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econsultancy_xml

Valleywag's <a href="http://valleywag.com/tech/advertising/facebook-consistently-the-worst-performing-site-242234.php">post</a> tells a similar story, with media buyers reporting that they are also achieving CTR of 0.04%, though this figure covers both flyer and banner ads. Exactly why clickthrough rates are so low is unclear, though some are suggesting that this is due to the ‘messaging’ nature of Facebook, drawing users in for a reason other than the site’s content, while it has also been suggested that Facebook's demographic of students with low income is responsible for this. Valleywag points out that MySpace has more than twice the clickthrough rate, at 0.1%. Douglas McIntyre of <a href="http://www.247wallst.com/2007/07/why-facebook-is.html">24/7 Wall Street</a> takes the point further, speculating that, as audiences of social networks are less attractive to advertisers than others, the <a href="/blog/270-yahoo-reportedly-close-to-facebook-deal">value of Facebook</a> has been exaggerated. Meanwhile, comScore <a href="http://www.redorbit.com/news/technology/997289/comscore_myspace_teen_visitors_drops/index.html">figures</a> suggest that MySpace is losing some of its teenage users to its rival - the number of under-18s visiting the site has fallen by 30% over the past year for MySpace, while at the same time, Facebook's teenage visitors more than doubled. Further reading: <a href="/blog/1485-facebook-developers-to-profit-from-vc-interest">Facebook developers to profit from VC interest</a>

<FormattedContent xmlns="http://www.e-consultancy.com/schema/formattedContent/"> <Paragraph>Valleywag's <Link URL="http://valleywag.com/tech/advertising/facebook-consistently-the-worst-performing-site-242234.php" Window="Self">post</Link> tells a similar story, with media buyers reporting that they are also achieving CTR of 0.04%, though this figure covers both flyer and banner ads. </Paragraph> <Paragraph>Exactly why clickthrough rates are so low is unclear, though some are suggesting that this is due to the ‘messaging’ nature of Facebook, drawing users in for a reason other than the site’s content, while it has also been suggested that Facebook's demographic of students with low income is responsible for this. </Paragraph> <Paragraph>Valleywag points out that MySpace has more than twice the clickthrough rate, at 0.1%. </Paragraph> <Paragraph>Douglas McIntyre of <Link URL="http://www.247wallst.com/2007/07/why-facebook-is.html" Window="Self">24/7 Wall Street</Link> takes the point further, speculating that, as audiences of social networks are less attractive to advertisers than others, the <Link URL="/blog/270-yahoo-reportedly-close-to-facebook-deal" Window="Self">value of Facebook</Link> has been exaggerated. </Paragraph> <Paragraph>Meanwhile, comScore <Link URL="http://www.redorbit.com/news/technology/997289/comscore_myspace_teen_visitors_drops/index.html" Window="Self">figures</Link> suggest that MySpace is losing some of its teenage users to its rival - the number of under-18s visiting the site has fallen by 30% over the past year for MySpace, while at the same time, Facebook's teenage visitors more than doubled. </Paragraph> <Paragraph> <Emphasis>Further reading:</Emphasis> <LineBreak /> <Link URL="/blog/1485-facebook-developers-to-profit-from-vc-interest" Window="Self">Facebook developers to profit from VC interest</Link> </Paragraph> </FormattedContent>

2007-07-16T10:23:00+01:00

econsultancy_xml

Facebook advertising is performing poorly for some advertisers, with click through rates for some campaigns reported to be as low as 0.04%. <a href="http://www.reachstudents.co.uk/blog/2007/07/11/facebook-advertising-warning/">The Reach Students blog</a> reports that the campaigns they have run using Facebook's flyer ads have produced disappointing results, with its most recent campaign delivering a mere 0.04% clickthrough rate on 1.4m page impressions. The average clickthrough for a banner ad is around 0.2%, so Facebook appears to be underperforming, but why?

<FormattedContent xmlns="http://www.e-consultancy.com/schema/formattedContent/"> <Paragraph> <Emphasis>Facebook advertising is performing poorly for some advertisers, with click through rates for some campaigns reported to be as low as 0.04%.</Emphasis> </Paragraph> <Paragraph> <Link URL="http://www.reachstudents.co.uk/blog/2007/07/11/facebook-advertising-warning/" Window="Self">The Reach Students blog</Link> reports that the campaigns they have run using Facebook's flyer ads have produced disappointing results, with its most recent campaign delivering a mere 0.04% clickthrough rate on 1.4m page impressions.</Paragraph> <Paragraph>The average clickthrough for a banner ad is around 0.2%, so Facebook appears to be underperforming, but why?</Paragraph> </FormattedContent>

false 1506

For background on online PR and social media more generally, It's worth reading our (free to registered users) <a href="http://econsultancy.com/reports/online-pr-and-social-media-trends-briefing">Social Media Trends Briefing</a> (June 2009). Econsultancy has also published <a href="http://econsultancy.com/reports/social-media-and-online-pr-digital-marketing-template-files">Social Media and Online PR Template Files</a>, which you can adapt and use for your own projects. For innovation in this space, download our <a href="http://econsultancy.com/reports/innovation-report">Innovation Report</a>.

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Facebook ads performing badly? false

2007-07-16T12:45:00+01:00

facebook-ads-performing-badly

2009-04-28T22:54:11+01:00

2009-10-13T09:12:02+01:00

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