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Facebook & Instagram Ads Data Report Industries & Regions

AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

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Page 1: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

Facebook & Instagram Ads Data Report

Industries & Regions

Page 2: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

Social media marketing is complex. We know it and the Socialbakers' mission is to cut through that complexity by taking social media data and turning it into actionable insights - insights that help brands make even smarter marketing investments.

Facebook advertising today offers marketers a full scope of tools required to reach customers from Learning, to Consideration, to Conversion stages of their customer's journey. At each of those stages marketers have to make tactical choices on the ads objectives they set, the KPIs they measure, and the results they want to achieve.

We gathered a complete Facebook advertising report based on Socialbakers’ data to see how effectively have brands across industries and regions leveraged the platform's advertising features. We looked at ad objective distribution and advertising spend for Facebook, advertising costs and effectiveness, and took it a step further to see how ad objective distribution differs on Facebook versus Instagram.

INTRODUCTION

Page 3: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

Source: Socialbakers Data (250,000 Facebook & Instagram Ads) Date Range: January - June 2017

Distribution of Ad Objectives by Industry

5%

10%

15%

20%

25%

Accomodation Alcohol Auto Beauty Beverages Ecommerce Electronics Fashion

Link Clicks Video Views Page Likes Conversions Brand Awareness Reach

Page 4: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

5%

10%

15%

20%

25%

Fashion Finance FMCG Food Retail Retail Food Services Telecom Travel

Link Clicks Video Views Page Likes Conversions Brand Awareness Reach

Distribution of Ad Objectives by Industry

Source: Socialbakers Data (250,000 Facebook & Instagram Ads) Date Range: January - June 2017

Page 5: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

Brands across industries continue to focus on fan growth and invest significantly into Page Like campaigns. However, audience growth needs to be balanced with deeper business goals. Not only brands should focus on creating more Brand Awareness and Reach campaigns, they should also invest into nurturing those newly captured audiences towards conversions. If marketers want to tie their early stage marketing campaigns to social media ROI, it is necessary for them to track their audiences from one campaign to the next - from awareness to purchase.

Distribution of ad objectives is an indicator of how the industries are using Facebook's Ads Manager features to reach their audiences and what their marketing priorities are. The differences between the industries are significant. While majority of the industries do focus heavily on Link Click ads, hinting at the need for marketers to maximize their web traffic, many overlook ad objectives that maintain the Facebook users inside the platform or are optimized to generate Conversions.

INSIGHTS

Distribution of Ad Objectives by Industry

Page 6: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

5%

10%

15%

20%

25%

30%

35%

Accomodation Alcohol Auto Beauty Beverages Ecommerce Electronics Fashion

Link Clicks Video Views Page Likes Conversions Brand Awareness Reach

Distribution of Spend by Ad Objective

Source: Socialbakers Data (250,000 Facebook & Instagram Ads) Date Range: January - June 2017

Page 7: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

Distribution of Spend by Ad Objective

5%

10%

15%

20%

25%

30%

35%

Fashion Finance FMCG Food Retail Retail Food Services Telecom Travel

Link Clicks Video Views Page Likes Conversions Brand Awareness Reach

Source: Socialbakers Data (250,000 Facebook & Instagram Ads) Date Range: January - June 2017

Page 8: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

Knowing the distribution of ad objectives can help marketers see the volume of ads in their industry, but to see the bigger picture, it has to be measured next to the distribution of spend. Both data points are critical in helping marketers build strategies that leverage the objectives their competitors do not. For instance, the accommodation industry invests the most in generating website traffic, but are they creating enough Brand Awareness content to build interest in their services?

Facebook advertising can yield tangible business results, but to do so brands need to build comprehensive advertising strategies that are personalised for audiences at the difference stages of their buying intent. Focusing solely on one campaign objective for the brand will likely result in bottlenecks in other strategy sections. To make the most of Facebook's advertising capabilities marketers should start leveraging a wide scope of objectives available to them, test them and measure what's contributing to their business outcomes the most. While investment in Link Clicks is high across most industries, Conversion campaigns are still largely underused.

INSIGHTS

Distribution of Spend by Ad Objective

Page 9: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

Cost-per-click by Region & Industry

$0,1

$0,2

$0,3

$0,4

$0,5

$0,6

Accomodation Alcohol Auto Beauty Ecommerce Electronics Fashion Finance FMCG Food Retail

LATAM APAC North America EMEA

Cost-per-click (CPC) metric determines how much advertisers can anticipate to spend on their paid social media. Knowing the CPCs across industries and regions can be used as a baseline to help brands calculate their advertising budgets. There are key differences between regions and brands need to take those differences into consideration before launching their campaigns to new audiences.

Source: Socialbakers Data (1,626,465 Facebook Ads) Date Range: November 2016 - February 2017

INSIGHTS

Page 10: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

Click-through-rate by Region & Industry

0,5%

1%

1,5%

2%

2,5%

3%

3,5%

4%

4,5%

Accomodation Alcohol Auto Beauty Ecommerce Electronics Fashion Finance FMCG Food Retail

LATAM APAC North America EMEA

Source: Socialbakers Data (1,626,465 Facebook Ads) Date Range: November 2016 - February 2017

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Click-through-rate (CTR) is an indicator of advertising effectiveness. CTR will differ across industries, but it will also differ from region to region. This difference has to be a part of the risk assessment when brands build their advertising campaigns. Higher CTR is strongly correlated with reduced advertising costs, while lower CTR will yield higher costs and worse advertising results. The variable that determines the CTR on Facebook is the Relevance Score - the critical metric marketers have to monitor closely if advertising efficiency is their priority.

