Facebook is annoying. It’s everywhere. Everyone uses it. It’s not hip. It’s not cool. It’s the utility of the web, and… it’s killing it. Every time I hear Facebook’s quarterly earnings reports, it never ceases to amaze me how well it’s performing and beating expectations. Now, Facebook’s valuation is still very high, and it has work to do to justify this valuation, hence investing in some commerce solutions, but Facebook has put itself at a level above all others when it comes to delivering a valuable social experience for all parties: brands, users and Facebook shareholders.
The latest Social Intelligence Report from Adobe shows Facebook is set to continue its success. According to Adobe, Facebook ads are performing very well, and people are actually finding value in them.
78% of users visit Facebook regularly, and while they’re there, they click the ads. CTRs have doubled over the past year, while CPC has remained relatively flat. But the big news is Facebook is showing users fewer ads with impressions being down 50%. That means Facebook is protecting the user experience by showing fewer ads, while improving results for advertisers. I guess you can have your cake and eat it, too.
Facebook is riding high right now, and there’s never a guarantee that it will or even can continue its momentum, but it is doing some things right.
- Protect the User Experience. The user experience is core to what Facebook is all about. It has (partially) driven its desire to host news articles natively on its platform. They load faster, and users get the news they expected when they clicked. So often advertisers and platforms sacrifice the user experience both on and offline. That’s what keeps people coming back and wanting more. Protect that, and you protect your future.
- Leverage but Don’t Abuse the Data. Facebook knows more about us than anyone would like to admit, but they don’t abuse it (as far as we can tell). They guard it and allow advertisers just enough to get the results they’re looking for. This can be frustrating from an advertising standpoint, but at a time when data security screw-ups are a daily occurrence, someone protecting that data is a breath of fresh air.
- Make It Relevant. Facebook is winning against competitors right now because its ads are relevant. People want to click them. They want to see them. The ads bring value to their lives. When the message meets the data, results aren’t far behind.