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Google Ads (formerly Google AdWords) provides advertisers with a significant amount of data regarding their Pay Per Click (PPC) campaigns, such as:
- CTR (Click-Through Rate);
- Average CPC (Cost Per Click);
- Conversion Rate.
But how can you evaluate the performance of your Google Ads campaigns? What are good values for CTR, CPC, and Conversion Rate?
In this article, we present data from various sources and specifically discuss the results of two studies conducted by Wordstream:
- the data related to Display campaigns are based on a 2018 study;
- the data related to Search campaigns refer to a study published in September 2025, which analyzed 16,000 campaigns on Google Ads and Microsoft Advertising (formerly Bing Ads) across different industries.
What is CTR and How Is It Calculated?
Il CTR (o Click-Through Rate) in Google Ads indica la percentuale di clic sugli annunci, ovvero il rapporto tra
CTR (Click-Through Rate) in Google Ads represents the percentage of clicks on ads, which is the ratio between
- the number of clicks an ad receives, and
- the number of times the ad is displayed (impressions).
The CTR is calculated as follows:
CTR = clicks / impressions
For example, if a keyword receives 4 clicks and 100 impressions, its CTR would be 4%.
What Is a Good CTR in Google Ads?
Analyzing various blogs on the subject, many advertisers and agencies consider a good average CTR to be above 3-4% in Search campaigns. For Display campaigns, there’s a tendency to view CTRs around 0.3% as good.
However, the Search campaigns analyzed in Wordstream’s research show higher values, with an average CTR of 6.66%. This represents an increase from the 2018 results, which recorded an average CTR of 3.17% across various industries.
Looking at specific sectors, the best performance was observed in the “Arts and Entertainment” sector (with an average CTR of 13.10%), while the worst data was found in the “Dentists & Dental Services” sector (CTR at 5.44%).
In Display campaigns, an average CTR of 0.46% was recorded. The best performance was in the “Real Estate” sector (1.08%), while the worst performance was in the “Technology” sector (0.39%).
In addition to the industry, when evaluating the CTR of your Search campaign, it’s important to consider the type of keyword match used. Broad match keywords will likely have a lower CTR compared to exact match keywords.
A tip: CTR can be a good metric to understand the effectiveness of your ads, but it provides no information about the quality of the traffic generated by these clicks. Never focus solely on CTR to evaluate the performance of keywords and ads; instead, carefully analyze the data related to user behavior after the click (e.g., average session duration, pages per session, bounce rate, conversions), which you can track by implementing Google Analytics 4 (GA4).
What Is CPC and How Is It Calculated?
CPC (Cost Per Click) is the amount charged for a click on an ad.
What Is a Good CPC in Google Ads?
Identifying an average CPC that can be universally considered good for any Google Ads campaign is difficult. Each advertiser must evaluate not only the competition in their industry but also whether the Cost per Click of keywords aligns with their cost per conversion goals.
The campaigns analyzed in Wordstream’s studies reported average CPCs of $5,26 in the Search network and $0.63 in the Display network.
In the Search network, the highest values were recorded in the “Legal Services” sector (average CPC of $8.58), while the lowest values were found in the “Arts and Entertainment” sector ($1.60).
In the Display network, the highest values were recorded in the “Dating and Personal Ads” sector ($1.49), while all other sectors had average CPCs below a dollar.
Further interesting CPC data from Google Ads comes from a study conducted by SEOZoom, which identified the most expensive keywords in 2016. The study showed that the average annual CPC for some keywords reached up to €47 (the most expensive keyword of 2016 was “online casino” with an average annual CPC of €47.62).
In general, CPCs on Google Ads continue to rise year over year: 87% of industries recorded cost increases in 2025, in some cases very significant ones. This trend, already observed in previous years, is mainly linked to growing competition and increasingly crowded and unstable SERPs.
What Is Conversion Rate and How Is It Calculated?
Conversion Rate in Google Ads represents the ratio between:
- the number of conversions recorded, and
- the total number of interactions with the ad.
The Conversion Rate is calculated as follows:
Conversion Rate = conversions / total interactions
For example, if a keyword records 4 conversions and 100 interactions, its conversion rate would be 4%.
What Is a Good Conversion Rate in Google Ads?
As mentioned in various blogs, many advertisers and agencies consider a good conversion rate to be above 2% or 3%, to be evaluated depending on the sector and the action tracked as a conversion.
The campaigns analyzed by Wordstream reported an average Conversion Rate of 7.52% for the Search network and 0.77% for the Display network. Again, the Search network showed an increase compared to the 2018 values, which had an average Conversion Rate of 3.75%.
The best conversion rate in the Search network was achieved by the “Automotive – Repair, Service & Parts” sector (14.67%), while the worst value was recorded by the “Finance & Insurance” sector (2.55%).
In the Display network, the “Dating & Personals” sector achieved the highest conversion rate (3.34%), while the lowest values were found in the “Home Goods” sector (0.43%).
The average values reported by Wordstream appear to be higher than those found in 2023 in a VWO research specifically focused on e-commerce. The study highlighted an average conversion rate of 2.2%.
Clearly, your Google Ads conversion rate should be evaluated based not only on the industry you’re in but also on the tracked action. Completing an online purchase will hold more significance than simply viewing a strategic page.
Final Thoughts
In this article, we’ve tried to provide some benchmark data that advertisers can use to evaluate the performance of their Google Ads campaigns. You can analyze Wordstream’s data updated for various industries and compare year-over-year results at this link.
However, it remains challenging to identify universally ‘good’ values for any Google Ads campaign. It’s essential to remember that evaluating your CTR, CPC, and Conversion Rate depends on factors such as your industry, the type of search you’re targeting, the chosen conversion actions, and your cost per conversion goals.
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