assets on Google Ads are things like structured snippets, callouts, and site links. These extra media assets can improve visibility and offer extra information to provide additional value to searchers.

A/B testing

Rarely will an ad be an instant hit. The most effective marketers are constantly testing and retesting every aspect of their ads to see which performs best. Crucially, they’re doing this even when they have a successful ad.

Concentrate on aspects like:

Rework your landing page

Your landing page is part of the package. If people are clicking and immediately clicking away, Google will recognise this and penalise you, assuming you’re providing a poor-quality experience.

Effective landing pages are user-friendly and engaging and ultimately follow through on the intrinsic promises made by your ad.

Ultimately, a successful paid advertising campaign on Google consists of moving parts working together to help your business find its target audience. With so many aspects of profitable online advertising, it’s easy to feel overwhelmed.

At Tao Digital Marketing, we’re the specialists in helping UK firms across a variety of industries reach their target audience. If you’re ready to elevate your Google Ads campaign and turn traffic into conversions, contact us to find out how we can create a bespoke campaign for you.