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Ecommerce Companies Cash In on Mobile This Holiday Season: Budgets Up 132%, Cyber Monday ROI Up 286%

Written by: Cheryl Morris, VP Marketing

Our analytics team has been examining data and evaluating Facebook® advertising campaigns during the busiest days of the year for online retailers, surfacing key information about holiday purchase and click-through rates. While digging into the data with Black Friday and Cyber Monday in the rear view mirror, one thing has become clear: mobile is becoming more and more critical in the buying journey for our ecommerce customers.

The trend toward mobile is representative of the uptick of smartphone and tablet purchases, and the behavior of online shoppers. According to Shopify, mid-August of 2014 marked the first time that more consumers visited online stores via mobile devices than desktop.

What role did mobile play from Thanksgiving and Black Friday through Cyber Monday — one of the most important weeks of the year for ecommerce companies advertising on Facebook?

Ecommerce Companies Allocate More Budget to Mobile Ads

As indicated by the graph below, during Thanksgiving week ecommerce mobile budgets increased 132% year over year, reflecting the immense impact that devices have had on online advertising spend in 2014.

2014 Facebook Ad Spend Mobile Ecommerce

Ecommerce Companies Achieve Strong ROI on Mobile Ad Spend

Not only are ecommerce companies spending more on mobile advertising to reach consumers, they’re seeing greater return in purchase revenue on their mobile ad budgets.

In the past couple years, consumers have been eager to incorporate smartphones and tablets into their lives, yet slow to adopt mobile as a go-to channel for purchases; however, the tide is turning quickly. As you can see from the graph below, same-day ROI on Facebook ads steadily rose throughout Thanksgiving week this year, peaking on Cyber Monday with a 286% increase over the previous Monday. Given that it hasn’t been a full 24 hours since Cyber Monday wrapped up, this percentage is conservative; once we have analyzed all of our data, the final returns are anticipated to be even more impressive.

Holiday Ads ROI Ecommerce Mobile

*Note: ROI is measured as return in purchase revenue seen within 24-hours from clicks on the cost of the Facebook ad spend

It’s clear this holiday season that mobile is no longer an afterthought for ecommerce. Not only are more ecommerce companies advertising on mobile, but they are dedicating more of their budget to mobile as well.

And those ecommerce companies that did place budgets on mobile certainly recouped the value, benefiting from strong return on investment throughout the week of Thanksgiving, including through Black Friday and Cyber Monday. We look forward to helping more ecommerce companies scale their Facebook advertising efforts in 2015!

Facebook® is a registered trademark of Facebook Inc. This data is representative of Facebook ad impressions delivered by US ecommerce customers leveraging Nanigans advertising automation software.


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