How to advertise on Facebook?
The Facebook platform has been built on advertising from the very beginning. We see it while scrolling through news feeds, chatting on Messenger, watching videos, in stories, or shopping on the marketplace. But how does Facebook advertising work?
Facebook ads
Facebook advertising represents a form of online marketing that allows businesses and individuals to promote their products or services directly on the platform.
Advertisers pay for each click on their ad. The Pay per Click (PPC) model is popular because it enables them to control costs and pay only for user interactions with their ads.
It employs various targeting methods to display ads to relevant users based on demographic data (age, gender, location), interests, behavior, and other criteria.
The success of paid advertising depends not only on proper audience targeting but also on other factors. Visually appealing and relevant ad content, including images, videos, and text, impacts its effectiveness.
Campaign strategy also plays a significant role. It involves considering the proper campaign setup, budget allocation, and ad type selection.
Continuous monitoring and optimizing ad performance, including testing different creative and targeting strategies, is essential for maximizing return on investment.
How does the Facebook ad auction system work?
Facebook also operates an auction system similar to Google, where advertisers compete for ad space. The one with the highest total value wins the auction. Three main factors determine the total value and decide which ads are shown to users:
- Bid – The amount an advertiser is willing to pay for an action, such as a click or impression.
- Ad Relevance and Quality – Facebook evaluates ads based on their quality and relevance to users, taking into account user feedback too.
- Estimated Action Rates – The likelihood that a user will perform the desired action/conversion, such as clicking on the ad or making a purchase.
Where do Facebook ads appear?
Facebook ads appear in various locations and formats. The placements include:
- news feed – Ads appear among posts from friends and pages that the user follows.
- right column – These ads are located in the right column on desktop devices. They are smaller and less prominent than News Feed ads, and it is not possible to add a call-to-action button.
- stories – Ads appear between users’ stories and are typically full-screen in a vertical format, making them visually engaging.
- Marketplace– This section is designed for buying and selling products. Ad space is created among the individual listings.
- in-stream videos – This type of ad appears before or during video playback (similar to YouTube ads).
- Messenger – The ad looks like a regular message in the app’s main conversation list. When users click on it, they see information with options, and you can start a chat with them.
- Facebook Search Results – Ads also appear within the search results when searching for specific keywords.
- Facebook Instant Articles – This feature allows publishing articles directly on the platform, where ad space can appear within the articles.
A step-by-step guide to launching an ad on Facebook
Launching an ad on Facebook involves several steps. Here’s a guide on how to do it:
1.Create a Facebook Business Account – Visit Facebook Business Manager and create an account.
2. Add your business page to Business Manager – This allows you to manage your marketing and advertising activities.
3. Create an ad account – Directly in Business Manager, open Facebook Ads Manager, where you will manage your ad campaigns.
4. Create an ad campaign – In Ads Manager, click the green “Create” button in the top left corner. Choose a campaign objective that best matches your marketing goal, such as brand awareness, product demand, or conversion.
5. Set up the campaign – Enter the campaign name and optionally choose A/B testing or campaign budget optimization. Select either a daily budget or a total budget and set its amount.
6. Create an ad set – Enter the ad set name. Decide where your ads will be shown (Facebook, Instagram, Messenger, or Audience Network).
7. Define the target audience – Identify the audience based on demographic data, interests, and behavior.
8. Set the budget – Determine how much you want to spend on the ad set and when you want the ads to be displayed.
9. Create the ad – Choose the ad format (image, video, carousel, slideshow, collection). Upload the images or videos you want to use. Add text, a headline, a description, and a call-to-action (CTA). To track ad performance, add tracking pixels and select relevant conversions.
10. Review and launch the ad – Review all details before launching to ensure everything is set correctly. If you are satisfied, click the “Confirm” button, and your ad will be submitted for approval.
11. Monitor and optimize – Use Facebook Ads Manager to track ad performance with key metrics like clicks, conversions, and ROI. Based on performance, make adjustments and optimize your ads for better results.
