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Facebook v Google: Ad Placement Effectiveness

September 15, 2011

Last week Facebook revenues were announced(not by Facebook but by others) – these numbers were pegged at $1.6B in revenue with $500M in net revenue. In one of my previous posts I talked about Google and how I was bowled by how I could manage my ads, what key words I need to use and what budget levels I can afford. I was totally amazed when I started seeing my ads in various publications including The Hindu etc.


Display Ad for DesiSauda


Over the past two months I honed the skill of creating display ads for Google and started tinkering with conversion tracker, google analytics etc. Google Ad Words is a very powerful tool – it helps me identify my demographics based on some key characteristics which in turn are defined by keywords – that in most cases would be used by my target population, networks – where my target population frequently visits (one of the reasons I chose to place my ad). Over the past few weeks I have been spending close to three digit number per day on these ads – I see number of clicks but I am not sure whether these are being converted to actual customers. The click rate is around $0.4 per click.

The above was the story till I got an email today afternoon from Facebook. FB offered me $50 towards creating an ad. So as a novice I started my journey on to this la la land. When I came to the part where I had to choose the target population to which I need to place the ad to – I was just floored and amazed. If Google to me seems to be a ad weapon with precision bombing Facebook seems to be a weapon with laser guided technology that can hit my target within cms. To me Facebook advertising looked much more personal – it looked as if I am selecting a person based on what he/she likes, where she lives (this was the case with Google as well) and FB was providing me with much more choices. To me as a marketer this is the ultimate machine that I can use to target but it is scary as a customer because someone is also viewing my choices and trying to exploit that information to offer me their products. The level of personalization can be viewed from this picture

Pick  & Choose

FB Provides personalization services to target ads


Now you can see that FB provides a great level of personalization for me as a marketing person to harness and provide much better results. Now wonder FB can command a premium that is nearly 4.5 times the average that I pay to Google.

One Comment leave one →
  1. Paul Thompson permalink
    September 23, 2011 11:51 am

    It’d be great to see the results of your facebook/google trial. I have a very limited budget for advertising and love to (a) learn from others and (b) share my experiences….

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