Advertising can be an expensive affair for any business. To maximize returns on investment, it is crucial for an enterprise to learn a few tips that will help cut down on their advertising budget. For those considering Facebook advertising, the following strategies will come in handy when you want to save a dime in your marketing endeavor.
First step is to understand the different types of advertising on Facebook.
Facebook offers two different bidding options for ads today.
1. CPC/PPC: Cost-Per-Click/Pay-Per-Click
This is among the commonly used type of bidding for Facebook ads. As the name suggests, one pays for the number of times people click the advert. In this case, it is easy to manage or budget and understand this method.
Anyone looking for Facebook comments, shares, clicks and likes should go for this. Besides, it’s a good beginning point for those new in Facebook marketing as they can easily budget and monitor how they spend on ads.
2. CPM/PPM: Cost-Per-Impression/Pay-Per-Impression
This second option involves paying for every thousand views of your Facebook ads by fans. An advantage with this option is that you can end up paying very little for plenty of views.
In some cases, such ads do not generate comments, shares or clicks. However, the audience will view them and this is one way to enhance your brand popularity online.
When choosing which bidding option to use, it is paramount to understand how the above methods differ.
For instance, CPC/PPC works well for new businesses trying Facebook ads.
This is because they can easily control how much they pay for the ads. Your bid amount is what you pay.
Of importance is to avoid posting a very low bid as this could make it hard for you to win the ad auction. This means you will hardly generate meaningful results with your Facebook advert.
On the other hand, PPM could be an effective method for large companies who want to create brand awareness through Facebook adverts.
If you target keenly, it is possible to reach thousands of viewers for as little as $1. This is way cheaper than TV or newspaper ads.
The only challenge with PPM is that one is likely to pay higher than expected.
This is because your ad runs throughout and could gain impressions from active Facebook users during the night. These viewers may not be your target market yet you pay for their views.
Consider the case where you gain impressions from viewers in a different time-zone.
Good news is that you can pause your Facebook ad manually so that it doesn’t run during unwanted time.
Another remedy to the said challenge is to use Facebook’s targeting tools and define specific audience you want to reach with your ad. This way, you avoid paying for unprofitable views.
Focus on users interested in your product or service
It is expensive and a waste of time to post your ad to the wrong viewers. If they cannot purchase your products, you need not waste your resources on them. Facebook makes it easy for one to target their ads to the right audience.
Today, one can customize their posts to reach desired audience depending on their geographic area, for example a European Hosting provider like EuroVPS would geographically limit its demographic to European Union member states. Also feel free to narrow down even further by drilling into age, gender, financial ability and education level, among others.
You have no reason to post your ads blindly anymore. Use such features to improve click-through and conversion rates out of any ad you post.
This is a great way to save cash on your Facebook ads. You customize your ads to reach specific people. This way, you increase lead generation and sales turnover. However, this may not be the best move for companies that want to create brand awareness.
How to target your Facebook Ads
(a) Custom audience
When posting to large groups, it is possible that a good number of viewers want nothing to do with your post, or simply, your products do not suit them.
To avoid wasting money on them, you can post to specific people. Posting to a custom audience is possible if you have an existing CRM, or contact database.
You may have inactive clients, contest participants or any other group of client you may want to reach. You stand a better chance of getting clicks, comments and other action from such clients since they are aware of your brand.
From your Facebook ad management software, go to “Create Custom Audience.” Import the details of your audience from your CRM.Click “Target Existing Custom Audience.” Add the subscriber’s name. Click “Create.”
(b) Lookalike audience
Facebook can use your existing database of custom audience to create prospects with similar qualities.
Basically, you will get a group of target customers with either 99% or 95% interests, demographics or so, similar to your custom audience. Those with 99% similarity are more specific, though you end up reaching a lesser audience than when targeting the 95%.
(c) Website custom audience
This is the latest of Facebook ad targeting options.
Simply going with the initials WCA, website custom audience is available to enterprises with Facebook fans ranging between 100 and 10,000.
If you already have this on your ad management software, you can retarget Facebook ads free of charge. You do not need any third party software.
Other than getting the custom audience from a stored database, your target audience is people who have visited specific pages of your website.
In this case, the process of setting your target viewers from Facebook ad management tool is similar to that of creating Custom audience, except that you choose your Custom Audience from Website.
Winning the bidding game
This is a secret every user of Facebook ads should know of. Otherwise, you will be spending a lot of money on such adverts. You chances of winning an ad auction depends on your budget and the number of competitors looking for same audience.
However, if your ad is not time-sensitive, you can compare the bids at different times of the day to see if the prices could be lower.
Use any opportune window to pay lower since your reach doesn’t change whether you win an auction at a low or high budget.