Digital Marketing Agency - Silver Mouse

What is the average CTR, CPC, CPM of Facebook ads?

Facebook advertising is a popular choice for e-commerce merchants to market their business due to its easy-to-use self-service media buy.

Facebook advertising

Facebook advertising is a popular choice for e-commerce merchants to market their business due to its easy-to-use self-service media buy.

As an advertiser, have you ever wondered what is the average CPC or CPM you should bid / pay for? What is the industry average based on the industry and country?

Thanks to The Facebook Ads Benchmark Report published by Salesforce.com, you can now benchmark your Facebook advertising cost against the industry average.

Do bear in mind that the data for this report was collected from January 1st to March 31st, 2013, it could be outdated now but this is still a good reference for benchmark purpose.

Understanding the Facebook ad performance metrics

Before we drill down the data, let's understand and recap the definition of key Facebook advertising metrics as shown in the table below:

  Click-Through Rate (CTR)     Number of clicks divided by number of impressions per ad
  Cost per Click (CPC)     Total cost divided by number of clicks per ad
  Cost per Impression (CPM)     Total cost divided by number of impressions per ad, multiplied by 1000  
  Cost per App Install     Total cost divided by number of App Installs per ad
  Cost per Page Like     Total cost divided by number of Page Likes per ad
  App Install Rate     Number of App Installs divided by number of impressions per ad
  Page Like Rate     Number of Page Likes divided by number of impressions per ad

For e-commerce merchants who are running Website Conversion campaign, it is important to add Cost per Website Clicks, Website Conversion, Cost per Website Conversion, Website Conversion Value to the list above.

However, the Salesforce.com report doesn't not include these e-commerce metrics benchmark so we are focusing on CTR, CPC and CPM here.

Some advertisers might have overlooked this but Click-Through Rate (CTR) is an equally important metric with CPC and CPM. Most media owners are serving their ads based on CPM model so it is critical to optimize the CTR to get the best CPC and CPM as an advertiser.

Therefore, your target audience and creative are both crucial for higher Click-Through Rate on Facebook.

Read also: How to create high CTR web banners? (reminder: Facebook ads does not allow creative with more than 20% text in the visual)

Average Facebook ads CTR, CPC, CPM by industry

Sometimes you might wonder why the Cost-per-Click (CPC) you are paying is different when comparing with your peers especially those from different vertical.

Yes, the average CTR, CPC and CPM varies across the industry, which you can see for yourself in the following chart:

Facebook ad performance and costs by industry

The top 5 average CTR by industry are Telecommunications (0.919%), Publishing (0.790%), General Retail (0.502%), Entertainment (0.439%), Health & Beauty (0.433%).

The top 5 average CPC by industry are Clothing & Fashion (USD$0.08), Non-Profit ($0.19), Technology ($0.20), Finance ($0.21), Food & Beverage ($0.21).

The top 5 average CPM by industry are Dating (USD$0.10), Advertising & Consulting ($0.16), Deals ($0.23), Clothing & Fashion ($0.36), Gaming / Technology (both at $0.38).

Specifically for e-commerce. it is definitely clear that Facebook ads is ideal for fashion merchants in terms of cost and ROI.

Average Facebook ads CTR, CPC, CPM by country

Besides industry, your target country is also an important factor of the average Facebook ads CTR, CPC, CPM.

This Salesforce.com report analyzed the top 25 countries globally and top 5 countries per region (Americas, EMEA and APAC) based on impressions.

Facebook ad performance for top 25 countries

The top 5 average CTR by country are Taiwan (2.126%), Bulgaria (1.018%), Malaysia (0.788%), Sweden (0.739%), Denmark (0.706%).

The top 5 average CPC by country are Bulgaria (USD$0.03), Romania ($0.04), Greece ($0.06), Argentina / Turkey (both at $0.07), Brazil / Mexico (both at $0.08)

The top 5 average CPM by country are Romania (USD$0.15), Argentina / Turkey (both at ($0.18),

Taiwan has amazing average CTR at 2.126%, marginally higher than the rest of the countries. We summarize the top 5 APAC countries in the comparison table below:

  Cost per App Install  
  App Install Rate  
  Cost per Page Like  
  Page Like Rate  

Especially for those running e-commerce business, Cost per Website Clicks should be the more important metric (and higher cost) compared to CPC.

Of course as an advertiser, you might want to aim for achieving better performance and ROI than the industry average shown in this report.



ecInsider: What is the average CTR, CPC, CPM of Facebook ads?
What is the average CTR, CPC, CPM of Facebook ads?
Facebook advertising is a popular choice for e-commerce merchants to market their business due to its easy-to-use self-service media buy.
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