In Q2 2019, clients of Nanigans, the performance advertising software provider, increased budgets for Facebook Stories by 77% compared to 2018 and +23% quarter-on-quarter.
It marks the third quarter in a row that Stories ad spend has increased.
At the same time, click-through rates for Stories ads fell 19% compared to Q2 2018, whilst CPMs declined 18% year-on-year.
The dip in CPMs may be a sign of advertiser competition levelling out following adoption of the Stories format.
As inventory grew on Stories, costs to serve ads have dropped.
Cost per click for Stories ads were up 1% year-on-year.
Meanwhile, CTRs for Stories ads declined (-19%) year-on-year. Despite the drop, Nanigans clients noted positive returns leading to increased ad expenditure for Stories.
Overall, the Global Facebook Advertising Benchmark Report highlights that Facebook’s newsfeed continues to attract the largest share of ad spend, whilst the share of ad spend for Stories ads was 4% during Q2 2019.
Ad spend for Facebook’s feature landing page grew a whipping 646% year-on-year, indicating a more full-funnel ad approach among marketers.
Advertisers appear to be increasingly focusing on upper-funnel ads which raise brand awareness among customers.