Small businesses have been urged to build their presence within Facebook, following a new global report revealing advertisers who keep traffic within Facebook can reduce cost-per-clicks by 45%.<\/p>\n
<\/span> <\/p>\n \u00a0<\/p>\n The latest Global Facebook Advertising Report<\/i>, compiled by TBG Digital and verified by the University of Cambridge, is based on 326 billion impressions in 205 countries, including Australia.<\/p>\n \u00a0<\/p>\n According to the report, Facebook\u2019s economic model is delivering improved value for advertisers, both in effectiveness and in terms of cost.<\/p>\n \u00a0<\/p>\n TPG has uncovered huge reductions in cost-per-click rates for advertisers running Facebook campaigns that recruit fans or require users to install applications.<\/p>\n \u00a0<\/p>\n \u201cA previous study in Q2 2011 by TPG Digital, albeit with a smaller sample size of 2.8 billion impressions, found that Facebook charged a 29% lower cost-per-click for ads that keep traffic within the Facebook environment, rather than sending users to an offsite location,\u201d the report said.<\/p>\n \u00a0<\/p>\n \u201cWe discovered that the fanning\/Facebook application CPCs were even cheaper in comparison to offsite CPCs in Q4 2011.\u201d<\/p>\n \u00a0<\/p>\n \u201cWe now see that keeping traffic within Facebook via fanning and Facebook application campaigns can reduce CPCs by 45%\u2026 [This is] a strong incentive for companies to build their presence within Facebook.\u201d<\/p>\n \u00a0<\/p>\n \u201cFor example, financial services firms often direct users back to their own websites to complete a quotation or sign-up process, but building tailored applications that perform the same function within Facebook sees a reduction in advertising costs.\u201d<\/p>\n \u00a0<\/p>\n The report goes on to assess industry sectors in terms of volume and effectiveness.<\/p>\n \u00a0<\/p>\n The top five sectors ranked by volume \u2013 finance, retail, food and drink, games and entertainment \u2013 account for almost 70% of the total impressions served on Facebook, according to the report.<\/p>\n \u00a0<\/p>\n Meanwhile, the food and drink sector recorded the highest click-through rate levels, largely due to successful fanning campaigns.<\/p>\n \u00a0<\/p>\n \u201cFood and drink has taken over beauty and fitness to hit the top position in our sector click-through rates league,\u201d the report said.<\/p>\n \u00a0<\/p>\n \u201cThese sectors are engaging with the Facebook user base and are therefore enjoying lower CPCs as a result. There has [also] been more movement with not-for-profit, with home and garden entering the top five for the first time.\u201d<\/p>\n \u00a0<\/p>\n TPG Digital chief executive Simon Mansell says users are becoming increasingly discerning about what they view on social media networks, so advertisers need to up the ante.<\/p>\n \u00a0<\/p>\n \u201cIt is in all advertisers\u2019 interests to ensure that their content resonates with their target audiences and fits with their usage habits,\u201d Mansell said in a statement.<\/p>\n \u00a0<\/p>\n \u201cThe potential cost-savings available, by maintaining traffic within the Facebook environment, is particularly compelling and demonstrates its effectiveness as an advertising channel and also as a destination.\u201d<\/p>\n \u00a0<\/p>\n Mansell said Facebook is cementing is position as an increasingly essential part of brands\u2019 advertising strategies, so smaller companies must continue to invest in their Facebook presence.<\/p>\n \u00a0<\/p>\n \u201cWith the reported introduction of mobile adverts early this year, the opportunities for advertisers will continue to grow,\u201d he said.<\/p>\n","protected":false},"excerpt":{"rendered":" Small businesses have been urged to build their presence within Facebook, following a new global report revealing advertisers who keep<\/p>\n","protected":false},"author":2,"featured_media":62203,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"_links":{"self":[{"href":"https:\/\/www.startupsmart.com.au\/wp-json\/wp\/v2\/posts\/35517"}],"collection":[{"href":"https:\/\/www.startupsmart.com.au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.startupsmart.com.au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.startupsmart.com.au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.startupsmart.com.au\/wp-json\/wp\/v2\/comments?post=35517"}],"version-history":[{"count":0,"href":"https:\/\/www.startupsmart.com.au\/wp-json\/wp\/v2\/posts\/35517\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.startupsmart.com.au\/wp-json\/wp\/v2\/media\/62203"}],"wp:attachment":[{"href":"https:\/\/www.startupsmart.com.au\/wp-json\/wp\/v2\/media?parent=35517"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.startupsmart.com.au\/wp-json\/wp\/v2\/categories?post=35517"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.startupsmart.com.au\/wp-json\/wp\/v2\/tags?post=35517"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}