I have a confession. Over the course of two years I spent almost $10,000 on facebook ads but I didn’t really know what I was doing.
The good news, is managed to I generate over $60,000 from those same ads! Adding facebook ads to my marketing strategy was a smart thing to do.
Now, that I’ve started to actually learn how the facebook ad machine works and how to maximize it I’m kind of scared to imagine how different things could have been had I took the time to get some training. (insert face palm!)
Can you relate to my confession?
I can’t be the only seasoned to veteran status entrepreneur who’s been doing business using online marketing for 10 years and I’m just now really getting up to speed with how to reach my ideal client in one of the most efficient ways on the planet.
Well, I’ll just assume that you can relate and you’d like to go on this journey with me. I’m going to share what I learn and how I’m doing as I gain knowledge and apply it. I won’t hold anything back. I promise. If I screw things up, I’ll share. When I hit it out of the park, I’ll share that too.
To be more specific, I knew how to set up an ad and write fairly decent copy. I knew what some of the terminology meant but I was clueless and in too much of a hurry to stop and really dive into what it meant to understand the terminology and most importantly how to interpret the data.
So, the first thing I want to do is break down the analysis terminology. Hold on tight, before this gets clear, it’s going to get confusing. But, just like me, you can figure this out. Let’s go!
How many Times your Ad is Shown/Viewed
Impressions – this refers to how many times your ad is shown and viewed. However, this is not the total number of individual people who see your ad. For example, you could have 500 impressions, but that could mean your ad was shown twice to 250 people, which equals 500 impressions.
Reach – How many unique views, or rather the exact number of individual persons have viewed your ad. For example, you could have a number of 500 in this category and this would mean 500 people viewed your ad. I call this the “True Number of People” number. That’s just the way it makes sense for me.
How many Times your Ad is Being put in Front of People
Frequency – this refers to how many times your ad is seen or viewed by each person in your total Reach number. You arrive at this number by dividing Impressions by Reach.
For example, in my last ad I had a total of 1,774 Impressions and a total of 1335 Reach. My total frequency was 1.33. That’s a good number. You want to be between 1-3. Anything above 5 means your ad is being shown too frequently for its size or number of people reached. You don’t want your ad to turn people off because they’ve seen it too much.
How Much Does it Cost When your Ad is Shown/Viewed
Cost per 1000 people reached – This is the “True Number of People” aka, Reach or “unique viewers” or “actual individual persons” who see your ad. For my last ad this cost was $13.80. In other words to reach 1000 unique viewers or “Individual People” it cost me $13.80.
Cost per 1000 impressions (CPM) – this is how much it cost each time the ad was shown in total no matter if it was shown to individual viewers or shown to some people more than once.
Click through rate (CTR) – this is how much it cost when some one clicks the link you put in your ad. Pretty obvious, this only applies if you have a link in your add. This means the link takes the person somewhere off of facebook, like to your blog, sales page or list building page.
Page Likes – total number of page likes if that’s the kind of campaign you ran.
Results – this category reflects the objective you established for your ad. For my last three ads I had a different objective for each one. One was a business page promotion and my goal was to increase page likes. I ended up with 62 likes or 62 total results.
We’ll talk about cost in the next category. In the second ad I ran a video that had the objective of engagement. It was really about creating audience awareness to become familiar with my face and brand to support future ads. The final ad had an objective of traffic to my website.
How much Does Each Result Cost?
Cost per Result – now here’s where we talk about how much it costs for each result.
In ad #1 the objective (or goal of the ad) was “Page Likes.” This ad got 62 page likes or 62 results. The cost per result was .50. I ran ad #1 for 5 days and spent a total of $30.
In ad #2 the the objective (or goal of the ad) was to drive “Traffic” to a landing page. I had a total of 42 link clicks. The cost per result was .71. I ran ad #2 for 5 days and spent a total of $30.
In ad #3 the objective (or goal of the ad) is Video Views for brand awareness. So far I have a total of 291 video views. So far the cost per view or result is .03. I’m running ad #3 for 7 days.
In ad #4 (which I just started 2 days ago) the objective is Post Engagement for brand awareness. This is a video of a facebook live I did. So far the cost per result is .01. There are 2719 results. Reach is 4,615. Impressions are 4,971. The Relevance score is 8. (anything between 7-10 relevance is excellent). There’s also a link in this ad. I have 22 total link clicks so far. The link clicks objective is a secondary goal. The ad is really about increasing brand awareness. The ad is an ongoing ad with a max budget of $100. So far I’ve spent $28.38.
There’s a lot more categories that we’ll go through over the next several weeks. Yes, I said weeks. This ain’t no easy peasy thing to learn!
Leave your comments and cheers below, ’cause on this journey I need ’em! We’re in this together. Part 2 will be posted next week. I’ll cover how to select your ad objective and select your target audience.
Also, I put together a complete list of the TOP Marketing Automation tools successful entrepreneurs are using. Check it out to see what you may need to swap out. CLICK HERE
xoxo, Denise Joy
P.S. Final Three Points
- Don’t be stingy… hit the share button below!
- Let me know what helped you in this article. Leave a comment.
- Be sure to join the Free List Building Training at www.listbuildingdoneright.com