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Social Networks Are the Cheapest Ad Buy, with CPM Rates Below a Dollar

Ad Costs Vary Widely: Ad space is typically sold using CPM, the cost per thousand viewers (M being the Roman numeral for thousand). With a CPM averaging $7, newspaper websites are the most expensive way to reach 1,000 people with an online display ad. Some media outlets can charge higher CPM rates because of the higher quality of their content or their more favorable audience demographics.

Data: Internet Advertising Bureau

Yet Social Networks Tend to Be Able to Create an Environment of Trust

Who do you trust? When it comes to influencing purchase decisions, a survey of U.S. Internet users shows that direct recommendations from family and friends are the top ways it happens. Good contacts on social networks (which could include family and friends) also rank highly. Least trusted are politicians and celebrities, at least when presented as generic categories. Individual famous people, of course, might rank higher.

Scale: 1 = Do not trust; 5 = highly trusted

Data: Lightspeed Research/eMarketer

Western Europeans Are the Least Trusting of Brands on Social Networks

Who Is the Most Gullible? In a worldwide survey, social-network users were asked whether they trust brand messaging “a lot” or “a little” or whether they are “neutral.” While Latin American users expressed the highest trust rating, Western Europeans expressed the most distrust. Asians expressed the most neutral position.

Data: Insight Consulting. Note: Numbers may not add up to 100% due to rounding.

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