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By Roisin Linnie on 4 Feb 2020

Wolfgang Bites: Watch - Is Facebook Dead?

Wolfgang Bites: Read - Is Facebook Dead?

Hi Everybody, I'm Roisin and today I'm going to be answering the big question, is Facebook dead? Well, according to the data from our 2020 KPI study, the simple answer is no. Back in 2019 we were hearing a lot about how Facebook was dying, how users were leaving the platform and how advertisers were going to shift their spend to other channels in 2020. Well when we looked at our data in our KPI study, we were able to see the ROAS and traffic coming from the different Facebook and Instagram placements and what we found was really interesting. We found that Facebook overall, is still the biggest driver of ROAS and still the biggest driver of traffic, with 83% of traffic still coming from Facebook. When you drill down into the different placements, you can see the Facebook feed is still key to conversion and that's driving a really high ROAS of around seven.

This is really closely followed by Facebook Messenger, which is really interesting as we're seeing a huge growth in Facebook Messenger at the moment.  This is then followed by Facebook Marketplace, a place where users are ready to engage and ready to shop.

When you look at Instagram on the other hand, it's still driving a positive ROAS. The Instagram feed is driving a ROAS of about three and Instagram stories  is driving a ROAS of about one, but it can't compete with Facebook for ROAS just  yet.

Facebook is still definitely the king of conversion and traffic, so those really strong bottom of funnel metrics. However, Instagram is still massively important. We actually surveyed people from all across Europe and they said Instagram was still their favourite social media channel. This is where people want to spend their time. Although Instagram has released lots of shopping ad formats like shopping tags and DPAs for Instagram, users still just want to spend their time within Instagram. They don't want to leave and go and purchase a product elsewhere. Really interestingly though, 75% of people in our survey said that they were inspired to buy a product from Instagram, but went and purchased at a later date through another channel. Again, they didn't want to leave the Instagram platform. They were having too much fun on Instagram.

So again, this will come in as a cross device conversion. So both of these channels, Facebook and Instagram are massively important. Our recommendation based on the data from our KPI study is that you should definitely be using Instagram for your upper funnel activity and certainly to be talking about your products, but don't expect to see a really high ROAS from Instagram just yet. Facebook is where you want to go to drive your ROAS and your traffic, and this is where you're going to see your great results at the bottom of the funnel. Utilising both at different stages of the funnel is definitely the way forward for your social activity in 2020. Thank you.

Read the 2020 KPI Study in full here.

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