CPC vs CPM on Facebook

There seems to be a lot of chatter about which is better when it comes to Facebook advertising; CPC (cost per click) or CPM (cost per metric, otherwise known as cost per 1000 impressions). I wanted to provide a brief article that cuts through some of the debate and provides some helpful advice.

When it comes to Facebook advertising, whether you should choose CPC or CPM completely depends on your goal. If you are trying to simply get traffic to a website or promote a one-off product or event then CPC is the way to go. As the name suggests, you'll only pay when someone clicks your advert and Facebook will show the advert until your daily budget is firmly in the pocket of Facebook's 20-something CEO, Mark Zuckerburg.

However, if you want to build brand awareness about an event or product, you need to consider CPM. You'll always pay less for 1000 impressions than you will for a single click, but remember that while 1000 impressions sounds, well... impressive, not many people are likely to click on your advert. Still, the bonus when trying to establish a brand is that 1000 impressions may not result in a lot of clicks, but it keeps your brand in front of your audience. When generating clicks isn't your sole aim, establishing your brand can often yield better long term results.

So to recap, if you want traffic on your website for a one hit wonder, use CPC. If you have a recurring event that will be drawing a big crowd (and hopefully an even bigger one thanks to your Facebook advertising!) or a product that will rely on brand loyalty, CPM should be considered. If you need help making the decision or have any other questions, don't hesitate to contact me.

Update: We've been getting lots of emails about this topic. We may be able to provide advice but please include details about what product or service you are trying to advertise and provide a link if possible.