Despite strong ad engagement with Search CTR peaking above 16.5%, consumer purchase intent remains hesitant. Higher click-throughs across all campaign types are not translating into sales, as seen with Search conversion rates lagging behind last year at roughly 4.5%. Users are browsing heavily on mobile but converting less overall, reflecting a cautious, research-driven market mood.
Across all campaign types, CTR has increased YoY, yet Conversion Rates (CVR) lag. Search campaigns illustrate this most drastically: CTR surged to over 16% in Q4, but CVR remains significantly lower than the previous year (hovering around 4.5%). This challenges the assumption that higher engagement yields proportional revenue. Consumers are clicking more but buying less, signaling prolonged consideration phases and lower-intent clicks.
Device data perfectly contextualizes this friction. Mobile phones dominate CTR (~2%) but yield the lowest CVR. Conversely, computers drive the highest CVR (5-7%) despite the lowest CTR (~1%). Users are heavily researching and clicking on mobile devices but deferring actual purchases to desktop, or abandoning them entirely.
Platform shifts and economic realities heavily influence these metrics: