A little sneaky way that Facebook is raising ad prices …
So what do you think of Facebooks new look? Hmmm. What could be the motivation behind Facebooks more image driven profile?
The new changes to the Facebook profile layout have been widely accepted as a positive improvement. Users are able to get more updates on their friends in less time, and lets face it, we all love looking at pictures. If you haven’t already taken the plunge into the new profile, here is what you will want to know.
Yes, rumors are true that once you switch to the new profile you cannot go back (unless of course the new profile proves to be a huge failure) but considering the fact that the transition will occur automatically in the near future, there isn’t much cause for deliberation. However if you are using Facebook for advertising, which we highly recommend, you may be wondering if this will affect you. The answer is most definitely yes!
After just a few days of experimenting with Facebook PPC or CPM, you have likely noticed that the cost to have someone click on your ad, your PPC (price per click), is dependent on a few variables worth mentioning. Such as:
Competition for your demographic
- Number of people that are included within your demographic
- The amount you are willing to spend daily
- Last and possibly most importantly, your click through rate
Facebook is a business, and a darn good one at that. Making money on their ads is a priority. Consider what will happen to your click through rate when the amount of ads that is shown on a page is increased. Now instead of 2-3 ad options, the viewers will have 4 or more. Why you ask? Due to the way the images are displayed on the side of the page, now more horizontal, the text is placed to the right of the image, not under it. Now Facebook is able to squeeze more ads on the same page, all the while keeping it above the “fold”.
This means the Viewers will have more options for clicking. More options and more direct competition means you will have a decreased click through rate. A decreased click through rate will mean an increase in Price Per Click.
Facebook is a great way to advertise – but be sure you know the inside scoop so that you get the most out of your advertising buck. Fill out the contact form at http://www.brandography.com/contact-us/
