Want to know how your business stacks up against the industry average for Facebook CTR? Look no further! We’ve taken a look at the data and want to share the results!
Average Click-Through Rates
New research from Wordstream indicates that the average click-through rates (CTR) in Facebook ads across all industries are .90%. These CTRs vary from around 0.5% through to 1.6%.
What are the industries with the highest CTRs?
The industry with the highest CTRs is the legal industry with a 1.61% CTR. A close second is the retail industry with 1.59% CTR.
Other industries that also hit CTRs over 1% include apparel (1.24%), beauty (1.16%), fitness (1.01%), and technology (1.04%).
What are the industries with the lowest CTRs?
Employment and job training has the lowest CTR at 0.47%. Finance and insurance industries have a CTR of 0.56%.
What is CTR and why is it important?
Per Facebook’s Advertiser Help Center, they define CTR as “the number of link clicks your ad received divided by the number of impressions for off-site destinations.”
According to Facebook’s chief operating officer Sheryl Sandberg, Facebook has 4 million advertisers, making it the largest ad publisher after Google.
This is a big deal, as it shows the importance of mobile to both consumers and marketers. Sandberg also notes that while most advertisers are small- and medium-size businesses, there is still a need for small businesses to improve their performance.
Facebook is committed to improving small business advertisers. As stated by Sandberg,
“The small screen is now big, because the small screen can do big things. This is now a really important place to reach customers, both because this is where customers are, but also because this is an exciting creative canvas.”
Facebook’s VP of global SMB Dan Levy said that one of Facebook’s top priority is capturing the investment of small businesses because mobile creates a large opportunity to meet potential customers where they are.
Facebook has worked hard to make their ads easy to use, simple, low cost and high on ROI, according to Sandberg.
Video Ads Increasingly Important
According to Levy, more than 20% of Facebook’s advertisers — about 800,000 businesses — have created a video ad in the last month, creating about 4 million video ads during that period.
Creating video ads has traditionally only been for businesses with the marketing budget to afford it. However, Facebook is a growing platform for small businesses to run video ad campaigns. This is due to the increased ability to create low cost videos.
Consumers are now seeking more and more video content and are starting to expect video ads. The ability for small businesses to create low cost ad campaigns and run them on Facebook is a great way to drive growth for small businesses.
Are you surprised by any of the industry CTR averages? Share your opinions below!