Which is More Effective and Efficient? Google AdWords or Facebook Advertising?

What is the difference between Google AdWords or Facebook Advertising? How can both of these affect your online business. Read to find out

Google AdWords and Facebook Advertising are both good paid media options depending on the marketing budget and goals of your company.

There is lot of discussion going on between Google AdWords and Facebook Advertising in the paid media space. The fact that both of them provides continuous growth year after year cannot be ignored.

As per Forbes, Facebook has nearly 3 million advertisers and there has an increase of 50
% in 2015 – 16 in active advertisers. Along with this, it is expected that the total ad spend on Facebook will reach $36 billion this year and shares nearly 65% of the total money spent on social network advertising.

This has been a significant growth. The main reasons for this growth is due to growth of engaged users, growth of smartphone mobile and the targeting capabilities of this platform.

Not to be left behind, there was an increase of 17% if Google revenues year after year. Credit for growth in revenues generated from AdWords goes to shopping, mobile and other ad formats.

So, the question here is which should be picked up between the two advertising portals. There are many factors to look into before deciding the right advertising channel.

Average CPC & Digital Advertising Budget

In many instances, the cost per click (CPC) for Google AdWords will be significantly higher than Facebook ads.

In the US, the average CPC in third quarter of 2016 was $0.28 for Facebook Ads, which was much lower than $2.32 CPC for Google Adwords.

On an average, AdWords has been found to be 88% more costly than Facebook ads. This is an important point to consider for companies that are low on advertising budget. Placing ads on Facebook, in many cases, will bring them more revenue for the money spent.

It is also important to consider here that clicks will not solve the entire purpose and there are occasions where AdWords can work better with smaller budgets. However, there are some advertisers who just cannot allocate large money for AdWords and for these people Facebook is an affordable advertising channel.

Define Your Objective

Once you are clear with the budget of your company and taken into consideration the competition in the industry, it is time now to find out what you want to achieve with your online advertising campaign.

In case the purpose of placing ads is to generate demand and increase brand awareness, than you can get better results from Facebook ads. However, in case your objective is to generate leads or leads than AdWords can be more effective.

Through AdWords, you can sell your product in a better way to users who are searching for it. The intention of people looking ad Google ads for making a purchase is much higher. However, here too you will have to consider the overall expenditure. In many instances, it has been seen that Facebook ads provides for lower cost per conversions.

Stage in the Journey of a Buyer

It is important to understand where a buyer is in his or her journey of making a purchase. This analysis will help you deciding the most opportune advertising channel to pick.

In case you want to catch users that are on the verge of making a purchase, than Google AdWords can be the best option as the intention of the target is clear. On the other hand, if you are making an initial offering and creating more of an awareness, then Facebook ads will be more effective.

This knowledge will enable to pick the best of both the marketing channels and provide the best efficiency to your business.


Overall Search Volume & Product / Service Maturity

This point is overlooked at times, although it is quite obvious. In case it is ton of traffic that you are looking for than there is no better option than Google AdWords. This applies particularly in cases where the product or service from a company is completely new.

It is important to consider bidding for a number of keywords that provide description for the problem that is solved by your product or service, before making use of AdWords. It is recommended to test out the bids of what is solved by your product or service than of a product or service that has been exposed to very few people.

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