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Facebook Mobile Ad Rates 2014: CPM, eCPM, and Cost Per Page Like by Placement

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Jon Loomer writes:

Previously, the cost to reach users on mobile devices was significantly higher than the cost to reach them in the desktop News Feed. Beginning in December (January being the exception) that is no longer the case for me. CPM for desktop and mobile News Feed is now nearly identical.

Average CPM for my ads by placement from August through December of 2013 was as follows:

  • Desktop News Feed: $2.14
  • Mobile News Feed: $4.36
  • Desktop Sidebar: $.08

Average CPM for my ads by placement in 2014 is currently as follows:

  • Desktop News Feed: $6.72
  • Mobile News Feed: $7.49
  • Desktop Sidebar: $.15

Note that CPM doubled for the sidebar, tripled for desktop News Feed, and nearly doubled for mobile. There are many explanations for this, and we shouldn’t apply a global rule.

Mind you, this is a single data point of costs for ads for a website, not for app installs.

Cost per like is in Jon's article too, and ranges roughly 40 to 50 cents per LIKE.

App installs command much higher rates:

It will be interesting to see if these rates hold as Facebook rolls out Facebook Audience Network.

Facebook ad revenue was up 82% y-y in Facebook Q1 April 2014 earnings report:

However, Sheryl Sandberg does not break out the eCPM rates:

Zuckerberg: "Our mobile app install ads have been one of our best performing products to date. Launched in January of last year."

"Advertising and the ability to reach people more broadly is one of the most important" things FB does.

He thanks CFO David Ebersman who is stepping down after five years. "I've learned a lot from Dave both personally and professionally and I'm grateful for everything he's done."

Sandberg: Also thanks Ebersman. "Great people build great teams and that's what David has done."

Ad revenue growth 82%, strongest ad rev growth rate in 3 years.

Saw growth from existing advertisers as well. Particular strength with SMB and DR. And packaged goods.

Sandberg touts Canadian advertiser Sport Chek that pulled all its paper coupons in favor of Facebook ads — and saw positive ROI.

Ad targeting will improve. 10 times more advertisers are using custom audiences than last year. Ben & Jerry's is an example.

Simplifying ad tools: Self-serve ad tools are now available to SMB's. Buy now and install now buttons improve responses.

Ad network test is positive - but won't have meaningful results this year.


Re-engaging lapsed users and user overlap:

Zuck: decline to answer ... no sign of user fatigue on FB. 63% of MAUs use it every day.

Where will growth in app install ads come from?

Zuck: We saw more diversity in clients now. Not just games. Anyone who needs an app, we're the no.1 delivery vehicle for that.

Sheryl: Mobile app install ads prices are up. No specifics.

Where the heck are the premium video ads?!

Sheryl: Really big opportunity ... also a lot more video from consumers in news feed ... we have a current product in the mkt it's a click to play video ad ... going really well ... we're in early conversations for a cpm autoplay video ad ... we want to see autoplay videos be pretty common in the news feed before we push hard in the ad biz ... we won't see a material contribution from it this year.

Another Q about app ads:

Sheryl: Our mobile ad rev is v. broad based. DR, brands, SMB, developers ... we're pretty distributed there.

When will IG be monetized?

Sheryl: Passing 200m, it's also a great ad product, tons of demand because pictures themselves are so visually appealing ... we've seen some great results .... Levi's running beautiful pics targeting 18-34 in U.S., reached over 7m people. drove 24% lift in ad recall, which was 3X control group. "We're v focused on consumer growth and we're moving v slowly on monetization ... we really want to grow it slowly and deliberately."

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