Facebook advertising – Over 3 billion users, a wealth of data for your social media marketing! Not for younger target groups, but for older target groups with sufficient earnings and equity. Ideal for industries such as tourism, real estate or even food. The question is: How do Facebook Ads work? Learn the first insights from our Facebook agency on the topic of ads, the strategy behind the ads, the various ad formats, costs and KPIs (key performance indicators) on Facebook. This brings you several advantages, because you can also control ads on Instagram or Whatsapp Messanger via Facebook or the parent company meta. Many possibilities for your social marketing.
Questions? Talk to us or write to our Facebook Ad experts: Contact
Without ads, you only reach 1% – 3% of your followers! Facebook Ads ensure that you can expand your reach more quickly.
Social ads on Facebook – advantages of the largest network / largest target group: Facebook is now the largest social network in the world, with over 3 billion registered users. A huge platform for new, but also well-known ideas and products.
It all starts in the workshop and with the first analysis.
Strategy development Facebook Ads
Strategy development process for Facebook Ads:
Analysis of actual / target; set-up of advertising account if necessary
Facebook Ads Strategy
Concept, design and implementation
Set up a campaign structure
Tests, learnings and continuous optimization
Reporting and feedback
Controllable, measurable: advantages
Advantage of user data (targeting) – Another major advantage of Facebook is the extremely large pool of data that you can use for targeted advertisements to individual user groups (strategy). The better individual advertisements (campaigns) are tailored to individual target groups, the more effective the effect (targeting).
Recipe for success for tens of thousands of companies – This is precisely the recipe for success that makes Facebook one of the marketing and sales channels for the majority of companies.
Never before have you been able to reach people (anywhere, anytime) so easily!
Segmentation advantage – you can play ads to people in small villages that show “rural” media, while people in the big city see a completely different ad, with lots of concrete and “urban life”. Younger people, older people, men, women, all these different target groups can be segmented.
We are already providing support for our customers:
over 100,000 Euro Facebook Adspend per month
Advantages of Facebook ads at a glance:
Largest network / largest target group
Use user data (targeting)
Best practice from tens of thousands of companies
Segmentation of target groups
…
Advertisement example: Infographic
Facebook ads can appear in various forms. On the facebook.com website, in the Facebook app, even in Facebook Messenger, you can use them for sales targets as well as employee recruitment. As a rule, however, ads focus on these areas.
Shown here for you simply and schematically in an infographic!
The big advantage of Facebook Ads is the extremely precise display of individual ads to individual target groups.
Example: Advertise iPhone 13 users only
An example (target group iPhone 13 users):
Let’s say you only want a very affluent target group. One trick: “The latest iPhone model”. In other words, only Facebook users with iPhone 13 (relatively expensive in comparison), i.e. only a specific model, the iPhone 13. Probably more affluent than users with iPhone 8, iPhone 9 or iPhone 10 or other brands.
advertising in a targeted manner:
Cell phone
IPhone
Model: 13
Facebook formula: 3 steps to a strategy
A good Facebook advertising strategy that sells products therefore requires 1) the segmentation of target groups, 2) the individual campaigns/media and 3) the right qualitative, quantitative reach.
Good Facebook ad strategy means: Your products
Segmentation of target groups
Segmentation of campaigns / media
Qualitative, quantitative reach
This mix guarantees performance.
Media budget
This is exactly what a good Facebook advertising agency is for, selection! If you think through all the parameters, play out ads on the website, in the app or in Messenger, to different smartphone manufacturers, model types, women, men, age groups, interests…
Many possibilities, many sources of error – experience makes the difference!
You can quickly burn through a lot of media budget here! A good and experienced Facebook agency ensures that budgets are used efficiently. Individual campaigns are constantly optimized so that the key performance indicators (KPI) become more and more efficient!
Advertising on Facebook is made easy by the parent company meta. Simply enter your credit card details and you’re ready to go! Why? Because a lot of money can be earned quickly. The more precisely an advertisement is sent out, the better the key figures will be, which you will now get to know. The better the key figures, the better the ratio of acquisition costs and profit per customer, if we stay in the sales aspect.
Here is a brief insight into the technical possibilities that we use for you as a Facebook agency. 3 small examples.
Content first! Content is king. For users, but also for Facebook’s algorithm. Nothing works without good content, which is why we do “more than just” posts, we focus on performance.
Just one example, apart from the 85% regular ads
Clickbaiting: Attention in 1 second
For example through clickbait, for quick attention and the desire for more, that is the aim of this tool.
Content must activate users directly, because you only have a fraction of a second to generate attention. Your competition is just a swipe away.
