Cost per clicks (CPC) on Facebook will be measured differently and will now be tied more to your business objectives, says Facebook in a post dated July 8, 2015.
The changes will part of the release of the social network’s new ads application-programming interface. CPC will only register what it referred to as “link clicks”:
- Clicks to visit other websites.
- Call-to-action clicks that go to other websites, such as “shop now.”
- Clicks to install applications.
- Clicks to Facebook canvas apps.
- Clicks to view videos on other websites.
The changes will take effect immediately, although the current definition of CPC will be available to users until October 7, 2015.
The rationale for this is “….to help advertisers better understand how their ads perform against their objectives.,,” Currently, CPC takes into account any clicks take within an ad unit, including a comment, a share, a website click etc. Once the change is in effect, advertisers who care about link clicks are likely to see better ROI, since they will be paying for only the most valuable outcome.
The good news for online advertisers is that their budgets will be spent more efficiently and they will not be charged for likes and comments when there are no website clicks (the goal). There was much concern among digital markets, after the release of Facebook Instant Articles, that the traffic to third party websites will decrease. Now we’re seeing that this is not the case. The only difference is that Facebook wants us to pay them “royalties” for quality traffic. Rightly so?
You don’t need to do anything in the near future, just yet. Facebook plans to share more information about the updated CPC’s implementation. They will also provide messaging in the interfaces themselves once the change has occurred.
However, if you work with Facebook Marketing partner, you will need to speak with them to understand when they will be implementing the new API with updated CPC.
About Alex Noudelman
Alex Noudelman is an educator, coach and Digital Marketing Manager with over 5 years of experience. Alex enjoys and strives to motivate others to better themselves professionally and on a personal note. Feel free to contact him if you have any questions or would like a specific topic covered.