Nanigans Q2 report: Facebook ad CTR, costs growing


Facebook will announce its official Q2 numbers on July 23, but quarterly figures from Strategic Preferred Marketing Developer Nanigans show that it’s getting increasingly costly to advertise on the social network.

According to Nanigans, though ad clickthrough rates have risen 47 percent from Q1 and 146 percent year over year, both the CPM and CPC are growing as well. The CPM of Facebook ads among Nanigans clients have grown 57 percent since last quarter and 218 percent year over year.

The starkest contrast has come in the category of gaming. CTR for game ads has skyrocketed 579 percent year over year. Naturally, the costs of these ads accelerated, as well. CPM for gaming ads has grown 367 percent year over year.

As the Facebook ecosystem shifts, and more users are active on mobile, advertisers have taken note. Mobile ad spend, for Nanigans’ cients, has grown steadily over the past year, and now represents 56 percent of all ad spend on Facebook.

Screen Shot 2014-07-09 at 12.46.20 PMNanigans’ report also shed light on the most popular ad types, noting that Unpublished Page Post Link Ads, Mobile App Install Ads, and Domain Ads comprised 87 percent of ad spend in Q2.

Screen Shot 2014-07-09 at 12.47.48 PMCheryl Morris, Director of Marketing Development at Nanigans, talked with AdExchanger about what this means long-term for Facebook advertisers:

In general, ad dollars follow consumer time spent, and right now for our consumers, that’s increasingly on mobile – but that doesn’t mean spend to desktop will be completely eclipsed. There are plenty of challenges and work to do in marrying data and understanding behavior across devices, from better attribution to storyboarding that generates demand and captures intent.

Top image courtesy of Shutterstock.



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