What metric tells you how often, on average, an ad click or other ad interaction leads to a conversion?

Conversion rate

Cost-per-conversion

Conversion value-per-cost

Conversion value-per-click


Choose an option to see if it’s correct. Check the explanation below. Learn Smarter, not Harder.

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Explanation: What metric tells you how often, on average, an ad click or other ad interaction leads to a conversion?


Explanation: The correct answer is **'Conversion rate.'** Conversion rate is the metric that indicates how frequently, on average, an ad click or other ad interaction results in a conversion. It is calculated by dividing the number of conversions by the total number of interactions or clicks generated by the ad, then multiplying the result by 100 to express it as a percentage. A higher conversion rate signifies that a larger proportion of ad interactions are resulting in conversions, indicating the effectiveness of the ad in driving desired actions from users. Marketers use conversion rate as a key performance indicator (KPI) to assess the efficiency and success of their advertising campaigns. By monitoring and optimizing conversion rates, advertisers can refine targeting, messaging, and ad creative to maximize the likelihood of conversions, ultimately improving the overall return on investment (ROI) of their advertising efforts. Therefore, conversion rate is the most appropriate metric for evaluating how often ad interactions lead to conversions, providing valuable insights into the performance and effectiveness of advertising campaigns.
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