There has been over a decade since Facebook was established and presented to the masses. One of the most popular social media networks today has grown from a digital novelty for undergrads into an international powerhouse that affects the daily routines and lives in general of everyone in the country.
One of the factors behind this rise has been advertising.
There are plenty of individuals and businesses alike using Facebook for advertising. However, lots of businesses using this platform to advertise isn’t the same as all, at least not with all businesses that are seeing positive ROI.
But, let’s leave popularity aside – how effective is advertising your business on Facebook?
Every business will see its return different based on investment, ad quality, industry, and other variables. The best way to know the exact ROI that Facebook advertising will generate for you and your business is to try it out.
Do Facebook Ads Really Work?
If you want to be absolutely sure you will get a positive ROI on your investment from Facebook Ads, one of the places to turn for information is going to be hard and specific numbers.
We’ve gathered statistics to highlight the effectiveness of Facebook as an advertising platform:
- 76% of users look for unique and entertaining content on Facebook. Since 2014, content consumption has increased by 57%.
- Customers who like a business or brand on Facebook are 79% more likely to make a purchase than those who are not fans.
- 66% of social media users log on to learn about new, fresh products and services.
- Facebook’s targeted Custom Audience feature allows you to advertise so that advertisers have seen their customer acquisition costs lowered by as much as 73%.
- A 2015 study found more than 50% of customers were influenced by social media giant when making offline and online purchases. These numbers are, of course, rising.
- When it comes to growing awareness, the average cost per impressions or CPM for Facebook ads is around $7.29 vs $35 for TV commercials.
- Facebook is useful in the B2B industry – more than 70% of people say they use Facebook for business purposes.
- 22% of the population in the world is made up of active Facebook users. In the US, the percent of adults that use Facebook is 68%.
According to these numbers, it seems clear that Facebook has great potential when it comes to delivering a return on any business’s investment.
How to Boost Your ROI: 5 Facebook Ad Campaign Strategies
The truth is revealed – Facebook can provide a positive return on investment.
However, planning and executing a campaign are necessary for a positive ROI. While you may be absolutely comfortable using Facebook, building Facebook advertising campaigns is a different thing.
Businesses got into trouble by underestimating the system and then spending a lot of money to get quick results.
Right now, Facebook Ads is the most sophisticated advertising platform. Just because it is accessible, doesn’t mean it is easy to use.
Here is what you need to know to get started:
#1. Build Ads Around Your Goals
Facebook’s platform allows you to create ads based on specific objectives. Each objective is categorized by stages – Awareness, Consideration, and Conversion.
You need to know which stage is important to you. That’s how you will be able to build your strategy and accurately get your ROI.
#2. Track and Analyze
Facebook Pixel is a critical place to start when creating your Facebook ads. By installing and adding Facebook Pixel of code on your website, it allows you to target visitors to your website based on engagement with your brand.
Here is one example, if you want to target someone who has been on your gallery, pricing page or contact page, you can. At first, this may seem simple enough, however, you need to be careful and keep in mind that proper installation of Facebook Pixel is important.
#3. Be Creative
Facebook users are literally bombarded by promotions and advertisements 24/7. It is important to keep in mind that people aren’t there to listen to promotions or special offers about products or services. They are on social media because they want to get in touch with friends, watch cute cat videos, read the news, and more.
In order to stand out, you need to deliver unique content that appeals to your target audience. What are we trying to say is that you need to provide an amazing copy, incredible visuals, and engaging videos.
#4. Target People Specifically
Facebook allows you to target users with strict precision, by creating audiences defined by gender, age, location, occupation, interests, income, and more.
However, this goes so much further. Your business can also target based on various behaviors.
For example, boutique hotels can target consumers traveling to their area, MedSpas can target people who aren’t only a certain age but who appreciate name brands or medical aesthetics.
Ecommerce businesses can target based on shopping behaviors. No matter what you are selling, you can create a custom audience that will deliver your ads to the people you need to see and share them.
#5. Review Your Progress
The minimum budget to advertise on Facebook is $5. Facebook ads are never a one-time tactic. It is important that you monitor and review your results.
You will be able to build a campaign that suits your business and the results will improve over time. Knowing how to manage the campaign and drive down your costs is the difference between wasting your budget or having an effective Facebook campaign with a stellar return of investment.
When it comes to advertising on Facebook, the options are endless, from simple ads to ad funnels for conversions and lead nurturing. The most important thing is to get started sooner and treat Facebook Ads as a powerful platform that is for your business and make it a part of your marketing plan.