Industry Benchmarks

CPC (Cost Per Click)

The average amount you pay each time someone clicks your ad. Lower is generally better, but ultra-low CPCs may signal low-quality traffic. Compare within your industry, not across industries.

CTR (Click-Through Rate)

The percentage of people who see your ad and click it. Calculated as clicks / impressions. A higher CTR typically means your ad creative and targeting resonate well. Industry average is 2-4% for search, 0.5-1% for display.

CVR (Conversion Rate)

The percentage of clicks that turn into a conversion (purchase, sign-up, lead form, etc.). Higher is better. Depends heavily on your landing page quality and offer, not just your ad.

CPA (Cost Per Acquisition)

How much you spend to acquire one customer or conversion. Calculated as total spend / conversions. Lower is better. This is the metric that directly impacts profitability.

ROAS (Return On Ad Spend)

Revenue generated per dollar of ad spend. A 4.0x ROAS means you earn $4 for every $1 spent. Higher is better. A ROAS below 1.0x means you're losing money on ads. Break-even ROAS depends on your margins.

Color coding: Green = above-average performance (better than 60% of advertisers). Yellow = within normal range. Red = below average (room for improvement). Context matters: a "red" CPC in Legal ($8.67) may still be profitable given high case values.