Decoding Email Click Through Rate: CTR Definition & Why It Matters Today
Everything You Need to Know About Email Click-Through Rate
Click-through rate (CTR) is a term used in digital marketing to measure the percentage of people that click on an advertisement, an image, a button, or other elements based on the number of impressions.
In email marketing, the click-through rate is the percentage of the number of people that click on at least one link in your email to the number of emails delivered. CTR lets you evaluate the success of your email marketing campaign.
A high CTR indicates that people are interested in what you offer. In this article, we will also share some essential tips on improving your CTR.
Why Email Click Through Rate Is Important Compared to Other Email KPIs
Email click through rate gives you insights into the user engagement level. With email open rates, you can determine the performance of your subject line and preview text. To determine the effectiveness of your email template and copy, you should look at your email CTR.
Some other important email marketing KPIs include email opens, open rate, clicks, CTOR, conversions, and bounce rate.
Types of CTR
TCTR (Total Click-Through Rate)
Total Click-Through Rate measures the total number of clicks your email campaigns receive. Some users might have clicked on more than a single link, button, or image. This shows the popularity of your email template and design.
UCTR (Unique Click-Through Rate)
On the other hand, Unique Click-Through Rate only takes into account the number of unique clicks your email campaigns receive. This is considered a better indicator of your email campaign performance.
Both of these Click Through Rates are important for measuring the effectiveness of your email marketing campaign. TCTR tells you about the amount of traffic your email is generating in terms of shares, re-engagement, and customer retention. However, UCTR gives you a clear and specific number of how many links have been visited by each unique individual. This number is useful if you are interested to know how effective your emails are in converting your readers.
Method of Calculating Email CTR
In its simplest sense, email click through rate can be calculated as:
CTR = the total number of clicks in your emails / total number of emails delivered * 100
If your campaign was delivered to 1000 people and 75 people clicked, the CTR will be 7.5%
What is a good Email click-through rate?
Different industries have different averages when deciding on a reasonable email click-through rate.
A good email CTR falls within the range of 2% - 5%. That is the average that is taken across all industries. If your campaigns already perform that well, you are doing something right.
5 Ways You Can Improve Your Email Click Through Rate
As a performance indicator, we have realized how important email CTR is for your email marketing campaigns. Now let us discuss how it can be improved.
Segmentation & Personalization of Emails
Sending relevant content to the right audience at the right time is crucial in email marketing. This is why segmentation of your email list based on some common characteristics is essential.
Personalization in emails leads to higher email open rates and therefore increases the chances of receiving clicks, leading to higher email Click Through Rates.
Learn more about Email Open Rate and How to Improve It.
Create a Sense of Urgency
Running a limited period offer can get more people to click on your links due to the fear of missing out on something good. If the users know that the request will end the same night at 11 PM, and it is a good offer, the chances of clicks and subsequent conversions increase.
This happens because the users stop delaying their actions due to the urgency of the offer ending soon.
Focus on CTA
Include a prominent call-to-action in your email and be consistent with it for higher Click Through Rates. Do not confuse people with 5 different actions that you want them to take. Focus on one CTA that fits well with the content of your email campaign.
Make sure that the CTA is working. Test it on several devices before triggering the campaign.
A/B Test Email Subject Line
The number of clicks an email campaign gets is a function of the number of people that open the email in the first place.
Work on getting more email click through rates by performing A/B testing with subject lines and preview texts and using the version that wins.
Include Visual Elements
Emails these days are not limited to just text. Rich content such as images, videos, buttons, and icons can be used in the email templates to make them more visually appealing.
If your template looks good, more people will think good of your brand, leading to more trust and eventually this will generate higher email click through rates and conversion.
Pro tip: Test the Email for responsiveness before sending it out.
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Frequently Asked Questions
Is a 20% email Click Through Rate good?
A 20% email CTR is considered really good. However, it depends on the industry in which you operate. The average across industries is 2% - 5%. If your CTA is good, work on building a larger list and increasing email open rates to reach more people with your products.
How do I find the CTR for my emails?
Your email marketing software will display important metrics like open rate, clicks, CTR, and conversions. Find them on the dashboard or in the reports section. You can also manually calculate your email click through rate as per the formula given.
Why is my email Click Through Rate low?
Your email Click Through Rate may be low because of several reasons. Let’s help you get sorted with the basics first:
- Build your own email marketing list. Do not buy a list.
- Improve your Email open rates.
- Focus on sharing high-quality, relevant content with the right users.
- Have a CTA in your copy.
- Use A/B tests to make improvements to your email template.