What is the number that is considered "a Good Click Through Rate for Facebook Ads"? CTR is considered one of the important indicators of Facebook advertising. It can be seen as the first conversion step of display ads. However, each business is different in many characteristics, business fields, scale, development orientation, etc., so how can there be a certain number that can be used as a reference for businesses.

Actually, it is very difficult to indicate an absolute number such as a good CTR index, so we will give a number in the value range so that you can compare more easily.

In addition, in this article, we will clearly present what the Click Through Rate Index is and what a good Click Through Rate is.

What is the CTR for Facebook ads?

Click-through rate (CTR) for Facebook ads refers to the percentage of people who saw your ad and clicked on it.

To calculate the click through rate, take the click rate on the ad divided by the number of ad impressions and multiply by 100.

For example, if your ad was shown 1,000 times (impressions) and 50 people clicked on it, your CTR would be 5%.

What Is A Good Click Through Rate For Facebook Ads

The definition of a "good" CTR depends on your goals and the industry you're advertising in, but generally, a CTR between 0.90% and 4.50% is considered average across most industries. A CTR above 5% is often regarded as excellent.

The average CTR across industries is 0.90% and 4.50%, if your CTR is within this range or above, it can be considered medium. However, there is no specific number that is considered good for your ad, you can compare your index to the industry average. Consider the industry average as a floor, not a ceiling, because many businesses can reach numbers of over 5% or higher.

Average click through rate for facebook ads

The CTR rate will depend on many factors related to your advertising and business field, so to be able to compare and evaluate your CTR most accurately, you should refer to the average index of the field, advertising type and advertising position.

Average CTR for Facebook ads by industry

The average CTR for Facebook ads varies significantly across industries. This reflects how users interact with ads, which is highly dependent on the industry of the product or service being promoted.

Here are some industry-specific benchmarks:

• Legal: 1.61%

• Retail: 1.59%

• Apparel: 1.24%

• Healthcare: 1.11%

• Real Estate: 0.99%

• Education: 0.73%

• Finance and Insurance: 0.56%

Different industries experience variations in CTR based on user interest, purchase intent, and the nature of the product or service being advertised.

Looking at the average CTR for Facebook ads by industry, it is clear that click-through rates (CTRs) vary significantly across industries. This reflects how users interact with ads, which is highly dependent on the industry of the product or service being promoted. Here are some specific observations:

Retail ads typically have the highest average CTR, followed by clothing and cosmetics, all three of which are in the FMCG sector, so they have higher CTRs.

Legal (1.61%) has the highest CTR. This may be because legal services are often very specific and urgent, leading users to click on ads when they have a legal issue that needs to be resolved.

Retail also has a high CTR, largely due to the variety of products and how users often look for deals or promotions. Ads related to online shopping, special offers or discounts are often appealing to consumers.

The fashion industry has a good CTR, as users are often attracted to new images and trends. Beautiful images and trendy products can easily motivate users to click on ads.

The CTR in the healthcare industry is average. This is an important industry, but users do not always have urgent needs, making them less likely to click on ads unless absolutely necessary.

Reasons for CTR Differences Across Industries:

Urgency and Importance: Industries where products or services are urgent, such as legal or healthcare, tend to have higher CTRs because consumers are more likely to act immediately.

Interest ability: Highly visual industries like fashion or retail easily capture users' attention, increasing click-through rates.

Product Complexity: Industries like finance and insurance require users to learn more, resulting in lower CTRs because consumers don't want to engage right away.

The average CTR for Facebook ads reflects how consumers respond to ads in each specific industry, helping advertisers better understand user behavior and adjust their strategies accordingly.

Facebook Ads Average Click Through Rate By Format

• Link Click Ads: 1.0% to 2.0%

• Carousel Ads: 1.3% to 1.6%

• Video Ads: 0.90% to 1.9%

• Collection Ads: 0.80% to 1.6%

• Dynamic Ads: 0.70% to 1.3%

Video and carousel ads tend to have higher CTRs because they offer interactive and engaging content.

Average Click Through Rate On Facebook Ads By Platform Position

Ad placement also affects CTR a lot, it can be seen that Facebook news feed has the highest rate, obviously everyone understands this because the rate of users browsing the news feed every day is the highest, then to other positions such as Instagram Feed, Facebook Stories.

If everyone is thinking that if the rate is highest somewhere, then just place the ad there. However, sometimes, advertising on Instagram will be more effective than on Facebook because sometimes your customers will use Instagram more.

