Why optimising for CTR is damaging your performance

CTR is a metric we have been using for years, but is it the right metric to really judge the quality of our listing on the SERP? In this talk Lottie will demonstrate why focusing on CTR as a metric to optimise to and as a measure of performance is flawed.

In a world where we are looking to create more personalised and relevant brand experiences, ensuring we are answering the right question for the audience, messaging which discourages someone from interacting with copy can be as effective and often more so, than those which generate high clicks to site. This is in addition to the variety of other factors which also influences CTR, ultimately making it an ineffective metric to use for reporting and benchmarking.

Identifying the right metrics to measure performance are vital to enable business growth in any channel

Transcript

1. WHY OPTIMISING YOUR CTR COULD DAMAGE YOUR PERFORMANCE. Lottie Namakando Reflect Digital Speakerdeck.com/LottieN @lottienamakando
2. THINK BACK TO A TIME WHEN…. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
3. 1. WHY DO WE CONCENTRATE ON ‘THE WRONG METRICS’? @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
4. AND THOSE ALL IMPORTANT KPIS… @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
5. WHICH ACTUALLY DON’T RELATE TO PERFORMANCE. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
6. WHAT IS THE DIFFERENCE BETWEEN A METRIC AND A KPI? @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
7. A METRIC IS A QUANTIFIABLE MEASURE WHICH CAN BE USED TO TRACK PERFORMANCE. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
8. A KPI IS A CRITICAL METRIC WHICH ALIGNS WITH BUSINESS GOALS. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
9. ALL KPIS ARE METRICS, BUT NOT ALL METRICS ARE KPIS. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
10. CTR AS A METRIC CAN PROVIDE INSIGHT. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
11. It can give an indication of the response of the audience to the text being shown. NUMBER OF REASONS WHY CTR HAS BEEN A KPI OF CHOICE . @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
12. NUMBER OF REASONS WHY CTR HAS BEEN A KPI OF CHOICE . It can be compared across channels, and it is an easy metric to measure. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
13. NUMBER OF REASONS WHY CTR HAS BEEN A KPI OF CHOICE . It can impact cost or the position you appear at on the SERP. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
14. WHY CAN IT BE SO HARD TO GET BUY IN? @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
15. DEFAULT BIAS : HUMANS ARE MORE COMFORTABLE WITH WHAT THEY HAVE ALWAYS DONE. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
16. CTR MADE SENSE AS A METRIC 20 YEARS AGO, WHEN MEASUREMENT WAS LIMITED. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
17. EXPEDIENCE BIAS: WE TAKE THE EASY PATH, ESPECIALLY WHEN PRESSURED. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
18. WE CLING TO WHAT IS EASY TO MEASURE. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
19. IT’S TOUGH TO CHANGE MEASUREMENT FRAMEWORKS AND GET BUY IN. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
20. EXPERIENCE BIAS: WE TAKE OUR PERCEPTION TO BE THE TRUTH. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
21. WE THINK IT MAKES SENSE. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
22. IF IT ISN’T (VISIBLY) BROKEN, WHY FIX IT? @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
23. THERE IS A BELIEF THAT CTR = PERFORMANCE Source Forbes @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
24. BUT IN A WORLD WITH INCREASING ZERO CLICK SEARCHES. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
25. CLICK BASED METRICS BECOME OUTDATED. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
26. CTR DOESN’T ACTUALLY ALIGN WITH BUSINESS OBJECTIVES. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
27. CTR ISN’T A KPI BECAUSE IT DOESN’T PAINT THE FULL PICTURE. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
28. MEANING THAT OPTIMISING TO CTR WON’T DELIVER THE OBJECTIVES YOU NEED. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
29. 2. WHAT CAN YOU DO TO SHOW THAT CTR ALONE CAN’T BE PRIORITISED? @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
30. HIGHER CTR ≠ HIGHER RANKING. Scenario 1: Search terms with higher CTR must mean better ranking. Engagement also plays a role as well as CTR in your ranking. Reframe the insight. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
