The document provides benchmarks for various digital advertising metrics including: - The 2012 global display ad CPM benchmark of $1.45 - Typical CPM ranges for display, social, video, and mobile ads of $0.10 - $0.80, $0.10 - $0.50, $8 - $12, and $0.10 - $1.00 respectively - Search ad CPC benchmarks ranging from $1 to $10 with organic keywords having higher click-through rates of 13-21% compared to 1-5% for paid search

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Dr. Augustine Fou
http://www.linkedin.com/in/augustinefou
Digital Advertising
Benchmarks

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Display Ads

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Display Ad CPM
benchmarks
UPDATED May 21, 2013
5.3 trillion display ads served in 2012 (comScore)
$7.7B display ad revenues in FY 2012 (IAB)
= $1.45 CPM industry-wide display ad benchmark

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Display Advertising
Big Portals Ad Networks Facebook
10’s of dollars 1’s of dollars 10’s of cents
Shift allocation to get more impressions or lower cost
Large audience
Publisher/portal
has more power
Lots of long-tail
small websites
Advertiser has
more power
Massive number of
impressions
“Junk” quality and
super-low prices
CPM
0.1% 0.01% 0.001%CTR

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Display Ad Global eCPM
Display ad CPMs are in the $0.10 - $0.80 range
Source: Turn, June 2013

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Search Ads

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Search Ads (SEM), SEO
Paid/ SEM Organic
$1 - $10 FREE
Shift allocation to get more clicks at lower cost
For long tail,
descriptive
keywords
For brand terms
and expensive
keywords
CPC
1 - 5% 13 - 21%CTR
Source: SlingShot SEO

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Social Ads

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Social ad CPMs are in the $0.10 - $0.50 range
Social Ad Global eCPM

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Facebook Ad Benchmarks
Source: WebTrends, January 2011
NOTE: these figures
refer to Facebook
display ads (by
category)

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Video Ads

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Video ad CPMs are in the $8 - $12 range
Video Ad Global eCPM
Source: Turn, June 2013

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Mobile Ads

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Mobile ad CPMs are in the $0.10 - $1.00 range
Mobile Ad Global eCPM

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Mobile Ad CPM Trends
iPhone CPM $0.88
iPod Touch CPM $0.96
iPad CPM $1.16
Android tablet CPM $0.53
Android CPM $0.50
Source: MoPub Q1 2013

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iPhone CTR 1.7%
iPod Touch CTR 2.2%
iPad CTR 2.5%
Android tablet CTR 1.0%
Android CTR 1.1%
Mobile Ad CTR Trends
Source: MoPub Q1 2013

17. Augustine Fou- 17 -
Dr. Augustine Fou – Agency Czar
“I advise clients on optimizing their
digital spend and integrating
across channels.”
FORMER CHIEF DIGITAL OFFICER, HCG (OMNICOM)
MCKINSEY CONSULTANT
CLIENT SIDE / AGENCY SIDE EXPERIENCE
PROFESSOR AND COLUMNIST
ENTREPRENEUR / SMALL BUSINESS OWNER
PHD MATERIALS SCIENCE (MIT '95) AT AGE 23
ClickZ Articles: http://www.clickz.com/author/1151/augustine-fou
Slideshares: http://www.slideshare.net/augustinefou
LinkedIn: http://www.linkedin.com/in/augustinefou

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APPENDIX

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Search Ad CPC benchmarks by Industry
Methodology
Using Google Keyword
Tool, generate keyword
suggestions for each
industry sector; then
average suggested CPC
across the top 200, 400, or
800 keywords.