Facebook Advertising Benchmarks | 2020 Q3 VS Q2
Facebook has become an important publisher of advertising for small and medium enterprises thanks to its huge number of users. The continued increase in Facebook advertising revenue will inevitably herald data fluctuations in advertising costs. Black Friday is approaching, and many companies have begun to prepare for the war. The advertising benchmarks can represent the general status of the industry and make judgments for advertising.
ADCostly calculated the average CPC, CPM, and CTR benchmark data of Q3 ads in different countries/areas, genders, ages, and compiled the following advertising expense report compared to Q2 2020. Let’s take a look together.
Facebook ads cost generally increased in Q3
Compared with Q2, the average CPC, CPM, and CTR in Q3 of 2020 have increased. Among them, CPC increased by $0.05, CPM increased by $0.78, and CTR increased by 0.02%. It can be seen that advertising costs in Q3 this year have generally increased.
Country/Area – CPC/CPM has increased significantly, CTR has stagnated
Compared with the CPC in the country/area, the data of the two quarters has changed greatly. Compared with Q2, the average CPC in Q3 has increased in most countries/areas. From the data point of view, the average CPC in Hong Kong(China) and Germany has increased the most. Compared with Q2, the average CPC in Q3 has decreased only in Korea.
Consistent with the comparison results of CPC countries/areas, CPM has also increased in most countries/areas. From the data point of view, the average CPM growth of Hong Kong(China), Taiwan(China) and Australia is the largest. The country with the most CPM decline is Korea, with a decrease of about $0.3.
The comparative data of CTR in countries/areas showed exactly the opposite result of CPC and CPM. The average CTR in Q3 decreased compared with most countries/areas in Q2. From the data point of view, Brazil’s average CTR decreased the most. Compared with Q2, there are only three countries showed an increase in CTR. Mexico’s CTR increased the most, with an increase of about 0.6%.
Gender – Female audience advertising costs are rising
In 2020 Q3 compared to Q2, both the average CPC and CPM of male audiences and female audiences have generally increased. Among them, the average CPC and CPM of the female audience increased most obviously, the average CPC increased by $0.56, and the CPM increased by $1.12. The CTR data fluctuates slightly, with an increase of about 0.02%-0.1%.
Age -The CTR of the aged 54+ has increased significantly
In 2020, the average CPC in Q2 will gradually decrease as the age of users decreases. However, this rule was broken in Q3. The average CPC of user groups aged 35-54 reached the highest, and the average CPC of user groups older than 54 years old CPC has shown a downward trend, and even CPC expenses are lower than Q2, but the overall price is still higher than $0.3.
The average CPM of Q3 and Q2 in 2020 both shows a uniform rule: as the user age decreases, the average CPM gradually decreases. And the average CPM of Q3 is generally higher than that of Q2 in all age groups, and the average CPM of all age groups has increased by $0.1-$2.
The change trend of CTR in the age range is exactly the opposite of CPC’s. In Q3 of 2020, the rule of gradual decrease in average CTR as the age of users decreases, while Q2 breaks this rule. CTR data shows that the average CTR in the Q3 quarter of 2020 is generally higher than that in Q2. The CTR has increased significantly in the senior age group, and the CTR of 65+ audiences has increased by 0.5%.
Black Friday – A new challenge for Facebook advertising
According to the Q3 Facebook advertising expense report given by ADCostly, advertising CPC and CPM have increased, which is inevitable with the arrival of Black Friday. Facebook’s chief financial officer predicts that due to the continued strong demand from advertisers during the holiday season, the year-on-year growth rate of advertising revenue in the fourth quarter of 2020 will be higher than the growth rate in the third quarter of 2020. This is undoubtedly a new challenge for advertisers.
Preparing for Black Friday, Facebook will also usher in the peak of advertising competition in 2020 Q4, and at the same time, advertising data indicators are also destined to have new trends. ADCostly will always be on the front line with advertisers to escort advertising.