July 2023

Pinterest Ads vs. Facebook Ads

In this blog, let's compare Pinterest Ads vs. Facebook Ads, with a focus on which platform offers a better return on investment in 2023. We'll analyse the pros and cons of each platform, as well as key metrics such as cost-per-click, cost-per-thousand impressions, click-through rate, conversion rate, and return on investment.

So, Pinterest Ads or Facebook Ads For Your Business?

When working in the eCommerce space, it's important to stay up to date with the latest trends and platforms for paid advertising. Pinterest Ads and Facebook Ads are two major players in the world of digital marketing. But which platform is a good choice for your business in terms of return on investment (ROI)? In this blog post, we'll delve into the pros and cons of each platform and compare key metrics to help you make an informed decision.

Lauren Rae

Read Time

5

min

Pros and Cons

Pinterest Ads

The Pros

Pinterest is a highly visual platform: This means businesses can create attractive ads that will be noticed in users' feeds.
High conversion rate: Pinterest ads have been found to generate a cost per conversion that is 2.3 times more efficient compared to other social media platforms (West, 2023).
High return on ad spend (ROAS): Recent studies have demonstrated that Pinterest ads yield a remarkable 32% higher return on ad spend (ROAS) compared to other social media platforms (West, 2023).
Good return on investment (ROI): According to Pinterest, Promoted Pins typically earn $2 in profit for every $1 spent.
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The Cons

Limited targeting options: Pinterest's targeting options are not as detailed and accurate as those of other paid advertising platforms, such as Facebook Ads.
Lower reach: Pinterest has a smaller user base compared to other social media platforms, which means that businesses may have a harder time reaching a wide audience.
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Facebook Ads:

The Pros

Wide reach: With over 2.989 billion monthly active users as of 2021, Facebook has a massive user base (Meta Platforms, 2023). This means that businesses have the ability to reach a wide audience and target specific demographics more accurately using the platform's detailed targeting options.
High conversion rate: According to Wordstream's Facebook Ad benchmarks, the average Facebook conversion rate is 9.21%, which is higher than the average conversion rate on other paid advertising platforms.
High return on ad spend (ROAS): Facebook's average ROAS is 6 to 10, which is higher than the average ROAS for other social media platforms (Tsang, 2022).

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The Cons

Saturation: The platform can be quite saturated with ads, which means that it can be harder for businesses to stand out and capture the attention of potential customers.
Favouritism towards paid content: Facebook's algorithms have been known to favour paid content over organic content, which can make it difficult for businesses to reach their target audience without paying for ads.

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Key Metrics

When comparing the two platforms, it's important to consider a few key metrics. These include:

Average Cost Per Click (CPC)

This metric measures the cost of your ad per click. A higher CPC means that you're paying more for each click, while a lower CPC means that you're paying less. The Pinterest's average CPC is $1.50, while Facebook's is $1.01 (Kalemi, 2023; McCormick, 2022).
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Average Cost-Per-Thousand Impressions (CPM)

‍‍This metric measures the cost of your ad per thousand impressions. A higher CPM means that you're paying more for each thousand impressions, while a lower CPM means that you're paying less. Pinterest's average CPM is $30 per 1,000 impressions, while Facebook's is $14.40 per 1,000 impressions (McCormick, 2022).
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Average Click Through Rate (CTR)

This metric measures the percentage of people who click on your ad out of the total number of people who see it. A higher CTR means that your ad is more effective at getting clicks, while a lower CTR means that it is less effective. Pinterest's average CTR is 0.28%, while Facebook's is 0.90% (Pinterest, 2021; Facebook, 2021).
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Average Conversion Rate

‍‍This metric measures the percentage of people who complete a desired action (such as making a purchase) out of the total number of people who click on your ad. A higher conversion rate means that your ad is more effective at converting clicks into actions, while a lower conversion rate means that it is less effective. As mentioned earlier, Pinterest's average conversion rate ranges from 1.5% to 8.5%, while Facebook's is 6.57% (Pinterest, 2021; Facebook, 2021).
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Average Return on Ad Spend (ROAS)

‍‍This metric measures the return on investment for your ad spend. A higher ROAS means that you're getting a higher return on your investment, while a lower ROAS means that you're getting a lower return. As mentioned earlier, Pinterest's average ROAS is 2.7, while Facebook's is 10.68. It's worth noting that a good ROAS for e-commerce is around the 4x or 400% mark (Pinterest, 2021; Facebook, 2021).
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Average Return on Investment (ROI)

This metric measures the profitability of your advertising efforts. A higher ROI means that you're getting a higher return on your investment, while a lower ROI means that you're getting a lower return. As mentioned earlier, Pinterest's average ROI is $2 in profit for every $1 spent, while the average ROI for Facebook ads is about 200% (Pinterest, 2021; Facebook, 2021).

