Recently, we highlighted the importance of mobile to Facebook’s recent financial success.
This Financial Times report goes even further into the details, underscoring how important trackability and measurement is to the dramatic growth in its mobile ad sales.
Yes, the placement of ads in the news feed was one key factor. But the ability to provide detailed tracking, especially to ecommerce companies, was the difference maker:
What convinced [these companies] to increase spending was Facebook’s improved measurement capabilities, which gave them proof that an ad on the site will lead to a purchase.
Why Analytics & Measurement Are Key to Facebook’s Mobile Ad Success
The bottom line is that Facebook was able to:
[Avoid] replacing its digital dollars with mobile pennies – in the US, average mobile ad rates are about a third that of desktop digital ads, but Facebook has managed to keep its ad prices up.
Of course, effective tracking requires having good data across all the channels of the digital world, and Facebook is taking steps in this area, too.
Says the Wall Street Journal:
Facebook now works with Datalogix, which identifies people who have been exposed to an ad on Facebook and then mines credit-card and retailer purchase data to determine whether those people bought the product. Facebook’s “focus on measurement” has helped advertisers get the data they need to prove placing ads on the site helps their business.
In other words, better tracking means more confidence and clearer visibility into what works.
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