3 most important indicators for the success of your Facebook Ads campaign!
Hey, today I want to present to you the most important and influential key performance indicators, which I use on my ads campaign on Facebook. Their correct usage will improve your results and guarantee a satisfactory return on investment in ads. Today, I’m going to explain to you how to get, monitor, and optimize it.
3 most effective indicators to perform – which and how do they work?
CPM defines cost per mile, so it is how much we are going to pay for 1000 views of our ad. For example we spend $50 and we get 10 000 views of our ad (so CPM is $5).
Facebook charge us always for CPM so you need to know what it is – take a look at what Facebook says (impression means views – facebook always has it’s own names :P)
“The pricing of Facebook ads is based on an auction system where ads compete for impressions based on bid and performance. When you run your ad, you’ll only be charged for the number of clicks or impressions your ad received.”
CTR defines click through rate, so it means how many clicks are generated by the views of the ad. For example,if your ad generates 10 000 views and gets 500 clicks, the CTR is 5%.
CR defines conversion rate, that is how much the ad leads to actual sales (for example how many products were bought from people who visited the website thanks to your ad).
For example if your ad gets 500 visits on your website and 50 of them ended up on sales, then the CR is 10%.
How to optimize your ads using key performance indicators?
1. Optimize using CPM:
- Expand your target audience – the more narrow target audience you set, the more you’ll pay.e
- Exclude when possible – if you are sure that you do not get some kind of people, then exclude them from your target audience. Only then you don’t pay for it.
- Test and change creations – if your creations are boring then you will pay more. Videos almost get lower CPM than static graphics, so don’t forget to test it.
- Find a cheaper target audience – the best target audience is not the one that is the most obvious. The fewer advertisers showing ads to a certain audience, the cheaper it is to reach them, so check which audience is most effective for you.
2. Optimize using CTR:
- Fit target audiences with creations – personalize as possible and be sure that the creations are for them.
- Test creations – check what creations are better: video, carousels, collections, graphics, DPA (dynamic product ads), DPA with ads.
- Test colors – if your brand allows you to use aggressive colors add that to your creations. Mostly ads with aggressive colors get more attention and get better results (remember to take care of the branding)
- Test different headlines, text and captions
- Test CTA (call to actions).
3. Optimize CR:
Conversion rate is influenced by our work(ads specialists) and of web specialists. We are responsible for ads and deliver valuable traffic to your website, but all the rest depends on web specialists who take care of the website.
When we want to optimize we have to work together as a team with web specialists and we usually do this:
- we add pop-ups with promotions and FOMO communicates. For example “if you buy today, we can ship the product even today!”
- we add reviews and references/testimonials
- we optimize final process, where customer buy products
- we do less clicks to buy (if the customer needs to click less, then it is easier to buy)
- we test CTA (test text and colors)
- we add a chat
- we add a positive return policy – a friendly process can take away the concerns that keep new buyers from buying.
If you want more pro tips then leave us your mail and link to your company – we will check your brand and send some free advice, which is going to improve your business, sales and profits.