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Facebook Smelling Dough - A Massive Q1 2012 Ad Sales
Facebook Smelling Dough - A Massive Q1 2012 Ad Sales
By: Bikram K Singh

Despite big guns, Gap Inc., J.C. Penny Co., Nordstrom Inc., and Gamestop Corp, leaving Facebook platform, the news of F-Commerce going down has been strongly refuted by the Q1 2012 Facebook Ad sales report. As per the study conducted by TBG Digital, an online agency, in the last one year, Facebook advertising rates has shot up by as much as 41%.

TBG Digital is one of the biggest spenders on Facebook. The data presented here is based on 327 billion ad impressions and 235 Facebook advertising clients that TBG Digital manages. The agency studied five countries for the survey. The countries were USA, UK, Germany, France, and Canada. Average CPM between Q4 2011 and Q1 2012 has increased by 15%.As per the survey, average CPM (Cost Per Thousand) in all countries except one (Germany) has gone up. The figure compiled by the agency showed that “the cost of advertising was rising even as the website increased the number of ads it carries on each page”.

Source: Business Insider

Average CPC (Cost Per Click) has also increased by 25% since the last quarter. France has recorded an increase of 35%, whereas, the USA has recorded 20% rise in the same quarter.

Source: Business Insider

The data released by TBG Digital (see all charts here) will help Facebook in its IPO, which is not very far off in the future. The study has also found that the click-through rate in Facebook’s news reading application Social Reader has gone up by 196%. Although Facebook is not monetizing it yet, it has found a new monetization source.

Social Reader like Facebook Games is catching fancy of the users, who can accessThe Independent, The Guardian, The Washington Post, and Yahoo News from Facebook’s news reading application.

If the news of big advertisers leavingFacebook has spread the negative emotion about F-Commerce, this news will infuse positive sentiments in the advertisers, which has more spots (as much as 7) on their customers’ wall to paste their message on.

This result has come midst a rumor/story that Facebook is working on a search engine of its own, which will make searching a lot more easier.If this is true, coming months will be more interesting than we anticipated.