31. HIGHER CTR ≠ HIGHER RANKING. Scenario 1: Search terms with higher CTR must mean better ranking. Alternative approach Evaluate engagement alongside your CTR and its benchmarks. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
32. HIGHER CTR ≠ GREATER RELEVANCE. Scenario 2: Listings with a high CTR must be more relevant to the audience. Is your listing too generic, attracting clicks from anyone vaguely interested in your offering? Reframe the insight. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
33. HIGHER CTR ≠ GREATER RELEVANCE. Scenario 2: Listings with a high CTR must be more relevant to the audience. Alternative approach Test tailoring your copy and evaluate micro and macro conversions. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
34. HIGHER CTR ≠ MORE CONVERSIONS. Scenario 3: A higher CTR means more clicks which means more conversions. You drive clicks to site, but are they actually finding what they need? Reframe the insight. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
35. HIGHER CTR ≠ MORE CONVERSIONS. Scenario 3: A higher CTR means more clicks which convert. Alternative approach Review the on-site customer journey to identify any potential blockers. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
36. HIGHER CTR ≠ BETTER QUALITY. Scenario 4: A higher CTR means a greater volume of quality traffic. You drive clicks which may convert, but are they lower (or no) value to the business? Reframe the insight. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
37. HIGHER CTR ≠ BETTER QUALITY. Scenario 4: A higher CTR means a greater volume of quality traffic. Alternative approach Review CTR alongside meaningful micro and or macro conversions. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
38. HIGHER CTR ≠ SUPERIOR CX. Scenario 5: If I increase my CTR, I am delivering a better customer experience. Is your listing’s appeal too broad and unrelated to your landing page? Reframe the insight. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
39. HIGHER CTR ≠ SUPERIOR CX. Scenario 5: If I increase my CTR, I am delivering a better customer experience. Alternative approach Evaluate if the listing matches their search intent, representing what they need? @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
40. FLUCTUATING CTR ≠ BIG PROBLEM. Scenario 6: If I see my CTR drop, it must be a big problem. Metrics fluctuate, is it a significant deviation from the norm? Reframe the insight. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
41. FLUCTUATING CTR ≠ BIG PROBLEM. Scenario 6: If I see my CTR drop, it must be a big problem. Alternative approach Assess the statistical significance of the changes in metrics, so you don’t waste time. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
42. THINK ABOUT IT. WHAT COULD DELIVER A POSITIVE DROP IN CTR? @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
43. ADDING PRICE IN THE META DESCRIPTION. “If I add price, it might put people off clicking” “The product is more expensive than competitors.” WHY? @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
44. PERSONALISING COPY TO YOUR TARGET AUDIENCE. “I changed copy to appeal to a specific need of my persona” “My copy appeals to a smaller but more relevant audience.” SO? @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
45. WHERE HIGHER CTR DOESN’T MEAN SUCCESS. Control Experiment 6.0% 7.2% CTR 3.0% 2.6% CVR £20 £24 CPA Quality assurance accreditation Trusted experts & industry leaders Platinum service award Helps you get more business @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
46. INCREASING YOUR VISIBILITY TO REACH A LARGER AUDIENCE SHARE. “We improved position and visibility for certain keywords” “Now my CTR has halved what it was before.” SO? @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
47. CTR has dropped, however clicks have increased due to broader reach strategy. WHERE HIGHER CTR DOESN’T MEAN SUCCESS. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
48. THIS IS WHY CTR CAN’T BE A KPI. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
49. BECAUSE CTR CAN’T RELIABLY INFORM ACTION. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
50. BTW, THESE ISSUES DON’T JUST APPLY TO CTR…. Source Forbes @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
