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Wyoming Business Tips for June 14-20

June 5, 2015

A weekly look at Wyoming business questions from the Wyoming Small Business Development Center (WSBDC), part of WyomingEntrepreneur.Biz, a collection of business assistance programs at the University of Wyoming.

By Sarah Lancaster Hamlin, Fremont County business adviser

“How do I decide what is more effective advertising online -- Google ads or Facebook ads?” Jenn, Jackson

Google and Facebook ads offer a different set of benefits for marketing efforts based on your business type, budget and overall marketing goals.

To decide which is better for your business, consider these four areas: overall reach, targeting options, mobile advertising and return on investment.

-- Overall reach: How many people will see your ad? It is estimated that there are 2.9 billion Internet users worldwide. With 180 billion Google searches occurring every month, Google AdWords has the potential to reach 2.6 billion, or 90 percent of all Internet users. Facebook, on the other hand, has 1.28 billion active users and estimates having 1 trillion page views a month. This equates to a Facebook ad as having the potential reach of 43.8 percent of all Internet users.

-- Targeting options: Who does your ad reach? Google allows targeting based on location, demographics (age, gender, etc.), language, relevant and negative keywords, and the type of device (computer, mobile or tablet). Facebook, however, allows for even more targeting by including things such as behaviors, interests and similarities to current Facebook fans as ways to reach your intended audience.

-- Mobile advertising: Increased use of smart phones has changed the way we think about mobile marketing. Facebook allows you to optimize an ad for both iOS and Android technology, and reports that 21.7 percent of Facebook ad revenue comes from mobile devices. Google provides a few more benefits, such as choosing budgeting ratios between mobile devices and tablets, and the ability to optimize text for specific devices. Google reports that 46.8 percent of its ad revenue comes from mobile devices.

-- Return on investment: The average cost per click for Google AdWords ranges from 35 cents to $5 a word. The average cost per thousand impressions (the number of people who will see your ad) is $2.75, resulting in a 2 percent click-through rate and 2.35 percent conversation rate. Facebook averages around 45 cents per click and estimates that the average cost per thousand impressions is between 80 cents and $1, and has an average conversation rate of between 1-2 percent.

What does this all mean? It’s a common belief that Google ads are the most effective if your marketing goal is to increase sales immediately. Facebook ads are best for growing your brand awareness and generating new potential leads for your business.

A blog version of this article and an opportunity to post comments are available at

The WSBDC is a partnership of the U.S. Small Business Administration, the Wyoming Business Council and the University of Wyoming. To ask a question, call 1-800-348-5194, email, or write 1000 E. University Ave., Dept. 3922, Laramie, WY, 82071-3922.

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