Which Facebook ad formats to choose?
Choosing the right ad format on Facebook depends on your campaign goals, the type of content you have available, and your target audience’s preferences.
Facebook offers several ad formats, each with its specifics and advantages. Here are the main ones and recommendations for their use:
Image Ads
It is a simple ad featuring a single image and a short text. It is suitable for increasing brand awareness, delivering a quick message, promoting a sale, or organizing an event.
We recommend using high-quality and visually appealing images that grab attention.
Video Ads
A video ad (GIF, Stop Motion, or traditional video) can last from a few seconds to several minutes.
However, it should not be too long, as people’s attention spans diminish every second. Use it to tell a story, showcase a product in action, or evoke emotions.
Opt for short, engaging videos that capture attention in the first few seconds.
Carousel Ads
A carousel ad with multiple images or videos lets users swipe through the content.
It is suitable for showcasing multiple products, different aspects of a single product, or steps in a process.
Include various images/videos with links leading to different pages or products.
Stories Ads
This type of ad appears between users’ stories in a vertical format. It is used for quick and engaging messages and authentic and informal content.
Create visually striking and short videos or images with music, or use interactive features like polls, quizzes, and other tools offered by social networks.
Slideshow Ads
This type of ad uses a series of static images, text, and sound to create a video presentation. It is chosen for situations where a full video cannot be used, but a more dynamic format than a static image is desired.
Use high-quality images and add engaging music or a voiceover.
Collection Ads
It combines video or images with products from your catalog and allows users to browse and purchase products directly from the ad.
This ad format is suitable for e-commerce and showcasing a product collection. However, it only works on mobile devices.
Ensure that the first visual is highly attractive to draw users in to view additional products.
Messenger Ads
It appears directly in the Messenger app but cannot be targeted at audiences younger than 18. It is used for personalized communication, sales support, and customer service.
Use a direct call-to-action and offer an option for quick interaction.
In-Stream Video Ads
Short video ads that play during longer videos on Facebook help increase brand awareness while users watch videos.
Keep the ads short and engaging to avoid irritating viewers.
Poll Ads
Ads that include a poll with two options encourage interaction, help increase user engagement, and gather preferences or opinions from the audience.
Use relevant questions that encourage participation.
AR Ads
Ads that allow users to try products using augmented reality provide a fun and interactive way to showcase products.
Ensure that the AR features are easy to use and add value for the user.
Branding, webpages and online marketing
We help creative ideas grow.
Trends and updates in Facebook advertising
In the field of Facebook advertising, new trends, and innovations are constantly emerging that can help advertisers achieve better results and manage their campaigns more effectively.
One of the biggest changes in Facebook advertising is the growing impact of AI and machine learning. The platform uses AI to optimize ad placements to appear where there is the highest likelihood of user interaction.
Automation brings greater efficiency and accuracy in managing ad campaigns. It allows for setting rules to automatically adjust campaigns based on performance, such as increasing the budget for good performance or stopping ads for poor performance.
The increasing emphasis on privacy also impacts advertising. New tools and settings give users more control over which ads they see and how their data is used.
Optimization of Facebook ads
Optimizing Facebook ads is a key step in achieving the best possible results from your campaigns.
It is essential for maximizing return on investment (ROI), improving ad performance, reducing costs, and enhancing targeting.
The process involves continuous monitoring, adjusting, and improving ad elements based on performance and feedback.
How to optimize campaigns on Facebook?
target audience optimization – Use demographic data (age, gender, education, and occupation) and target users based on their interests, behaviors, and life events. Also, set the geographic area where the ads should be displayed.
creative elements selection – Use visually engaging content that captures attention and engages the audience.
Try different ad formats such as images, videos, carousel ads, and stories to determine what works best for your audience.