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In addition to comparing these metrics, it's important to consider the pros and cons of each platform. If you're looking to create highly visual ads and have a good ROI, Pinterest Ads may be a good choice. On the other hand, if you're looking to reach a wider global audience and have more flexibility in terms of ad formats, Facebook Ads may be the better option.

No matter which platform you choose, it's important to consistently create high-quality content and utilise effective targeting strategies to maximise your advertising efforts. By staying up to date on the latest trends and features of each platform, you can make informed decisions about which platform is better suited to your business in terms of ROI.

It's also worth noting that both Pinterest Ads and Facebook Ads have their own unique strengths and limitations. Pinterest Ads are particularly effective for businesses in the fashion, home decor, and food industries, as these sectors tend to perform well on the platform. On the other hand, Facebook Ads is a more versatile platform that can be effective for businesses in a wide range of industries.

Another factor to consider is the type of product or service you're selling. If you're selling a product with a high price point or a service that requires more research and consideration before purchase, Pinterest Ads may be a good choice as the platform tends to have a higher conversion rate for these types of products.

On the other hand, if you're selling a lower-priced product or service that can be easily purchased on impulse, Facebook Ads may be the better option due to its higher reach and flexibility in terms of ad formats.

It's also important to keep in mind that both platforms are constantly evolving and introducing new features. For example, Pinterest introduced Shopping Ads, which allow businesses to showcase their products in a more seamless and interactive way. Facebook, on the other hand, has introduced a number of ad formats, such as Collection Ads and Instant Experience Ads, which allow businesses to create more immersive and interactive experiences for their customers.

So, which platform is the best choice for your business in terms of ROI?

Ultimately, the decision will depend on your specific business goals and target audience. It may be worth considering running test campaigns on both platforms to see which one performs better for your business. By comparing key metrics such as CPC, CPM, CTR, conversion rate, ROAS, and ROI, you can get a better understanding of which platform is the most effective for your business.

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Reference list:

West, C. (2023). Sproutsocial. 24 must-know Pinterest stats for marketers in 2023. Retrieved from https://sproutsocial.com/insights/pinterest-statistics/.
Meta Platforms (2023). Inc.’s investor earnings report for 1Q 2023. Retrieved from https://investor.fb.com/home/default.aspx.
Tsang, B. (2022). What's A Good ROAS For Facebook & Google Ads? Here’s The Answer. Retrieved from https://shorturl.at/afiG9.
Kalemi, E. (2023). Pinterest Ads: Price Tags and 7 Best Practices. Retrieved from https://publer.io/blog/pinterest-ads/.
McCormick, K. (2022). How Much Do Facebook Ads Cost in 2022? (+9 Ways to Stretch Your Budget). Retrieved from https://shorturl.at/nvDR3

Want to learn more? Reach out to the GRAVITATE team today for a chat.

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Frequently asked questions

What are the differences between Pinterest Ads and Facebook Ads?

Pinterest Ads are more visual and are geared towards discovery, while Facebook ads are more versatile and can be used for a wide range of advertising goals. Pinterest Ads are also typically used by eCommerce businesses, while Facebook ads are used by a wider range of businesses.

Which platform is better for paid advertising, Pinterest or Facebook?

It depends on your advertising goals. If you want to promote a product or service with a visual element, such as fashion, home decor or food, Pinterest ads may be more effective. However, if you want to reach a wider audience and have more targeting options, Facebook ads may be a better choice.

Can you use the same ad creative for both Pinterest and Facebook ads?

It's possible, but not recommended. The two platforms have different design requirements and ad formats, so it's better to create ads that are tailored to each platform. This will help your ads look better and perform better on each platform.

What are some best practices for Pinterest and Facebook ads in digital marketing?

For Pinterest Ads, it's important to use high-quality images or videos, eye-catching titles, and include keywords in your descriptions. For Facebook Ads, use attention-grabbing headlines and images, target your audience carefully, and test your ads to see what works best.

How do I measure the success of my Pinterest and Facebook ad campaigns?

Both platforms offer analytics tools that allow you to track the performance of your ads. Look at metrics such as impressions, clicks, click-through rate, and conversion rate to see how your ads are performing. You can also use tools like Google Analytics to track conversions and revenue from your ads.

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