Knowledgebase
Under Linkwords, what is CTR (Click Through Rate) and ACPC (Average Cost Per Click)?
Posted by - NA - on 26 October 2006 11:25 PM

CTR (Click Through Rate)

CTR is an acronym for Click Through Rate. The CTR is calculated by looking at how many times a particular ad was displayed (impression) and how many times that particular ad was clicked by a website visitor.

For example, a Linkword ad that has been displayed 1000 times and clicked on 15 times would have a CTR of 1.5%.

To calculate the CTR divide the number of times a particular advertisement was clicked by the number of impressions for that advertisement:

CTR = Clicks / Impressions


ACPC (Average Cost Per Click)

The average cost per click is an average of how much revenue a single advertisement generates each time it is clicked.

Some Linkwords may have several advertiser placing bids on the keyterm so that their listing will be displayed. Some advertisers may bid $1.00 for a particular keyword, while another advertiser may bid $0.25 for the same keyword.

The Linkwords adserver displays advertisements based on a proprietary rotating algorithm which may display different advertisements at different times.

The ACPC is determined by calculating all of the clicks for a particular keyword and dividing this number into the total cost incurred for all of the clicks for that keyword.

For example, the total number of clicks for a particular keyword may be equal to 100, with a total cost of $27.00 incurred for these clicks. The ACPC would be equal to $0.27.

ACPC = Total Cost / Total Clicks

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