If you have to choose between Facebook and Google Ads for promoting your SMB, Facebook is your best bet.

And in the debate between Microsoft Advertising and Google Ads, Google provides greater reach at a lower cost.

These are among the key findings of a new study by Cambridge University MBA students and ad platform Adzooma.

Participants analyzed how imagery, sentiment, and language impacted click-through rates (CTRs) on three top online ad platforms.

The study also considered whether landing page quality had an impact on conversion rates, and revealed new CPC and CPM benchmarks for Facebook, Microsoft, and Google Ads.

Which Factors Moved the Needle Most for Ad Performance

Researchers found that each of the major online ads platforms has its strengths:

  • Facebook Ads was the most cost-effective channel on average.
  • Microsoft Ads was most responsive to increasing ad spend.
  • Google Ads had the greatest reach for the lowest cost.

In the evaluation of how factors impacted CPM and CPC, they found that an advertiser’s choice of channel has a significant impact on both metrics:

How CPM and CPC Differ on Facebook, Microsoft, and Google Ads

Upon determining this connection between channel and cost KPIs, researchers went looking for the average CPM and CPC across Google, Facebook and Microsoft Ads:

Microsoft Advertising had the highest Pakistan Mobile Number median CPM and CPC, but researchers advise it is best for targeting affluent customers.

This is because 54% of Bing users are over the age of 45, and a third of them have a household income of over $100,000.

How Increasing Ad Spend Impacts ROAS

Pakistan Mobile Number

It’s a common problem in digital advertising—spending too much is wasteful. Yet spending too little may not generate the return you need.

In this portion of the study, researchers used regression analysis to determine. Whether increasing ad spend also increases the number of impressions and clicks.

Here’s what they found:

Microsoft Advertising showed the greatest ROAS for increasing budget in terms of impressions, a good metric for brand awareness campaigns.

Translate your ranking goals into additional non-brand organic traffic. With all the key variables needed to get reliable outcomes.

 

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