INSIGHTS

Click-through-rate by Region & Industry

Page 12: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

Cost-per-click by Ad Objective

$0,1

$0,2

$0,3

$0,4

$0,5

$0,6

Brand Awareness Conversions Lead Generation Link Clicks Page Likes Post Engagement Product Catalog Video Views

LATAM APAC North America EMEA

Source: Socialbakers Data (1,626,465 Facebook Ads) Date Range: November 2016 - February 2017

Page 13: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

When looking at Cost-per-click metrics across ad objectives, the difference between the advertising costs will vary from one region to the next and by objectives as well. We see a significant gap in advertising costs between objectives that aim to meet campaign goals at the Conversion level versus Brand Awareness stages. The cost of Post Engagement objective compared to Conversion ad objective in North American is nearly 5 times lower.

INSIGHTS

Cost-per-click by Ad Objective

Page 14: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

Source: Socialbakers Data (1,626,465 Facebook & Instagram Ads) Date Range: November 2016 - February 2017

Cost-per-click by Region on Instagram

$0,4

$0,8

$1,2

$1,6

Median CPC

$0,63

$1,54

$0,84

$0,35

LATAM APAC North America EMEA

Instagram is growing in numbers and it is becoming increasingly more important among advertisers. While Instagram is a part of Facebook, there are key differences between the platforms that marketers have to consider. Instagram is known to be rewarding in terms of engagement and reach organically, but brands should prepare to pay more for their paid social media efforts on the platform.

Same applies to advertising costs between regions. The Instagram ads costs in LATAM region compared to North America are 5 times lower. This data can be critical to marketers in deciding which platforms they should advertise on and in what regions they can expect the highest cost efficiency.

INSIGHTS

Page 15: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

When we aggregate ad objective distribution data, we find that the vast majority of brands focus on the Post Engagement objective to amplify their posts. However, objectives that can generate far more concrete business outcomes such as Lead Generation and Conversions are not leveraged enough across all regions.

Brands that advertise on Instagram tend to focus more on Link Click ads in comparison to Facebook. However, according to Socialbakers’ data, most marketers still advertise primarily to maximize engagement on the platform, despite the high organic performance on Instagram.

Ad Objective Distribution: Facebook vs. Instagram

Page 16: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

LATAM: Ad Objective Distribution on Facebook

Post Engagement Link Clicks Video Views Page Likes Brand Awareness Conversions Reach Other

52.1% 13% 10.1% 8.8% 5.9% 5.2% 1.5% 3.2%

Source: Socialbakers Data (1,626,465 Facebook & Instagram Ads) Date Range: November 2016 - February 2017

Page 17: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

Post Engagement Link Clicks Video Views Brand Awareness Conversions Other

41% 26% 17% 8% 5% 3%

LATAM: Ad Objective Distribution on Instagram

Source: Socialbakers Data (1,626,465 Facebook & Instagram Ads) Date Range: November 2016 - February 2017

Page 18: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

Post Engagement Link Clicks Video Views Page Likes Brand Awareness Conversions Reach Other

43.7% 18.8% 11.4% 9% 7.9% 4.1% 1.5% 3.7%

APAC: Ad Objective Distribution on Facebook

Source: Socialbakers Data (1,626,465 Facebook & Instagram Ads) Date Range: November 2016 - February 2017

Page 19: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

Source: Socialbakers Data (1,626,465 Facebook & Instagram Ads) Date Range: November 2016 - February 2017

Post Engagement Link Clicks Video Views Brand Awareness Conversions Other

33% 31% 17% 8% 6% 6%

APAC: Ad Objective Distribution on Instagram

Page 20: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

Post Engagement Link Clicks Video Views Page Likes Brand Awareness Conversions Reach Other

40.3% 19.4% 12.3% 9% 6.4% 4.1% 3.7% 4.8%

North America: Ad Objective Distribution on Facebook

Source: Socialbakers Data (1,626,465 Facebook & Instagram Ads) Date Range: November 2016 - February 2017

Page 21: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

Post Engagement Link Clicks Video Views Brand Awareness Conversions Other

38% 26% 12% 11% 8% 5%

North America: Ad Objective Distribution on Instagram

Source: Socialbakers Data (1,626,465 Facebook & Instagram Ads) Date Range: November 2016 - February 2017

Page 22: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

Post Engagement Link Clicks Video Views Page Likes Brand Awareness Conversions Reach Other

46.1% 18.1% 9.5% 8.9% 7.8% 4.1% 1.8% 3.8%

EMEA: Ad Objective Distribution on Facebook

Source: Socialbakers Data (1,626,465 Facebook & Instagram Ads) Date Range: November 2016 - February 2017

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Post Engagement Link Clicks Video Views Brand Awareness Conversions Other

36% 32% 13% 8% 6% 4%

EMEA: Ad Objective Distribution on Instagram

Source: Socialbakers Data (1,626,465 Facebook & Instagram Ads) Date Range: November 2016 - February 2017

Page 24: AI-Powered Social Media & Digital Marketing …content.socialbakers.com › rs › 051-PVI-353 › images › FB+Ads...campaigns to social media ROI, it is necessary for them to track

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