Facebook’s much anticipated initial public offering of stock landed with a plop last week and is trading about $6 below its $38 a share opening price midmorning Tuesday. Many attributed part of its less than stellar reception to the fact that General Motors droppped its Facebook advertising shortly before the IPO, saying the ads were not performing well.
Despite its massive user audience, Facebook has not had great success with its advertising. Currently Facebook ads have a click-through-rate of just .05 percent, compared with Google’s .4 percent. The average U.S. click-through-rate is .1 percent.
Here’s an infographic pitting Facebook vs. Google in the online advertising battle:
- Why did GM drop its Facebook advertising?
- Google offers advertisers more value than Facebook (infographic)
- Google’s Nik Software buy heats up Google+ vs. Facebook battle
- Tablets deliver higher-click-through-rates at lower costs
- High click-through rates don’t necessarily lead to purchases
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