Holiday Trends in Facebook CPM Pricing Showing a Milder Winter

Dec 15, 2016 | Facebook

Oh, the weather outside is frightful, and Facebook’s holiday pricing is even worse. Or is it? With last year seeing a 50% increase in CPM pricing, we projected an increase of roughly that magnitude for winter 2016, if not more. Yet this holiday season’s CPMs, while increased, are showing a much less aggressive uptick in pricing on both desktop and mobile.

Don’t believe us? Take a look at the data.

Facebook CPM pricing over time

(If you’re already lost, please see our previous post on the topic, “What You Can Learn From Trends in Our Facebook CPM Data.” Go on, we’ll wait.)

Remember, the data above represents ad impressions delivered on behalf of our clients between January 8, 2015 and December 1, 2016, and has been adjusted so that changes in our client base do not skew the average CPM one way or another.

Though mobile and desktop both experience seasonality, it’s important to note how and when they do. While desktop saw a significant price hike in late November, it’s been stable since then. In slight contrast, mobile CPM pricing dropped substantially in late November after maintaining fairly consistent pricing since May of this year.

What does this mean for you? It depends on your business. If you live and die for the holiday rush, you should still be seeing attractive returns, provided you’re optimizing your audiences intelligently. If your business isn’t seasonal, it’s possible you decided to sit the holidays out and come back with a vengeance in January when competition is decreased. Just don’t bet everything on that post-holiday dip in pricing — if 2016’s data is any indication, that window could be shorter than you think.


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