The world’s most popular social media platform is also at the top of the list of essential marketing tools for modern businesses, and no online advertising campaign is complete without Facebook Ads as a core element. Wodu counts expertise with Facebook advertising as one of the most powerful arrows in our quiver of PPC campaign management services.
The Facebook (FB) website is the third most-visited site in the world after Google and YouTube; the FB mobile app ranks second in the world for usage following YouTube. This gorilla in the social network space is more than just a place where people connect with family and friends, share interests, get in arguments, and post cat pictures. It is also where potential and current customers engage with brands and the businesses behind them.
With over 2.93 billion active monthly users—36.7% of the world’s population—the possibility of reaching a significant segment of your target market on Facebook is high. Over 7 million advertisers, including many of your competitors, are already active on the platform, so a well-run FB ad campaign should definitely be part of your overall online marketing strategy as well.
67% percent of Facebook users visit the platform daily.
Facebook Ads are generally less-expensive than other social media advertising options, and the average price per ad has been declining a bit since the last part of 2022, making it easier to get started. FB Ads also guarantee you contact with a prime consumer demographic because 48% of FB users are between the ages of 25 and 44 years old. Moreover, it’s a little-known fact that Facebook keeps a data base of information on user interests specifically for the purposes of ad targeting.
Leverage the Power of a Social Media Behemoth
If you do FB Ads right, you can leverage the platform’s built-in resources to create a powerful and effective online advertising campaign. Giants like Disney and Walmart know this and spend two and three figures into the millions every year to appear on the platform and particularly on the mobile app. But Facebook Ads offers major advantages to businesses of any size that want to promote their products and services to a vast audience.
Facebook ads reach 62.6% of all American aged 13 years and older.
Wodu offers Facebook Ads Management Services tailored to the size and specific needs of your operation and marketing plan. While FB touts their ad programs as a self-service marketing option, this is misleading. There is a steep learning curve involved with running FB Ad campaigns, and unless you have time and money to spare, going with a professional PPC campaign manager like Wodu is essential.
Like other PPC ad platforms, the Facebook Ads service allows marketers to create various types of advertisements and display them to specific target audiences. If planning, targeting, design, and management efforts all come together well, your ad will appear in a context and at a moment conducive to persuading the viewer to take your desired action.
70% of all Internet users engage with at least one Meta platform.
Meta, the Facebook parent company, offers a broad range of venue possibilities for ad placement: Facebook, Instagram, Messenger, WhatsApp, and Audience Network. Display venue selection depends on the marketer’s audience and purpose, as does ad format: Image or Video, Carousel, Collection, Instant Experience, Lead, Poll, and Slideshow ads are all available.
When you put together these format options with the venue choices, then add in audience targeting factors and ongoing management strategies including testing and cost analysis, there are a lot of moving parts to a FB ad campaign. Large enterprises have dedicated departments to handle the job. Many small businesses and entrepreneurs try to engage with the various FB tools and automated features that theoretically let users run their own campaigns.
It can be done, but the question is how many potential conversions (and how much associated revenue) is being left on the table when an already overloaded business owner piles ad campaign management on top of all their other responsibilities? And you can guarantee that a significant portion of ad spend is going to be wasted during the climb up the FB Ads campaign learning curve.
Instead of absorbing these losses, set aside part of your advertising budget to retain pros like the Wodu PPC Advertising Management team. Choosing this alternative is likely to bring immediate benefits in terms of return on advertising spend, and long-term dividends arising from having more time to invest in other aspects of running and growing your business.
Cost is another complexity of FB ad campaigns because there are numerous variables involved in the price of Facebook advertising. The initial step is planning an advertising budget around a time frame, for example, the amount available to be used over the lifetime of the campaign then a breakdown into weekly and/or daily spend targets. In most scenarios, Facebook will then bill against that budget at cost per click (CPC) and cost per mille (CPM—cost per 1,000 impressions) rates.
Similar to the way Google Ads operates, basic Facebook advertising cost is determined by a multi-factor formula based around a blind auction system. In any given market sector, hundreds or thousands of marketers bid for desktop and mobile ad placements. Facebook can handle the bidding automatically based on parameters you set, or you can bid manually by setting a bid cap, or maximum bid across auctions, an option is generally used by highly-experienced advertisers.
An algorithm comes up with an ad quality rating—Total Value—for each ad based on bid, estimated action rates, and user value (relevance to search, previous feedback, previous CT rates etc.). In short, Total Value is how much the audience is predicted to like or engage with the ad combined with the price a marketer is willing to pay for placement.
Facebook Ads Major Cost Factors:
Bid price level
Ad search relevance score
Algorithm-driven engagement estimates
Facebook Ad costs fluctuate widely according to industry sector and the number of marketers competing, seasonality, location, and other market aspects. There is also a nearly infinite set of finer variables like ad format, campaign objectives, intended audience, bidding model, display frequency, the Facebook quality scores and more at play when trying to determine average CPM or CPC on Facebook.
Average costs can change daily, and it seems that everywhere you look, different numbers are being posted. Here is a look at CPC numbers broken down by industry and published in early 2023. Note that the all-industry average benchmark is $1.86.
Location also plays an important role in FB ad costs. Check out this take on average CPC by location:
The bottom line on cost is that you can probably ballpark a CPC number for your situation, but you are not really going to know until your campaign has been up and running for a while. Then it is time to look into ROAS, or return on ad spend, a whole different ball game.
These things sound complicated because they are complicated. It is easy to experience a lack of confidence when it comes to planning, tracking, and measuring returns from your FB PPC campaign spend, and the feeling that money in your FB campaign account is just vanishing into a black hole every week does not help the situation.
Once your campaign is underway, depending on the type of business and the marketing objectives driving the ad campaign, there are various metrics involved in measuring and managing the costs of Facebook advertising. Ongoing hands-on management and tweaking are the keys to optimizing performance. A few items that need to be considered include:
None of this is rocket science, but it takes time to do it, and experience to do it right. That is why it makes sense to partner with a company that got involved in web development and online marketing work only 3 years after Internet connections first started appearing in private homes.
Wodu has PPC campaign management skills that grew right along with the online advertising genre itself. We have a proven track record and are known for listening to our clients’ needs, understanding their business and marketing objectives, then designing effective online advertising campaigns around that knowledge framework. Contact us today and let’s start building a powerful Facebook Ads campaign for your business.