Recently, Tinuiti, an independent performance marketing company, released the "U.S. Digital Advertising Benchmark Report for the Fourth Quarter of 2022. " The report focuses on the analysis of digital advertising in various channels in the United States , including Amazon, Google and Meta.
Data show that the overall performance of the video distribution market in the fourth quarter of 2022 is relatively weak , but this also allows advertisers to obtain more high-quality advertising spaces . But it should be noted that the price of these ad slots is 86% higher than that of the same time last year.
Specifically, in the fourth quarter of 2022, the average CPM of various types of advertisements on the Meta platform decreased by 22% compared with the same period in 2021. This is the second consecutive quarter of decline, which is very beneficial to advertisers. However, Facebook’s advertising CPM in the fourth quarter of 2022 is still 23% higher than the value in the fourth quarter of 2020, and Instagram’s figure is 15% higher than the value in the fourth quarter of 2020.
Tinuiti research found that the main reason for the growth of Meta advertising is that its Reels products are widely welcomed by the market.
In the fourth quarter of 2022, Meta's ad impressions, under the influence of Reels, ushered in the highest growth rate since 2020, increasing by 9%. Reels accounted for 8.3% of Instagram ad impressions during the same time period, a significant increase from 4.7% in Q3 2022.
The number of clicks on Google search ads has remained stable in the past year, with little fluctuation . However , the lack of growth in advertising pricing has a certain impact on the growth of Google text and shopping advertising revenue.
In the fourth quarter of 2022, Google search ad spend was up 10% over the same period in 2021, with clicks up 8% and cost per click up 2% . Growth in Google text and shopping ads will slow due to inflation and rising interest rates .
In the fourth quarter of 2022, spending on Amazon Sponsored Products ads increased by 17% compared to the same period in 2021 , and compared with the 24% increase in the third quarter of 2022, the growth rate began to slow down .
It should be noted that in the fourth quarter of 2022, the CPC of Amazon Sponsored Product Ads decreased for the first time (since 2020), and the advertising CPC prices of Amazon’s 10 major categories all decreased. Baby and pet supplies.
According to research, in the fourth quarter of 2022, the number of clicks on Walmart's sponsored products ushered in a rapid growth, an increase of 98% compared with the same period in 2021 , but the average CPC dropped by 59% . In October-December 2022, Wal-Mart's return on advertising spend (ROAS) can increase by at least 2 times every month. Especially in November 2022, Wal-Mart's ROAS reached its peak , more than 2 times the value in April 2022.
For sellers, they can combine the latest advertising data to place advertisements in a targeted manner and increase product exposure.