Google AdWords VS. Facebook Ads
Second Hand Car Online Shop. Bangkok, Thailand.
The goal of this study was to build skills needed to explore, evaluate, tune and choose digital marketing options that result in more effective online marketing campaigns. The object of these studies was to use the skills acquired compare two different digital marketing services: 1) Google AdWords used to promote a company webpage on the top of relevant search requests; and 2) Facebook Ads which promotes a company webpage to relevant social media groups. The results were compared to determine the relative cost and effectiveness of these advertising strategies.
The study was conducted on a company website that promotes the sale of second hand products. The data for this research comes from information collected during various ad campaigns for the used car division of this website. Various digital ad promotion campaigns were attempted to promote new registrations for this service. As a result, there were 27,265 visitors to the website during the study period. Most respondents were male, were aged between 25-44 years old, and used mobile devices. This study used the Reach, Engage, Activate and Nurture (REAN) model to measure and evaluate the different levels of user response to digital marketing, Google AdWords significantly outperformed Facebook Ads in the Reach, Engage and Activate Stages, exhibiting p<0.0001 in the t-tests performed. In the case of remarketing campaigns at the Nurture stage, Google AdWords performed better for the number of impressions and Facebook Ads performed better in the click through rate (CTR). In addition, the analysis adjusted for bounce rates in order to determine the real cost per session that resulted from the traffic generated by paid digital marketing. At the same time, conversion rates by digital marketing were used to estimate the relative impact of each marketing channel on user registration. This model estimated that Google AdWords and Facebook Ads respectively accounted for 89.9% and 5.4% of the registrations, as well as 60.9% and 39.1% of the digital marketing costs. Thus, Google AdWords were 10.7 times more cost effective in attracting active customers than Facebook Ads in the test website.