Since Facebook changed its algorithm in order to provide content that was more interesting to users, organic posts have become less successful than they once were. Though you used to be able to guarantee that those following your business page would see your posts, now that is not the case.
On the other hand, Facebook ads provide an ideal, cost-effective mean to target a specific audience. Facebook has a large audience, out of the total estimated UK population of 67.9 million, approximately 44.84 million people are active Facebook users – approximately 66% of the total UK population. This alone should be a reason to use Facebook ads. Others include:
1. Low cost
Advertising on Facebook is very cost-effective, especially compared to other forms of online advertising. Not only can you achieve results with a relatively small budget, but you can set exactly what you want to spend per click through.
How much do you need to spend? According to Fit Small Business, $10 spent on Facebook Ads will return approximately 17 clicks, because the average CPC is 58 cents. So, if you want 100 clicks, you’ll need to spend $58. (Actual results and cost depend on your industry and how well your ad is created, but it’s a good average to start from when determining a reasonable budget.)
How many clicks will get you results, though? ROI is a different matter, and working it out may require a lot of testing, patience and money spent. Basically, the more targeted your ad is, the fewer clicks you’ll need to make a sale.
2. Precise targeting
As a small business, you don’t want to target everyone, you don’t have the resources for that. Instead, you need to reach out to your target audience, those who are most likely to want to buy your products. Facebook ads let you do exactly that. Facebook collects a huge amount of data from its users. It allows you to narrow down your target audience by:
– Language: The languages they speak
– Age: Their age
– Location: Based on country, city or postcode
– Interests: Listed interests, pages they like, topics related to interests, even pages their friends like
– Retargeting: Using a tracking pixel to target people you have taken activity on your website
– Device: The device they access Facebook from, including mobile, tablet, and desktop
– Custom Audiences: Email addresses that you upload to use for targeting
You don’t need to spend money advertising to those who aren’t interested, you can focus in on those who are likely to buy from you. Of course, you need to know who your target market is to get the best from this feature.
3. Facebook Custom Audiences
Facebook allows you to target specific email addresses so you can upload your contact database and target them specifically with ads. Because they have already opted in to receive information from you, targeting this audience is likely to produce much higher conversion rates.
4. Clear Reporting
Facebook gives you advanced reporting tools so it is simple to gauge ROI (return on investment). This is a clear benefit over traditional advertising. Facebook delivers a variety of KPI (key performance indicator) metrics that can help you assess the engagement rates of your ad campaigns. They include:
– Reach: The number of people shown your ads in their news feed
– Cost per click: Cost per page like, website click, or other goal you choose
– Total spend: The total amount you spend on an ad campaign
– Clickthrough rate (CTR): The percentage of people who clicked on your ad.
If you know reach, clickthrough rate, and cost per action, you can easily establish how much it costs to increase website traffic to your landing page, or to sign up for your email list.
5. Ability to test
Facebook gives you the ability to try out different ads to see which ones work. You can send multiple ads and test which get the best response from your audience. Where there is a clear winner, you can choose to allocate the remainder of your budget to that version of the ad. This is a clear advantage over traditional advertising which is difficult to measure in terms of response.
6. Facebook Pixel
Facebook Pixel is a clever piece of code which you can add to your website. It will help you to re-market to potential leads such as previous visitors to your website or even those who have abandoned the checkout process before completing their purchase. This increases the conversion rate you achieve from all your website traffic, regardless of its origin, plus it works across a wide variety of scenarios. You may want to encourage people to register on your website, make a purchase or call you, the Facebook Pixel will help those goals to be achieved.
Ways to improve your success with Facebook ads:
– Know your audience – if you don’t know who your target audience is you cannot reach out to them.
– Create an eye-catching ad – Use compelling copy, bright colours, an image, slide-show or video with a clear call to action.
– Create an appealing landing page – this is where visitors will click through to so make sure it looks good. It should be optimised for mobiles and have a clear call to action.
When not to use Facebook ads
They offer a great opportunity to target the right audience but sometimes Facebook may not be an appropriate advertising platform. Such as:
– Your target audience doesn’t use Facebook – if you are trying to target the older generation, or teenagers, they may not use Facebook regularly. In addition, certain professionals may be so used to seeing ads in their feed that they are blind to them.
– You haven’t defined your audience yet – One of the main benefits of Facebook is the targeting. If you haven’t yet established your audience it’s worth doing some market research first.
– You don’t have a hook – the best adverts have a compelling offer to encourage visitors to click through. If you don’t have this you will get a lower response rate as there is no clear benefit to consumers to find out more. Offer some kind of deal or freebie to entice them in.
Facebook ads can be a powerful marketing tool for your small business. With its clever targeting tools and powerful reporting features, you can create a successful advertising campaign at relatively little cost. Just make sure you are targeting the right audience and that they are users of Facebook.Back to blog home