Social Medias: the advertising Eldorado that does not know the crisis
In the last quarter of 2020, brands have considerably increased their advertising investments on social networks. A global growth of 50% compared to 2019 according to the latest SocialBreaker report.
All over the world, brands have invested in advertising on social medias as never before – especially in North America with a remarkable 92.3% increase and for Western Europe a 39.6% growth.
The e-commerce industry has thus doubled its advertising budgets on social networks since the first quarter of 2020.
These developments have been accompanied by a sharp rise in the cost per click. In the year 2020, the CPC for brands on Instagram and Facebook increased by 35.6%.
At the origin of this significant increase in advertising costs is the popularity and competitiveness of the video format. Video represented 17.9% of all publications on Instagram, and 18.1% of all publications on Facebook, in the fourth quarter of 2020.
The CPC for Instream videos (in the content stream) on Facebook increased by 216.8% compared to the same period last year.
Few industries can now boast of having tripled their prices in 1 year.
Commitment by type of publication:
For a format that accounts for less than 20% of all Facebook and Instagram content, the statistics are largely in its favour. Special mention should be made of the Facebook lives, which provide almost 3 times more visibility than the other formats.
“Doubling advertising investment is the new normal. They support brands’ digital strategies to build lasting relationships with their customers and increase online sales.” Yuval Ben-Itzhak, president of Socialbakers