Several agencies are predicting a highly positive third quarter report from Facebook. While we won’t know exactly how the social network performed financially until Oct. 30, digital marketing agency 3Q Digital feels that Facebook had quite the quarter, pointing to the unpublished post ads and better targeting options.
Among 3Q Digital’s clients, click through rate (CTR) improved by 14 percent, to 0.65 percent (even though impressions took a fairly big hit).
The company also found that location is key in Facebook advertising, as the News Feed once again was much more effective than the right sidebar for ads. CTR for sidebar ads stayed the same as Q2, at .03 percent, but News Feed CTR increased from 1.34 in Q2 to 1.69 in Q3.
News Feed desktop ads showed an improvement in both cost-per-click and cost-per-like. CPCs for desktop News Feed ad fell 21 percent (from $0.53 to $0.42), while mobile ad CPC rose 16 percent to $0.29. Cost-per-like for News Feed desktop ads dropped an amazing 51 percent, from $2.10 to $1.03. This figure also fell on mobile, going from $1.56 to $1.28.
3Q Digital spokesman John McCartney discussed Q3 performance with Inside Facebook:
The new ad types and targeting options, combined with an increased focus on the mobile experience, appear to have improved Facebook’s ad performance. Moving forward, advertisers should seek to optimize both creatives, which are central to the critical News Feed placement, and the conversion process on phones and tablets, since mobile’s rising CTRs will also inflate CPAs if the conversion path offers a flawed experience.