A very simple example would be a Facebook video that is displayed to users as an ad. Tip! Always with voice and text if the sound is deactivated. The beginning:
Do you already know this?
We haven’t created a lurid headline yet, but we’ve got the user’s attention, “do I know what”? The rate immediately jumps up, regardless of whether the average time a user watches the advertising video or clicks on it. But clickbait is even more blatant.
This thing here has changed my life!
A certain percentage of users now also become aware of “what has changed their lives”? They already want to know more and you have X more viewing time and clicks.
Or also:
8 points that changed my life. Number 7 was intense!
Such headlines activate more users and attract attention. The more efficient the ad, the better the performance, the more goals you achieve with your Facebook ads.
At the same time, you can see that there are many ways to target users with ads. That’s why they are all tested against each other! Here we come to. Two of our little Facebook Ad Insights.
Simply explained, split testing or A/B tests play different ad formats against each other.
Using a key figure such as the click rate, the different ads (but also target groups, etc.) can be compared with each other.
Display A – 5.6%
Display B – 5.9%
Display C – 3.6%
…
Ads are tested, but also target groups. Ad A / B / C for men, for women, for a certain age.
Ad A / Men – 6.2%
Ad A / Women – 6.9%
Ad B / Men – 7.3%
…
Cell phone models, as described above, landing page colors and much more are also tested.
Ad A / Men / iPhone 13
Display A / Men / iPhone 12
Display A / Men / iPhone 11
…
Interests are also possible, let’s say for an e-car manufacturer:
Display A / Men / iPhone 13 / Interest “Tesla”
Ad A / Men / iPhone 13 / Interest “Nio”
We continue with media:
Ad A / Men / iPhone 13 / Interest “Tesla” / Photo Ad
Ad A / Men / iPhone 13 / Interest “Tesla” / Video-Ad
And so on…
Good performance is given more media budget, less good performance is changed or eliminated. In this way, the individual advertisements (campaigns) become ever more efficient and the key figures ever better.
KPIs for Facebook advertising
Depending on the social media strategy, general advertising strategy, the goals differ with the corresponding key figures. Social media monitoring looks at various key performance indicators(KPI, performance targets) on Facebook. Here are a few of the most important examples and technical terms.
For many (with an online store but also in stationary retail), one thing counts above all: sales. The technical terms in social media marketing, conversion (achieving certain business goals), or the conversion rate for newsletter subscriptions, registration for a webinar or even your direct sales in the online store.
CPM: Costs for 1,000 ads
CPM – CPM (cost per 1,000 ads), i.e. “Costs Per Mille”, tells you how much it costs if your ad is played or displayed 1,000 times. Speaking of costs, the costs for advertisements are never the same, they differ due to many parameters. Important for the price difference, however, is for example the competition, how many competitors are also advertising on your keywords?
Calculation:
CPM = Costs / Views
0.20 Euro = 2,000 Euro / 10,000 views
CPC: Cost per click
CPC – CPC (Costs Per Click) describes the amount of costs incurred for a click on your “target” (your own Facebook channel, your Facebook store, job ads on Facebook, your online store, landing pages, etc.).
Calculation:
CPC = costs / clicks
2 Euro = 2,000 Euro / 1,000 clicks
The key performance indicator (CPC) is important because reach alone (especially in the sales aspect) is of little significance.
Even more important, however, is the conversion rate and the LAC.
Conversion rate: target measurement
Conversion rate – This percentage deals with the success of Facebook ads. Calculated very simply: If your ad was played 100,000 times on Facebook and your goal was achieved 2,000 times (e.g. sold), the conversion rate is 2%.
Calculation:
Conversion rate = leads / views * 100
2% = 2.000 / 100.000
LAC: Lead Acquisition Costs
LAC – LAC (Lead Acquisition Costs), i.e. the cost of closing a sale, shows the final “purchase price per customer”, simply put. The effectiveness of Facebook advertising can then be quickly measured, simply put the profit per customer in relation to the acquisition costs.
Engagement rate: Interaction
Engagement / Interaction – Engagement rate (interaction) is calculated through likes, comments, direct messages, mentions (tagging), impressions (page views) for clicks in the online store.
Place Facebook Ads: Website and app
Ad in the Facebook feed (app)
Ad as Facebook Story (app)
Ad as a post in the Facebook feed (website)
Advertisement as recommendation in sidebar (website)
Ad in the Facebook feed (app)
Ad as Facebook Story (app)
Ad as a post in the Facebook feed (website)
Advertisement as recommendation in sidebar (website)
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