Question

An online advertisement linked to Nutri, a dietary supplement shop, was served to 73% of the customers on a sports enthusiast website that attracted 39,000 visits. A total of 610 clickthroughs were recorded. Nutri spent $890 on online advertising last month. One in 5 clicks resulted in a purchase. What is the cost per impression?

Answer 1

The percentage of individuals viewing a web page who click on a specific advertisement that appears on the page. Click-through rate measures how successful an ad has been in capturing users' interest

Number of times advertisement linked to Nutri = 73% of 39000 = 28470

Number of clickthrough recorded out of 28470 advertisements = 610

Therefore, Click through rate = 610 / 28470 x 100 = 2.14 %

Note :” Number of clicks resulting in purchase/ Total number of clicks   x 100” will be termed as CONVERSION RATE . Therefore , number of clicks resulting in purchase will not feature in calculation of Clickthrough rate.

CLICKTHROUGH RATE = 2.14%