CPMs, Engagement Fall in 1Q for Facebook, Twitter, LinkedIn (Report)

Salesforce Marketing Cloud released its Social.com Q1 2015 Advertising Benchmark, examining trends for Facebook, Twitter and LinkedIn.

Salesforce Marketing Cloud released its Social.com Q1 2015 Advertising Benchmark, examining trends for Facebook, Twitter and LinkedIn.

Salesforce Marketing Cloud is part of Salesforce, a Facebook Marketing Partner.

Overall, Salesforce Marketing Cloud found that Facebook, Twitter and LinkedIn combined saw ad revenue grow 49 percent in the first quarter of 2015 compared with the prior-year quarter.

For Facebook, the company found that:

  • Overall CPMs (cost per thousand impressions) fell 11 percent from the fourth quarter of 2014 to the first quarter of 2015, to $3.30, largely due to normal seasonal trends.
  • CPMs for Facebook Audience Network were 9 percent cheaper than overall mobile CPMs, but those ads also saw lower engagement. Salesforce Marketing Cloud pointed to 20 percent lower click-through rates and 3 percent lower install conversions rates, which drove costs per install up 18 percent. The company added, “Advertisers using Facebook Audience Network must be especially careful of their ad targeting in order to maintain sufficiently high install conversion rates and the desired CPI.

SalesforceMarketingCloud1Q2015FacebookChart SalesforceMarketingCloud1Q2015FacebookAudienceNetworkChart

For Twitter, Salesforce Marketing Cloud examined two major ad types: promoted accounts and promoted tweets. It found that:

  • Both ad types saw lower CPMs and slight increases in cost per engagement.
  • Promoted tweets rose by one penny quarter-over-quarter in the U.S., to $0.45, but engagement slipped to 2 percent from 2.28 percent, and CPMs fell to $8.92.

SalesforceMarketingCloud1Q2015PromotedAccountsChart SalesforceMarketingCloud1Q2015PromotedTweetsChart

Finally, for LinkedIn, Salesforce Marketing Cloud found that:

  • CPMs in the U.S. slipped to $13.05 in the first quarter of 2015.
  • Sponsored updates made up 40 percent of LinkedIn’s overall ad revenue, nearly double the 2014 figure.

SalesforceMarketingCloud1Q2015LinkedInChart