51. OR JUST SEARCH! @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
52. 3. HOW DO YOU CHANGE THE BUSINESS’ APPROACH TO MEASURMENT? @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
53. START WITH YOUR STRATEGY & OBJECTIVES. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
54. IT IS EASY TO LEAVE OUR RESPONSIBILITY AT THE DOOR. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
55. BUT WE ARE ULTIMATELY DRIVING ENGAGEMENT WITH OUR SITE. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
56. THINK ABOUT, WHAT DOES SUCCESS LOOK LIKE? @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
57. Q. What are the top 3 business indicators? Q. How will you know your strategy has been a success? @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
58. Q. What metrics can we measure which map to success? @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO Q. Which of those metrics indicate progress to your business goal?
59. KEY PERFORMANCE INDICATOR = @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
60. BUILD (REVISE) YOUR MEASUREMENT FRAMEWORK. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
61. COMBINING CTR WITH OTHER METRICS. CTR CVR ER Engagement Rate Active Users % Returning Visitors Scroll Depth Sessions Per User Engagement Rate Exit Rate Funnel Drop Offs Returning Users Unique Scrolls Page Views Session Duration Scroll Depth Event completion Event Count @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
62. WHAT METRICS TO COMBINE. Question Pairings Insight Are my clicks leading to meaningful engagement? CTR + Engagement Rate + Unique Scrolls Do we have the right traffic coming to site Do users revisit my site? Sessions per User + Active Users + Engagement Rate Opportunity to increase retention @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
63. CTR + CLICKS/ IMPRESSIONS ACTION MICRO EVENT = VIDEO PLAY VIEW PRODUCT DETAILS VIEW DELIVERY DETAILS USE SEARCH FUNCTION HAVE THEY ENGAGED WITH THE PAGE CONTENT? Is The User Interested? What Did The User Do? @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO Micro Event Count + Scroll Depth
64. PAYMENT PAGE MAPPING THOSE METRICS ACROSS THE CUSTOMER JOURNEY. INSPIRE ME HUB SCROLL DEPTH VIDEO PLAYS TIME PER SESSION BASKET PAGE CART ABANDON RATE PROMO USAGE NEXT PAGE PATH HOMEPAGE SEARCH BAR USE ENGAGED USERS TOP LINK CLICKS PLP VIEWS PER SESSION FILTERS ENGAGEMENT NEXT PAGE PATH ERROR RATE ON FORM TIME TO COMPLETE NEXT PAGE PATH THANK YOU PAGE SHARING ON SOCIALS NEXT PAGE PATH SIGN UP RATES
65. Detailing out the audience, objectives, KPIs and metrics, along with source. USE THE MAP TO CREATE YOUR MEASUREMENT PLAN. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
66. WE MAY STILL HAVE THESE CHALLENGES TO OVERCOME. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
67. REFRAMING: CHANGING HOW INFORMATION IS PRESENTED TO SHIFT PERCEPTION, DECISIONS OR BEHAVIOURS. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
68. EXPEDIENCE BIAS They Cling To What Is Easy. Make the choices easy Loss aversion, present future costs Presenting new alongside the old @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
69. DEFAULT BIAS They Stick To What They Know. Break it down, test and learns Reframe and build on existing metrics Use social proof via case studies @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
70. EXPERIENCE BIAS Why Change What ‘Works Well’? Use previous data to demonstrate Offer change as an evolution Show how metrics have evolved @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
71. ENSURE YOUR BUSINESS IS USING THE RIGHT METRICS TO MAXIMISE ITS PERFORMANCE. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
72. SO WHAT SHOULD YOU DO NEXT? @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
73. Review your business goals, channel objectives and the metrics you can measure to redefine your KPIs. #1 KPIs @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
74. Build out a framework detail out the metrics and KPIs to measure and why. #2 FRAMEWORK @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
75. Consider the barriers to uptake to inform how to get buy in from your stakeholders. #3 POSITIONING @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
76. SO THE NEXT TIME WHEN…. @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO
77. THANK YOU. Find me on LinkedIn: Download the slides: @REFLECTDIGITAL LOTTIE NAMAKANDO #BRIGHTONSEO