The index below that we provide is for reference only for you to compare in the same field, this is affected by many factors so it is only for relative reference and not absolute.

Facebook ads perform differently based on where they are shown:

• Facebook News Feed: 1.1% to 1.6%

• Instagram Feed: 0.8% to 1.2%

• Facebook Stories: 0.4% to 0.8%

• Instagram Stories: 0.6% to 1.0%

• Audience Network: 0.3% to 0.6%

Ads placed in users' feeds tend to have higher engagement rates compared to those shown in stories or other placements.

How to improve your Facebook ads CTR

Narrow Your Targeting

• Why it works: The more specific your targeting, the more likely you’ll reach people who are interested in your product or service, leading to a higher CTR.

• How to do it:

  • Custom Audiences: Use your customer data (email lists, website visitors) to create custom audiences.

  • Lookalike Audiences: Facebook can create lookalike audiences based on your custom audience data, finding people who have similar characteristics to your current customers.

  • Detailed Targeting: Refine your audience based on specific interests, behaviors, demographics, or geographic locations. The more relevant your ad is to a particular group, the higher your chances of getting clicks.

Run Retargeting Campaigns

• Why it works: Retargeting campaigns target people who have already shown interest in your business, whether by visiting your site, engaging with your content, or interacting with your previous ads. These people are more likely to click and convert.

• How to do it:

  • Pixel Tracking: Use the Facebook Pixel to track visitors to your website and set up retargeting ads based on their actions (e.g., visiting product pages, adding items to the cart).

  • Engagement Retargeting: Retarget people who have engaged with your content, such as liking your Facebook page, watching your videos, or interacting with your posts.

  • Cart Abandonment Ads: Set up ads to specifically retarget users who abandoned their carts without completing the purchase.

Use Engaging Visuals

• Why it works: Visuals are the first thing users notice in an ad. If your visuals aren’t compelling, people won’t stop to read your message, let alone click on it.

• How to do it:

  • High-Quality Imagery: Use professional, high-resolution images that clearly represent your product or service.

  • Video Content: Video ads typically have higher engagement than static images. Short, engaging videos that convey the message quickly can capture attention and increase CTR.

  • Carousel Ads: Try using carousel ads to showcase multiple images or products, offering more reasons for users to engage with your content.

Improve Your Ad Copy

• Why it works: Well-written ad copy that speaks directly to your target audience’s needs, desires, or pain points will improve engagement and drive clicks.

• How to do it:

  • Be Direct and Concise: Make your message clear and straightforward. Avoid fluff and get to the point quickly, especially since Facebook ads have limited text space.

  • Strong CTA: Include a compelling call-to-action that tells people exactly what to do next (e.g., "Shop Now", "Sign Up Today", "Learn More").

  • Highlight Benefits: Focus on the benefits of your product or service rather than just features. Explain how it will solve a problem or improve the user’s life.

  • Use Urgency or Exclusivity: Phrases like “limited time offer” or “exclusive deal” can create a sense of urgency that motivates clicks.

Split Test Everything

• Why it works: A/B testing different elements of your ads allows you to identify what works best with your audience and optimize accordingly.

• How to do it:

  • Test Ad Elements: Test different images, headlines, CTAs, audience targeting, and placements to see what generates the best CTR.

  • Track Performance: Use Facebook’s Ad Manager to monitor key metrics such as CTR, CPC (cost per click), and relevance score for each variation of the ad.

  • Iterate and Improve: Once you identify the best-performing variations, scale those ads, and continue testing to refine them even further.

By narrowing your targeting, running retargeting campaigns, using engaging visuals, improving your ad copy, and split testing everything, you can significantly improve your Facebook ads CTR. The key is to always be testing and optimizing based on real data, ensuring your ads remain relevant and engaging for your audience.

Conclusion

Do not consider any number as the ceiling to evaluate the CTR index, you should consider the numbers as the floor or average level to evaluate. Because this index is affected by many internal and external factors, no business has the same CTR index.

Sometimes to evaluate whether CTR is good or not, you can also rely on the CTR index in the past to evaluate, and this is one of the reliable sources because it is really close to your own business.

Improving CTR takes a long process, but many of our customers have responded that their ads have a good CTR when they maintain stable campaigns. With our Facebook ads account rental service, you will receive reputable, strong accounts along with advice from our experienced experts. Contact us now.