What is the Average Click Through Rate (CTR) for CPG Brand Campaigns?

Posted by Greg Keating on Mar 10, 2020 11:04:35 AM

Click through rate.

When you invest in an advertising campaign for your CPG brand, you need some benchmarks to know whether or not you are making headway. Here are some of the average click-through rates (CTRs) for the CPG industry.

Why CTR Still Matters for CPG Marketing

How many times consumers click-through your ad remains a hallmark of a successful CPG marketing campaign. While a variety of CPG KPIs (key performance indicators) exist, click-through is still a top metric to watch in pay per click advertising channels. 

In addition to correlating with ad traffic and general audience interest, search engines like Google look at your historical click-through data to determine your quality score and ad effectiveness. The CTR also helps you hone your approach by audience. A poor CTR could indicate bad ad copy or if you’re spending money on the wrong keywords. While variances (some of them out of your control) can occur, generally, CPG marketing should strongly focus on these metrics.

The bad news is that these variances can make these types of CPG KPIs tough to predict.

CPG KPIs That Matter — CTR

There is plenty of data out there on CTRs by industry, by type of ad, and by channel. This makes the job of CPG marketing more difficult. The CXL Institute reports the average click-through rates by CPG product lines includes:

  • Home goods rank at 0.37% for display networks and 1.80% for search.
  • E-Commerce ranks at 0.45% for display networks and 1.66% for search.

In all categories, it’s interesting to note that the average CTR for search is always higher. This indicates consumers are actively searching for keyword-related content, but that viewers are more passive on the display channel. This makes sense because the studies show that consumers find ads in their newsfeed annoying. 

Nowhere are newsfeeds more prevalent today than on Facebook, where seven million advertisers compete for end-users attention. Ad fatigue plays a role on the platform, but some of the Facebook ad benchmarks are still important for CPG marketing:

  • The average CTR across industries is 0.90%.
  • The average retail CTR is high, at 1.59%.
  • The average beauty product CTR is 1.16%.
  • Both retail and beauty product categories have a higher CTR than technology, at 1.04%.

Twitter home screen on a desktop.

Wordstream reports that the average ad conversion for Facebook is 9.21%, which is much higher than conversions in the Google ads channel. However, Twitter ads generally have the highest overall CTR currently, and LinkedIn the lowest.

Instapage suggests the retail and beauty categories rank high because these ads often feature high-quality pictures of people along with discounts, sales, or other promotions that drive CTR. MobileMarketer suggests that CPG brands can improve lagging CTR KPIs by combining “several rich media features into a single unit to boost interaction.” Creating awareness campaigns can also boost consumer engagement, primarily through the use of video and interactive imagery.

Additionally, CPG marketers must pay close attention to the types of ads generating higher CTR. MobileMarketer recommends mobile expandable banners as performing well in any space, including CPG.

Tracking the progress of your digital marketing campaigns is critical. If you are unsure about where to begin, we can help. Download a free sample spreadsheet, "CPG Digital Marketing Campaign Performance Benchmarks." Simply fill out the form below to receive instant access.

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Topics cpg

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