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Facebook Ads vs. Instagram Ads: Which Delivers Better ROI for your business

Facebook and Instagram are both excellent platforms for digital advertising; but, which one to use depends on your target market, advertising objectives, and particular business requirements.

Each of these two platforms has advantages of its own and can help you achieve better results and get the most impressions from a variety of user types and demographics.

Maximize ROI: Facebook Ads vs. Instagram Ads for Business

Facebook Ads

Facebook has over 2.8 billion monthly active users, making it one of the largest social media platforms globally. It offers robust advertising options, targeting a diverse audience based on demographics, interests, and behaviours.

Instagram Ads

Instagram has over 1 billion monthly active users, is mostly popular among the younger audience, and is best known as the visually-oriented platform. It focuses on images and videos, making it ideal for brands with strong visual content.

It’s important to know that Facebook’s number of users has stayed about the same in the last five years, while Instagram’s users have kept growing steadily.

img 1.1 – Facebook Ads vs. Instagram Ads: Key Metrics Comparison.

Which platform offers better ROI for your business

Both Facebook and Instagram leverage Meta’s targeting options, enabling users to target audiences based on behaviour, interests, and demographics that affect the ROI you are marketing and the results you hope to achieve from your advertisement.

  1. Audience demographics 
  • Facebook

Age Bracket: Facebook has a representation of an audience in the range of 25-54.

Gender: Facebook has a near-equal distribution between males and females.

Interests: Facebook users have diverse interests, including entertainment, lifestyle, news, and more.

  • Instagram

Age Bracket: Instagram has a representation of an audience in the range of 18-34.

Gender: Instagram has a slightly quantifiable inclination towards female users.

Interests: Instagram users have a strong interest in lifestyle, beauty, fashion, and travel.

img 1.2 – Product vs. Service.

  1. Ad Formats and Engagement

Facebook: Facebook advertisements can be extremely accurate because they have access to a vast amount of user data. With the ability to target consumers based on specific criteria, such as historical purchasing patterns, device usage, and even life events, advertisers may leverage this powerful tool to generate leads and conversions. Facebook offers various formats including images, video, collections ads, slideshow, and carousels.

Instagram: While Instagram and Facebook use the same data pool for ad targeting, users tend to use Instagram more for visual content and less for sharing personal updates, which may affect the kinds of ads that users are most likely to interact with. Instagram focuses on formats including image and video ads, carousal, stories, and collection ads.

  1. Cost and ROI

Facebook

Cost: Facebook ads tend to have lower cost-per-click (CPC), which might vary based on industry vertical and competition.

ROI: Facebook has a diverse audience that allows varied ad formats leading to higher ROI for businesses that aim to drive website traffic and generate leads.

Instagram

Cost: Instagram ads tend to have higher cost-per-click (CPC), which reflects its younger audience and higher engagement rates.

ROI: Instagram delivers higher ROI for brands that have visually-driven services and products, especially in the fashion, lifestyle, or beauty industry. 

img 1.3 – Business Type Impact.

Conclusion

While both platforms have their unique approach, using the best of both worlds can help you maximise your ROI by leveraging diversified strategies. 

Facebook: For B2C businesses in particular, the platform’s capacity to generate direct sales through retargeting and targeted advertising frequently yields a robust return on investment. Facebook’s robust analytics tools enable advertisers to monitor and adjust their campaigns in light of comprehensive performance data.

Instagram: Brands that focus on lifestyle and aesthetic appeal can benefit greatly from Instagram’s strong return on investment, even though it may be superior for long-term engagement and brand building. Its potential to drive sales straight from the app has also been increased by the ability to connect products directly in posts and Stories.

While Facebook can provide you with more insights into client interactions and conversions, Instagram can enhance the visual narrative of your business. At Thrivom, we leverage both Facebook and Instagram advertisements based on the goals of our clients and to get the best results. As part of our plan, we test advertising on both platforms to see how they work best together and can provide a combined greater return on investment for your specific needs.

To maximize your ROI on advertising, consider partnering with a professional marketing agency. Discover how this decision can save you money and make a smart business choice in our detailed guide. Read more about the benefits of choosing a marketing agency.