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February 2025 - February 2026
Detailed observation of presented data
Across all industries in Canada, Facebook Ads cost-per-purchase (CPP) moved on a very different rhythm than the global benchmark. Canada spent most of 2025 below the world median, then surged in late summer and again in December before collapsing to an exceptionally low level in January 2026. The year was marked by sharp swings: big mid-year lifts, quick pullbacks, and outsized seasonality at year-end.
This analysis is based on $3B worth of advertising data from our dataset, which provides strong directional benchmarks. This analysis explores ad performance trends for all industries in Canada compared to the global benchmark.
Canada opened 2025 at a CPP of 42.06 and ended the year at 61.69, a 47% rise from January to December. The 2025 average landed at 47.5 versus a 51.7 global average, placing Canada about 8% below the global benchmark for the year. Including January 2026 (6.33), the 13‑month average in Canada settles at 44.4, versus 49.6 globally.
Highs and lows were pronounced. Within 2025, Canada’s CPP ranged from a June low of 32.01 to an August peak of 68.49—an intra-year spread of 36.5 points, roughly five times the global spread (about 7.5 points). The sharpest month-to-month moves in Canada were June to July (+20.5 points), July to August (+16.0), August to September (−24.3), and November to December (+18.0). Excluding the January 2026 cliff, Canada’s average monthly swing in 2025 was 11.2 points, far more volatile than the global benchmark’s 1.6 points. January 2026 marked an extreme outlier at 6.33, down nearly 90% from December, while the global median also dropped, though far less steeply, to 25.15.
The cadence through 2025 shows a soft first half and a stronger back half. Q1 averaged 42.6, easing to 40.8 in Q2 as CPP bottomed in June. Momentum accelerated in Q3, the strongest quarter at 55.1, driven by an August peak. Q4 cooled to 51.7 overall, but December spiked to the second-highest level of the year. This pattern aligns with familiar seasonal behavior: CPP tends to build into late Q3 and holiday competition can lift costs in Q4, with engagement and costs often resetting in early Q1. The January 2026 reset was particularly severe in Canada and visible globally as well.
Relative to Facebook Ads benchmarks worldwide, Canada was mostly below market in 2025, trailing by 21–26% in Q1 and widening to 37% below in June. The gap flipped mid-year: Canada sat 7% above the global median in July and nearly 29–30% above in August and December. Overall, the global trend drifted lower across 2025 (−10% from January to December), while Canada climbed into year-end (+47%), but with far choppier month-to-month movement. At its narrowest, the gap compressed to within 6–7% (July and October); at its widest, Canada was 37% below in June and about 30% above in December. By January 2026, Canada’s CPP landed roughly 75% below the global median, underscoring the outsized volatility.
Understanding Facebook Ads cost-per-purchase benchmarks for all industries in Canada reveals a year of below-market levels, mid-year spikes, and a dramatic Q1 reset. This CPP analysis helps situate country-specific ad costs within global patterns and frames industry ad performance for Canada against the broader market.
Insights & analysis of Facebook advertising costs
Facebook advertising costs vary based on many factors including industry, target audience, ad placement, and campaign objectives. Different industries see varying ad costs due to market competition, user demographics, and conversion value. For campaigns targeting Canada, advertisers should consider local market factors and user behavior. Different campaign objectives lead to varying costs based on how Facebook optimizes for your specific goals. The data shown represents median values across multiple campaigns, and individual results may vary based on ad quality, audience targeting, and campaign optimization.
We use the median CTR because the underlying distribution of click-through rates is highly skewed, with a small share of campaigns achieving extremely high CTRs. These outliers can inflate a simple average, making it less representative of what most advertisers actually experience. By using the median—which sits at the midpoint of all campaigns—we provide a more rigorous and realistic benchmark that reflects the true underlying data model and helps you set attainable performance expectations.
Note: This data represents industry median values and benchmarks. Your actual costs may vary based on specific targeting, ad creative quality, and campaign optimization.
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Late November (Black Friday and Cyber Monday), December (holiday shopping, Boxing Day), Back-to-school (August-September), Mother's Day (May)
CPM might increase during Canada Day, Labour Day, and Thanksgiving. Black Friday and Cyber Monday see heightened e‑commerce bidding. December holiday period may spike ad costs. Back-to-school and Mother's Day drive retail competition. Provincial holidays might alter weekday inventory availability.
It depends on your product price and margins. Most brands aim for $10 to $50. For higher-ticket products, a higher CPA may be acceptable as long as you're maintaining a strong return on ad spend.
Higher-priced products typically have a higher CPA because people take longer to convert. That's not necessarily a problem if your margin can support it. You should measure CPA in context with AOV and LTV.
Your AOV may be increasing, which helps maintain ROAS even if CPA rises. You could also be facing higher CPMs, lower conversion rates, or creative fatigue.
Manual bidding can help if you're struggling to stay within target CPA. It's best used by experienced advertisers who can monitor performance and adjust regularly. It gives more control, but also requires more effort.
Increase budget gradually, rotate creative often, and avoid overlapping audiences. Scaling too quickly can lead to audience saturation and rising CPAs.
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