Google, Bing Encounters Change in CTRs and CPCs
CTR or Click Through Rate is a metric that measures the number of clicks an advertiser receives on the ads as per the number of impressions. Achieving high CTRs is necessary for the PPC to succeed which means you pay every time you encounter click on your ad.
But according to the recent statistics, click through rates are continuously declining but the cost of running search ads is continuously rising on Google and Bing. After the release of “Digital Benchmark Report” by Marin Software on Tuesday which throws light on customer’s search, mobile and social performance data.
The statistics shows that click volume on Bing and Google witnessed hike up to 108.4 during the first quarter of 2019 from 100 in 2018. The Click Through rate (CTR) during the holiday quarter in 2018 rose to 106.7.
In short, Google ‘s click volume surged up to 109.2 in quarter, which was 108.3 in the first quarter. Whereas, Bing encountered slight hike to 99.8 from 99.7 but in the third quarter Bing rose to 102.2 in click volume. CPCs statistics have been falling since second quarter of 2018.
- Cause of Decline in CPC
- The senior director of marketing in Marin, Brian Finnerty stats the cause of decline in CPC to be the increased mobile search advertising which is affecting the graph as CPCs on mobile are low.
- Travel CPCs came in at $0.31% and retail CPCs at $0.39%. Both encountered lower statistics in first quarter in 2019 in comparison to prior quarte the reason may be cost- effective peak holiday season which the report highlights.
CTRs fell to 3.05 as compared with 3.53 year ago. While Finnerty clears that there is no tinge of decrease in digital ad spend.
Mobile search has been encountering continuous rise from 41% in the first quarter to 43% in the next.
Nearly 22% of advertisers rely on and run Google Shopping Ads with the format dominating 39% of search budgets which is slightly high from 36% in the previous quarter and 33% a year ago.