Master CTR In Google Ad Grants

• Ad Grants
• Tips
• 15. 04. 2025

What Is Click-Through Rate (CTR) In Google Ads Grants?

For nonprofits leveraging the Google Ad Grants, capturing audience attention isn’t just about getting impressions, it’s about inspiring action. But how do you measure success? Click-through rate (CTR) serves as a key indicator of engagement, showing how effectively your ads connect with the right people at the right time.

Whether you’re looking to optimize your campaigns, understand industry trends, or navigate changes in the program, mastering CTR can help your nonprofit make the most of every ad dollar. In this guide, we’ll break down what CTR means, why it matters, and how to set your campaigns up for success.

Understanding Click-Through Rate (CTR)

Click-through rate (CTR) is a key performance metric for Google Ad Grants accounts, reflecting how often users click on an ad after seeing it.

5% Minimum CTR Requirement For Google Ads Grants

For years, Google Ads Grant accounts have been required to maintain a minimum CTR of 5% to comply with program policies. This rule was introduced to ensure nonprofits use the grant effectively and provide users with relevant ads. However, recent trends suggest that CTR across the program has been lower than usual, and some experts speculate that Google may eventually remove the 5% requirement.

Unexplained Drops In CTR In Ad Grants Accounts

A discussion within the nonprofit advertising community suggests that the current low CTR across the program is unusual and likely not a major concern for Google at the moment. Many accounts that typically achieve 10-15% CTR are experiencing unexplained drops, and informational nonprofits with fewer direct conversions are seeing lower engagement rates.

Although this isn’t officially confirmed, the most probable causes of declining CTR in Google Ad Grants accounts are AI Overviews and Performance Max (PMax) campaigns:

• AI Overviews in Search Results: Google’s AI-generated answers are reducing the need for users to click on ads and organic results, as they often provide immediate answers within the search results page. This particularly impacts informational and awareness-driven nonprofit campaigns, where users previously clicked on ads for further reading but now get their answers directly from AI Overviews.
• Performance Max (PMax) Campaigns: Many nonprofits have implemented PMax campaigns to their accounts, and these tend to have significantly lower CTRs compared to traditional search ads. Since Google calculates CTR at the account level, having PMax campaigns with low engagement can pull down the overall CTR, making it seem like search ads are underperforming. However, it’s important to note that PMax campaigns are excluded from the 5% CTR rule, so their lower CTR does not put accounts at risk of suspension.

Many Google Ad Grants accounts have been experiencing lower CTR lately, but nonprofits don’t need to worry about losing their accounts. The worst possible outcome is a temporary suspension, but even that is highly unlikely from our perspective.

CTR Formula

Click-through rate (CTR) is a crucial metric in Google Ads that measures the ratio of users who click on an ad compared to the total number of users who see it. It is calculated using the formula:

CTR (%) = (Total Clicks / Total Impressions) x 100

In the Google Ads Grant program, maintaining a high CTR is often considered an indicator of ad relevance and engagement.

Measuring and Tracking CTR

Click-through rate (CTR) is a dynamic metric that naturally fluctuates over time. Even well-performing ads can experience dips in CTR due to factors such as lower ad position, increased competition, or shifts in keyword relevance.

To stay on top of your performance, we recommend logging into your Google Ad Grants account at least once a week to review your CTR. If you notice a downward trend, it’s important to investigate and take action, this could involve updating ad copy, refining your keywords, or adjusting bids.

You can monitor CTR in the Google Ads dashboard by going to the Campaigns or Keywords tab and adding the CTR column to your view. Keeping a close eye on this metric helps ensure your ads remain effective, engaging, and compliant with Ad Grants policies.

What Is A Good CTR For Google Ad Grants?

CTR benchmarks in Google Ad Grants accounts can vary, but aiming for a higher CTR generally leads to better ad performance and greater visibility. Here’s how to interpret your CTR:

• 5% – the minimum required for compliance.
• 10%+ – well-optimized accounts typically achieve a CTR above 10%, indicating that ads are relevant and reaching the right audience. If your CTR is around this level, your account is in good shape.
• 15%+ is considered excellent –  Achieving 15% CTR or more means your targeting, ad copy, and keyword selection are highly refined. This level of engagement often leads to better Quality Scores, lower costs per click, and stronger overall campaign performance.

How To Improve CTR For Google Ad Grants

If your CTR is below expectations, consider the following strategies:

1. Improve ad copy by using compelling headlines and clear calls to action.
2. Use negative keywords to filter out irrelevant searches to avoid wasted impressions.
3. Leverage ad extensions such as sitelink, callout, and structured snippet extensions that can help you increase visibility.
4. Optimize landing pages and ensure the destination page aligns with the ad’s message.
5. Pause keywords within ‘Search keywords’ section with CTR lower than 5% for the past 3 months.
6. Produce highly relevant content  to boost your quality score.
7. Use dynamic headlines – implement dynamic keyword insertion to make ad headlines more personalized and relevant to search queries.
8. Increase bids strategically – higher bids can improve ad placements, increasing visibility and potential CTR.

Examples Of High-CTR Google Ads Grant Campaigns

Campaigns that consistently deliver high click-through rates (CTR) often share a few key characteristics. Brand campaigns typically top the list, when users are searching for your organization by name, they’re already familiar with your mission and far more likely to click. 

Campaigns with low-competition keywords also tend to perform well, as they allow your ads to appear in higher positions with minimal bidding pressure. 

In addition, dynamic campaigns, especially those that incorporate brand-related queries, can achieve strong CTRs by matching ad copy closely to user intent. Ultimately, the highest CTRs are often found in campaigns targeting niche, highly relevant, and low-competition keywords, where your ad stands out as the most relevant result on the page.

Common Mistakes That Lower CTR In Google Ad Grant Campaigns

Several avoidable missteps can significantly impact the click-through rate (CTR) of your Google Ad Grants campaigns. Here are the most common issues to watch for:

• Targeting highly competitive keywords
  Your ads may appear in lower positions due to limited bidding power, reducing visibility and CTR.
• Not using automated bidding strategies
  Manual bidding often fails to compete effectively. Smart bidding can optimize for clicks and improve performance.
• Omitting brand and dynamic campaigns
  Without brand-focused or dynamic campaigns, you miss out on high-intent traffic and personalized ad delivery.
• Using low-quality score or irrelevant keywords
  Poorly matched keywords lead to low ad relevance and reduced visibility, both of which negatively affect CTR.
• Competing with your own commercial campaigns
  Running the same keywords in both Ad Grants and paid accounts can cause internal competition, driving down CTR.
• Using outdated ad formats or skipping ad extensions
  Failing to utilize current best practices like responsive ads, dynamic keyword insertion, and extensions makes ads less engaging and lowers click-through potential.

Avoiding these pitfalls and regularly reviewing your campaign setup can significantly boost CTR and overall campaign effectiveness.

FAQ

Does CTR Impact My Quality Score In Google Ads?

Yes, CTR is a significant factor in determining your Quality Score. A higher CTR generally indicates that your ads are relevant to searchers, which can improve your Quality Score and reduce your cost-per-click (CPC), even in a grant-funded account.

How Long Does It Take To Improve CTR?

CTR improvements can sometimes be seen within days of optimizing your ads, especially if you revise ad copy, adjust bids, or pause underperforming keywords. However, long-term improvements often come from continuous testing and refinement.