What is click-through rate (CTR)?

Study for the CIW Data Analyst Test. Prepare with flashcards and multiple choice questions, each with hints and explanations. Get ready for your exam!

Click-through rate (CTR) is defined as the ratio of visitors who click on a specific link to the total number of visitors who viewed that link, typically expressed as a percentage. This metric is crucial in digital marketing and online advertising as it measures the effectiveness of an ad or a link in enticing users to take action.

By calculating CTR, marketers can evaluate how well their content engages visitors and understand user behavior better. A higher CTR indicates that a larger proportion of viewers found the content relevant or appealing enough to click on it, which can drive traffic to a website or improve conversion rates. Understanding CTR helps in making data-driven decisions regarding advertisement placements, content optimization, and overall marketing strategies, thus making it a key performance indicator in assessing online performance.

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