Call to Action (CTA) – The CTA should be specific and motivating (e.g., “Buy Now,” “Sign Up,” “Get a Discount”).
budget and bidding strategy – Use Campaign Budget Optimization (CBO) to automatically redistribute the budget among ad sets based on their performance. Facebook will ensure that the most effective ads receive more funding.
You can also use manual bidding for cost-per-click (CPC) or cost-per-thousand-impressions (CPM) to achieve specific goals with greater cost control.
performance monitoring and analysis – Use Ads Manager to track key metrics such as CTR, conversions, cost per conversion, and more. Regular monitoring allows you to quickly respond to changes in performance.
utilize reports and insights – They help identify trends and areas for improvement, giving you a better understanding of audience behavior and optimizing your ads.
importance of A/B testing – A/B testing is a crucial element of optimization. It involves comparing two versions of an ad or campaign elements to determine which version delivers better results.
How to integrate Facebook ads with other channels?
Integrating Facebook ads with other marketing channels requires a coordinated strategy and diligent performance tracking.
By leveraging the synergy between different channels, you can enhance the effectiveness of your campaigns, increase user engagement, improve customer experience, and boost return on investment.
Remember, the key is consistency and collaboration among all components of your marketing strategy. Effective integration involves:
With email marketing
Create a custom audience from your email contact list and show them personalized ads on Facebook. Use email campaigns to promote your Facebook pages and ads, and conversely, use Facebook ads to gain new email subscribers.
With contentmarketing
Use Facebook ads to promote blog content, videos, and other media to increase reach.
With SEO and SEM (Search Engine Marketing)
Synchronize the keywords used in your SEO and SEM campaigns with those used in your Facebook ads to achieve a consistent message. Use tools like Google Analytics to track the performance of your Facebook ads and their impact on both organic and paid traffic to your website.
With offline marketing
Use Facebook ads to promote offline events such as conferences, workshops, or sales events. Create an audience on Facebook from people who attended your offline events and show them special offers or updates. Include QR codes in printed materials that direct people to your page or a specific ad.
Collaboration with influencers and partners
Leverage influencers to promote products or services on Facebook. Allow them to share your Facebook ads on their pages to reach a broader audience. Also, collaborate with other brands on joint campaigns or contests and promote each other through Facebook ads.
Automation and analytics
Integrate CRM systems with Facebook ads to track and manage customer relationships more effectively. Set up automated rules and workflows to synchronize your campaigns across different channels. Use centralized data analysis tools such as Google Analytics or HubSpot to monitor campaign performance across all channels.
Branding, webpages and online marketing
We help creative ideas grow.
How to evaluate Facebook pay-per-click ads?
Facebook pay-per-click (PPC) advertising requires thorough monitoring, evaluating results, and analyzing various metrics. It is an ongoing process.
1. Set explicit goals
Before starting a campaign, you need to define what you want to achieve. Goals may include increasing website traffic, generating leads, boosting sales, or raising brand awareness. Clear goals will allow you to focus on specific metrics and assess the success of the campaign.
2. Tracking key metrics
To evaluate Facebook PPC ads, you need to track various metrics that provide insights into campaign performance. The most important ones include:
- Click-Through Rate (CTR) is the percentage of people who clicked on your ad after seeing it. A high CTR indicates that the ad is relevant and engaging for the audience.
- Cost Per Click (CPC) is the average price you pay for each click on your ad. A lower CPC means more efficient use of your budget.
- Conversion Rate (CR) is the percentage of people who completed the desired action (e.g., purchase, sign-up) after clicking on your ad. A higher conversion rate suggests that the ad is effective in achieving its goals.
- Cost Per Conversion (CPA) is the average cost to acquire one conversion (e.g., purchase or sign-up). A lower CPA means better campaign efficiency in driving conversions.
- Return on Ad Spend (ROAS) is the ratio of revenue generated from ads to the cost of those ads. A higher ROAS indicates a better return on your advertising investment.
