Increases in adoption of search engine and social media ad units with higher click-through rates (CTR) deliver spending growth, with mobile continuing to lead the charge.
San Francisco (October 18, 2017) – Kenshoo, the global leader in agile marketing, today released a new infographic, Kenshoo Digital Marketing Snapshot: Q3 2017, showing engagement-focused ad types resonated with publishers, advertisers and customers in the third quarter. Increased adoption of ad units with higher click-through rates (CTR) drove spending growth in both social (41%) and paid search (10%) year-over-year (YoY). In social, mobile ad spending increased 63% YoY, accounting for 76% of total spend in the quarter; product ad spending grew 92% YoY, accounting for 34% of e-commerce spending. In paid search, mobile ad spending increased 34% YoY, accounting for 44% of total spending; product ad spending increased 40% YoY, accounting for 36% of e-commerce spending.
Other key findings include:
- Social spending increased 41% YoY and 13% quarter-over-quarter (QoQ)
- Social impressions decreased 7% YoY but increased 3% QoQ
- Social clicks increased 33% YoY and 25% QoQ
- Social click-through rate (CTR) increased 46% YoY and 27% QoQ
- Social cost-per-thousand (CPM) impressions increased 53% YoY and 10% QoQ
- Paid search spending increased 10% YoY and 3% QoQ
- Paid search impressions increased 23% YoY and 5% QoQ
- Paid search clicks increased 32% YoY and 9% QoQ
- Paid search CTR increased 8% YoY and 4% QoQ
“Mobile and product ads are still the darlings of search and social advertisers, but as publishers have refined and unveiled offerings designed to drive clicks, both advertisers and customers have responded positively,” said Chris Costello, senior director of marketing research for Kenshoo. “Engagement has always been paramount to successful digital advertising, and new ad types catering to this type of response are delivering consistently. In this scenario, publishers, advertisers and consumers all win.”
Other high CTR ad types made waves in Q3, including social carousel ads (4% CTR) which feature multiple clickable elements; their growth helped drive increases in overall social CTR. In paid search, expanded text ads accounted for more than three-quarters (77%) of search keyword ad clicks, lifting click-through rate to 5%.
The Kenshoo Infinity Suite leads the way in digital marketing innovation, enabling success for agile marketers by maximizing customer lifetime value. Built upon Kenshoo’s industry-leading digital marketing platform, the Kenshoo Infinity Suite delivers infinite optimization to re-engage and grow customers across the world’s leading publishers and all devices.
Visit Kenshoo.com/Digital-Marketing-Snapshot to download the new infographic, Kenshoo Digital Marketing Snapshot: Q3 2017.
Search and social results are based on five quarters of performance data managed on the Kenshoo platform from over 3,000 advertiser and agency accounts across 20 vertical industries and over 60 countries, spanning Google, Bing, Baidu, Yandex, Yahoo!, Yahoo! Japan and the Facebook® Audience Network. Some outliers have been excluded. The resulting sample includes more than 625 billion impressions, 14 billion clicks and $7 billion (USD) in advertiser spend. Ad spending and CPC are measured using Ex-FX or “Constant Currency” adjustments, where results are based on native currency, and only translated to common currency after aggregation.
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