Advertising your business’ products or services on a platform as widely used as Facebook can be one of the most effective methods of really boosting sales and raising awareness in 2022.
With it’s in-depth targeting abilities, allowing marketers to build campaigns focused on users interested, demographic categories, life events and more – there is certainly potential to use this marketing channel when it comes to really improving the performance of your business online.
Facebook’s advertising platform is also incredibly advanced when it comes to the collection tracking and monitoring of useful data. Allowing advertisers to track spend against return ROI and offering insight into their overall return on ad spend (ROAS), it means that marketers and business owners can really keep track of their spend to ensure all campaigns remain as efficient and profitable as possible.
However, whilst the average cost to reach 1000 people through Facebook’s ads is only around £0.18, there are far too many marketers and business owners overspending.
Whether it’s through poor ad creative, poor targeting or a lack of overall understanding on the best practices, this article will take a look at some of the best ways to really minimise overspending and make Facebook advertising a much more profitable endeavour.
Focus More On CTR
Click-Through-Rate (CTR) is the metric of tracking how many of those impressions are engaging with the ad and clicking on it to perform the desired action. Typically this is directing them to a landing page on your website, however there are other ad types which allow users to input date and more.
A higher CTR will often result in a lower cost-per-click (CPC) on the ad, meaning that you’re using less budget in order to have interested users perform the initial conversion of interacting with the ad in the right way.
When it comes to Facebook advertising, the ad creative and strength of your ‘call to action’ will be the main focus points for improving the overall CTR. In short, the more appealing the ad displays and the stronger the CTA from a user’s perspective will directly impact their decision whether to click or not.
Track Your Relevance Score & Optimise Your Ad To Improve It
The relevance score of a Facebook ad is a number between 1 and 10 that determines the relevance of the ad to your audience based on user centred feedback.
Relevance scores are again another determining factor when it comes to looking at bringing down your CPC. The target for advertisers should always be (as a rule of thumb) a relevance score of above 8.
Improving this score can correlate to the previous tip on the ad reactive, but does also take into account the targeting that is in use and the behaviours of audiences specific to whom the ad is shown to.
When it comes to the targeting, always try to be specific with the audiences you set up. Whilst a wider audience may have a larger potential reach, the knock on effect of showing your ad to people who are not all that interested will seriously and negatively affect your relevance score.
Then, look at the creative side of the ad. Are the images and language that are being used suitable to your target audience? If not, then look at what would be. Having an ad design which is more positively received will mean the feedback used to determine your relevance score will be more favourable and as such drive that CPC down.
Finally, a great way to help maintain a higher score is to be sure that you’re keeping to a strategy for changing up the ad campaigns. Running a single ad over a long and extended timeframe will often damage the credibility of the ad itself. Be sure to have a plan in place as to when and how you can switch things up before you look at advertising on Facebook continuously.
Consider A/B Testing For Your Ad Creatives
Given that we have focused heavily on ad design/creative as ways to improve profitability – it’s vital that we elaborate on one of the ways you can best do this with some sense of clarity.
Now obviously, your own knowledge and market research will give you valuable insight into the preferences of your target audience – there is no finite way to be certain in your assumptions.
A/B testing works as a tactic of showing a proportion of your audience one ad design and the remaining users another (typically this would be a 50/50 split).
So, if you’ve come to the conclusion that a certain ad design will perform better than another, but want to be certain in this assumption A/B testing of ads can be one of the most methodical approaches to discovering a more profitable ad design going forward.
Leverage the Impact of Remarketing
Of course, the goal of most Facebook advertising campaigns is to drive traffic to a specific part of your website and really increase the number of sales generated.
However, as any marketer, advertiser or even business owner can tell you. The number of people who will navigate part way through a sales journey – only to disappear for no explainable reason is massive.
That’s why when it comes to using the Facebook advertising platform, you need to be sure that tracking and data collection is correctly implemented. Using Facebook Pixel will allow you properly recognise the rate of conversions alongside being able to create retargeting campaigns for those people who have dipped out of the sales journey pre-conversion.
There are a vast amount of ways in which Facebook advertising can be made a more profitable marketing channel for advertisers and business owners.
However, in the above article we have chosen to focus on those which can be most effective and best suited to the widest range of different campaigns and advertising goals.
For more information on how your Facebook ads can become more profitable and how you can leverage the power of social media advertising, get in touch with a member of our team today!