- Engagement refers to the number of interactions (likes, comments, shares) with the ad. A high level of engagement means the ad resonates with the audience.
3. Using Facebook Pixel
Facebook Pixel is a tool that allows you to track user activities on your website after clicking on an ad. It helps you track conversions, create custom audiences, and optimize ads.
4. A/B testing
You can compare different images, texts, CTA buttons, target audiences, and other elements. Implement the winning elements into your campaigns.
5. Regular analysis and adjustment of campaigns
Based on the data collected, regularly analyze and adjust your campaigns. Monitor which ads and target audiences are achieving the best results and adjust strategies based on these insights. Important steps include optimizing the budget, adjusting target audiences, and improving creative elements.
6.Integration with other tools and channels
To evaluate the performance of Facebook PPC ads, it’s useful to integrate Facebook Ads Manager with other analytical tools, such as Google Analytics, CRM systems, and marketing automation platforms. This way, you can gain a comprehensive view of campaign performance across various channels and better understand audience behavior.
How much does Facebook advertising cost?
Facebook advertising uses an auction system where advertisers set a maximum price they are willing to pay for a click, impression, or action. The system then selects ads based on their bid and relevance.
There are different payment models:
- Cost Per Click (CPC) – The cost can range from €0.20 to €1.50, depending on competition, target audience, and ad quality.
- Cost Per Mille (CPM) – The cost typically ranges from €5 to €15, but it can vary depending on the target market and time period.
- Cost Per Action (CPA) – The cost ranges from a few euros to several dozen euros, depending on the value of the action and competition.
Factors affecting the cost of Facebook ads
There is no specific answer regarding the cost of Facebook ads as it depends on several factors:
- campaign objective – Ads aimed to increase awareness may be cheaper as they target a broad audience. Conversely, ads focused on generating leads or sales are more expensive because of their goal for specific actions.
- target audience – Costs can vary based on demographics, interests, audience behavior, and geographic location. Ads targeting developed markets may be more expensive compared to less competitive regions.
- ad quality – Facebook assesses this through a relevance score. Higher quality can lower the cost because the platform favors relevant and engaging ads. Creativity, or how captivating and interesting the ad content is, is also a factor.
- timing and seasonality – Seasonal factors, such as holidays or pre-holiday periods, can increase costs due to higher competition among advertisers.
- budget and bidding – A higher budget and competitive bids can improve the chances of achieving objectives but may also increase overall costs.
Facebook advertising pricing
The pricing for Facebook advertising is not fixed and can vary. Advertisers have the flexibility to set a daily or total campaign budget, allowing them to manage their spending effectively.
When planning advertising costs on Facebook, it is also crucial to consider VAT (Value Added Tax). Facebook charges VAT according to the local regulations of the country where the advertiser is registered. For example, in EU countries, it is usually necessary to provide a valid VAT ID to ensure correct VAT accounting.
How to pay for Facebook ads?
Paying for Facebook Ads is a straightforward process. Here is a detailed guide:
- Set up payment method – Log in to your Facebook account and open Facebook Ads Manager. Click on the “Settings” icon in the top right corner and select “Payments” or “Billing,” then click on “Add Payment Method.”
- Choose payment method – Facebook supports various payment methods, including credit and debit cards (Visa, MasterCard, American Express, Discover), PayPal, bank transfers, and local payment options (Sofort, iDEAL, or carrier billing, depending on the country).
- Set daily or total budget – Determine and set your daily or total campaign budget.
- Billing and payments – Choose between automatic or manual payments. Facebook will charge your account based on your chosen billing method and the performance of your ads.
- Track expenses – In Ads Manager, you can view detailed reports on expenses, invoices, and payments. You can set up notifications for when you reach certain spending thresholds or budget limits.
- VAT and taxes – Facebook may charge VAT based on the country where your business is registered. When setting up your payment details, you can enter your VAT identification number (VAT ID) to ensure proper VAT accounting.