Facebook is the #1 mobile app in the United States as of June 2017 measured by monthly active users and is used by 81% of all mobile app users. Facebook also has the highest amount of monthly users among all mobile apps at 147 million as reported by comScore Mobile Metrix.
Do you think your audience is on Facebook? You bet they are! And if you want to reach them, it will come at a price of course. The same holds true for any marketing channel.
But there's no denying that when it comes to potential audience reach and new customer acquisition, Facebook is king.
Facebook's Increasing Ad Costs
The question all small businesses have is - how much would it cost our business to gain consumer attention, let alone acquire our ideal customers through Facebook ads?
On Facebook’s Q2 2018 earnings call, they reported six million businesses are using their advertising platform. How many businesses are on Facebook? 80 million. Year-over-year more businesses will continue to adopt the Facebook ads platform, and with it will come a continued increase in ad cost.
Our friends at AdStage have analyzed 80 million clicks on over 3 billion desktop and mobile news feed placement ad impressions in Q1 2018 alone. Adstage's Q1 2018 Paid Media Benchmark Report identified some of the key performance metrics correlated to an increase in Facebook ads - CPM, CPC, and CTR.
From users using the AdStage platform to manage their ads running on the Facebook ads platform the median key performance metrics were:
Let’s take a look at the year-over-year cost per thousand impressions (CPM) on Facebook because as small businesses we want to be able to gain more attention from our ideal customers with the least amount of cost. We’ll get to the part where I’ll share with you how you can do just that real soon, so keep on reading.
As you can see, the cost per thousand impressions (CPM) on Facebook has increased by 91% year-over-year as reported by AdStage.
Unfortunately, this has lead small businesses with no option but to advertise on these ecosystems built by their conglomerates in order to reach our ideal customers, and as a result it has lead to an increase in year-over-year ad costs that is hurting our pockets by cutting our profit margins.
But, there is hope now...
And the barrier of entry has never been lower for small business to leverage consumer attention. I reveal exactly how your business can get started and get ahead on my free ebook - without Google and Facebook.
P.S. Want to learn how ReplyBuy can help you reach your ideal customers and leverage consumer attention? Yes, show me how ReplyBuy can help my business grow.