PPT consist of, 1) What is relative CTR? 2) Where will you get this Metrics? 3) Why Numbers are in 1x Format? 4) Why does Relative CTR matter? 5) How to optimize Relative CTR? Request everyone to go through attached PPT and share your thoughts, understanding or any questions on the same.

1. All About
Relative CTR
DOB - Tuesday, June 14, 2011
Part of Knowledge Sharing Activity
-Pawan Dhera
16/5/2016

2. What is Relative CTR?
Relative CTR is a measure of how your ads are performing on the Display Network
compared to other advertisers' (Competitor’s) ads that are appearing on the same
websites/placements.
To evaluate these numbers, “HIGHER IS BETTER”.

3. Where will you get this Metrics?
To view relative CTR within your AdWords account,
Go to the "Ad groups" tab, select “Modify columns" from the "Columns" drop-
down menu, and select "Relative CTR.” under the Competitive Metrics column
and hit save.
Relative CTR will appear at the campaign or ad group level.

4. Why Numbers are in 1x Format?
The number is a simple calculation of the campaign’s CTR divided by the CTR of the other
competitors ads (Unknown = x) running in the same places.
E.g.
Campaign CTR%/(x) = Relative CTR
(0.03%)/(x) = 0.6x
0.03/0.6 = x
x=0.05%
So the CTR of the Competitors ads running in the same places on the GDN have a CTR of
0.05%.
Anything below 1x is “below avg.” and will likely have fewer impressions that “above average” 1x
adgroups.

5. Why does Relative CTR matter?
For E.g.
(When Relative CTR = 2x)
At first glance, a CTR of any GDN campaign with 0.04% may seem low. But knowing that this is
two times the CTR of competing ads (Relative CTR = 2x) tells you that your ads are actually
performing better than ads on the same page. This means that your ad creative matches the websites
content and that your audience is responding well to your Ads.
(When Relative CTR = 0.5x)
Alternatively, you may see that your Relative CTR is 0.5x, meaning that your ads are only getting half
of the average CTR. This means that your ads may not be resonating with the users you’d like to
reach and that you may be able to improve performance by refining your ad creative/placements
where your ads are being served.

6. How to optimize Relative CTR?
• Start reviewing your placements for possible exclusions. A low relative CTR can hurt your
Quality Score and result in lower ad rank on the DN.
• Use site and category exclusions. I especially like going to the Page Types page and choosing to
opt out of error pages, parked domains, and forums when it’s obvious that the conversion rate
compared to cost isn’t worth it.
• Revisit your message – There’s a reason why your ad is receiving less traffic than those on the
same pages.
• Include negative keywords in your DN campaign.
• Utilize contextual targeting. If you aren’t using keywords to help the AdWords system to place
you on relevant sites, you might consider trying it to find additional ad groups you might not have
originally thought of.