Reports are now surfacing about the success of Sponsored Results, which Facebook has been testing since July.

Instead of placing ads in the News Feed or along the side bar, Sponsored Results — which can target a specific app, Page, or Place — can be purchased and placed within the search results.

Upcast Social has run Sponsored Results campaigns for a travel company, home improvement retailer, and hotel booking service. The social ads company claims the new search ads have up to 50 to 70 times higher clickthrough rates than standard ads.

“Although the volume of search ads is much less than other Facebook placements, they are very successful in driving awareness and discovery with substantially lower CPCs than traditional Facebook ads,” stated Grant Muckle, Upcast managing director.

According to Muckle, CPCs were one-fifth to one-eighth the costs for other placements based on tens of thousands of impressions over two to three weeks. He also noted that clicks were converting at a “favorable” rate.

As Inside Facebook pointed out, it’s possible that the freshness of Sponsored Results has something to do with their success. Often clickthrough rates are higher for new types of ads as members discover them and become curious about what they are. Additionally, the ad offering has very little competition at the moment — except for the gaming category, which is seeing a lot of activity.

That said, we recommend that you experiment with a variety of Facebook ads, including Sponsored Results, which are available through Power Editor.

[Via: Inside Facebook, Image credit: Andrew Feinberg]