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Click-through Rate- How to calculate CTR

Clickthrough rate
Clickthrough Rate(Image source:- Cruzeconnect)
CTR stands for Click Through Rate. It is calculated by dividing the number of clicks your ad receives divided by the number of times your ad is displayed.

Formula for Calculating CTR 

                     No. of times your ad is clicked
 CTR =         ----------------------------------------
                    No. of times your ad is displayed


Let's suppose your ad receives 10 clicks per 100 impressions, then the CTR would be calculated as given below:-

CTR= 10/100
        = 0.1

A CTR of 1% is considered ideal.

Popular advertisement channels like Google Adwords and Facebook Ads use Clickthrough rate in their Cost Per Click model of advertisement.

Also see:-

Basics of google Adwords
List of free seo tools
How do search engines work