Facebook Ads vs Google Ads for eCommerce: A 2024 Comparison

In 2024, Google Ads and Facebook Ads remain integral tools for most eCommerce founders and marketers. Although many beginners may approach these channels linearly (ad, site, cart, checkout), each platform has unique strengths depending on your business type.

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‍Facebook Ads: A Look Into Facebook, Instagram, WhatsApp, and Messenger

With over 3 billion monthly active users across their properties, Facebook remains the largest social media platform. This makes it an unparalleled space for reaching consumers across demographics.

Even better, Facebook users are highly engaged. The average user spends almost three hours daily on Facebook properties, including Facebook, Instagram, WhatsApp, and Messenger.

Both Facebook and Instagram offer mature advertising products with deep targeting and strong engagement. Campaigns can be managed seamlessly from the Facebook Ads Manager using similar creative, making scaling easy. For younger audiences (18-40), Instagram often surpasses Facebook in impressions and conversions.

WhatsApp and Messenger are still catching up. WhatsApp remains ad-free, though it supports small businesses with WhatsApp for Business. With nearly 2 billion users, it’s hugely popular globally. Messenger has minimal ad support and drives users to live chat or chat-bots, which can be useful for certain eCommerce strategies.

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Advantages of Facebook Ads for eCommerce

Interest-based and Behavioural Targeting

Making ads relevant to your target audience is crucial, and Facebook excels here. You can target customers based on interests, behaviours, engagement, life events, job titles, age, demographics, and location, offering immense targeting opportunities.

Targeting Examples:

• Interests: If selling high-end handbags, target women interested in specific designers, fashion industry events, and magazines, above a certain income threshold.
• Behaviours: For men’s grooming products, target users who’ve interacted with or purchased similar items.
• Engagement: Target users who visited your product or cart pages using Facebook’s pixel.
• Life Events: If in the wedding business, target couples planning weddings.
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Top Engagement

Despite competitors like Snapchat and TikTok, Facebook maintains high engagement, with users spending more time on its platforms than any other.

Low CPM

Facebook offers competitive CPMs due to its ability to create abundant inventory, providing excellent value for getting your brand in front of the right people.

Easy to Operate

Facebook’s mature platform is user-friendly, allowing businesses to start advertising with minimal experience. It effectively delivers sales at an affordable CAC while meeting ROAS targets.

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Disadvantages of Facebook Ads for eCommerce

Low Relative Intent

Google search ads often capture users ready to buy, whereas Facebook targets people, not queries. This means your target may be further from purchase, but cheaper CPCs and CPMs often offset this.

Creative Requirements

Facebook ads are image-based, requiring quality creative. While tools like Canva and Figma simplify this, high creative quality is essential.

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Google Ads: A Look into Search, Display, Gmail, Shopping, YouTube, and More

Google, the dominant search engine, holds over a third of the online advertising market. Google Ads include Search ads, Display ads, Gmail ads, Shopping ads, and YouTube ads.

Shopping Ads

Shopping ads, now free, mean Google crawls online stores for relevant product results, creating a push for ‘eCommerce SEO’. Familiarise yourself with Shopping ads as the SERP is ad-dominated.

YouTube Ads

Underutilised in eCommerce, YouTube ads are great for brand introductions and product highlights. They allow users to skip ads after 5 seconds, charging only for extended views.

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Advantages of Google Ads for eCommerce

Intent-based Targeting

Google Ads target users close to purchase. This specificity allows for high conversion rates and targeted advertising.

Competitive Targeting

Google lets you target competitors' customers at the point of purchase, providing high-quality traffic despite potentially higher CPCs.

Lower Creative Requirements

Google Search and Display ads often require no design, relying on text or existing product images.

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Disadvantages of Google Ads for eCommerce

Limited Inventory

Google's inventory is limited by search volume, challenging for niche products or new categories.

High CPCs in Crowded Verticals

In competitive spaces, Google Ads can be expensive. Start specific, track ROAS, and adjust budgets as needed.

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Using Google Ads and Facebook Ads Together

Retargeting

Use Facebook to retarget Google Ad landing page visitors with product-specific ads, enhancing engagement and conversions.

Lookalike Audiences

Expand Google Ads efforts by creating Facebook lookalike audiences based on Google conversions.

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"Facebook’s mature platform is user-friendly, allowing businesses to start advertising with minimal experience, while Google Ads target users close to purchase, offering high conversion rates and competitive targeting."

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When to Use One Over the Other

All eCommerce brands should test both platforms, typically using Facebook early in the funnel and Google late. Product category, customer profile, vertical maturity, and brand recognition influence this decision. Test both platforms and let sales data guide your strategy.

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‍Leverage Inventory Planning to Stay Ahead of Demand

Effective inventory planning is essential to manage stock levels throughout the year. This approach helps mitigate the impact of supply chain shortages and limited consumer demand insights from paid media.

• Forecasting: Use analytics to predict stock needs, order quantities, and contingency plans.
• Buffer Stock: Maintain sufficient inventory to handle delays and disruptions.

Improve Product Quality and Lower Inventory Costs

Inventory management challenges are complex and interconnected. To navigate these issues effectively, eCommerce businesses need a cohesive strategy that includes robust financing options, strong supplier relationships, and comprehensive inventory planning.

By addressing these major inventory management challenges, eCommerce businesses can better navigate the complexities of today's supply chain issues and set themselves up for long-term success.