Back to Learning Center
Subscribe
Join 40,000+ sales and marketing pros who receive our weekly insights, tips, and best practices.
Thank you! You have been subscribed.
Learning Center
Learning Center
Close
The IMPACT Learning Center

Free resources to help you master inbound marketing and They Ask, You Answer

Access the Learning Center

Access the Learning Center

Access the Learning Center
learning_center_grey__What is They Ask, You Answer-v2-black

What is They Ask, You Answer

What is <span>They Ask, You Answer</span>
Articles, Podcasts, & Updates

Articles, Podcasts, & Updates

Articles, Podcasts, <span>& Updates</span>
Free Courses & Certifications

Free Courses & Certifications

Free Courses & <span>Certifications</span>
On-Demand Keynotes & Sessions

On-Demand Keynotes & Sessions

On-Demand <span>Keynotes & Sessions</span>
Events
Events
Close
IMPACT+ Membership
IMPACT+ Membership
Close
Services
Services
Close
Navigation_8_2021_taya

They Ask, You Answer Coaching & Training

They Ask, You Answer Coaching & Training
They Ask, You Answer Workshop

They Ask, You Answer Workshop

They Ask, You Answer Workshop
Navigation_8_2021_workshop

Inbound Marketing Services

Inbound Marketing Services
Navigation_8_2021_website design - monitor

Website Design & Development

Website Design & Development
Navigation_8_2021_hubspot implementation

HubSpot Training & Implementation

HubSpot Training & Implementation
Navigation_8_2021_virtual selling

Virtual Sales
Training

Virtual Sales <br>Training
Navigation_8_2021_swell - paid ads

Paid Search & Social Services

Paid Search & Social Services
Become a Certified Coach
Become a Certified Coach
Close
Facebook Ads

How Effective is Facebook Advertising? The Truth About Facebook ROI

By Ali Parmelee

How Effective is Facebook Advertising? The Truth About Facebook ROI Blog Feature

Since its founding over a decade ago, Facebook has grown from an online novelty for Ivy League undergrads into a global powerhouse that affects the day-to-day lives of almost everyone in the country. The fuel behind this unprecedented rise has been advertising.

The social network generated almost $27 billion in advertising revenues in 2016, up from only $764 million in 2009—an increase of over 3,400% in the space of less than a decade.

There are plenty of businesses using Facebook for advertising (and spending a pretty penny to do so). But lots of businesses using Facebook to advertise isn’t the same as all—or even most—of those businesses seeing a positive return on their investment.

Popularity aside, how effective is Facebook advertising really? When every marketing dollar counts, this question is vital. Every business will see their ultimate return differ based on investment, industry, ad quality and other variables. The only surefire way to know the exact ROI that Facebook advertising will generate for your business is to try it out and calculate based on the results.

If you’re still on the fence about getting started with Facebook advertising and want some more information to help make an informed decision, we’ve got you covered.  


“Improve your #ConversionRate with #FacebookAds hyper-targeted custom audience feature” TWEET THIS  


Facebook Ad Campaign Strategies to Boost Your ROI

Now that we've shown you that Facebook certainly can provide a positive ROI, there’s still the small matter of planning and executing an effective campaign. While you may be comfortable using Facebook, building Facebook advertising campaigns is a completely different thing. Most businesses get themselves into trouble by underestimating the platform and system and then overspending to get results. Facebook Ads are, in fact, the most sophisticated advertising platform available right now. Just because it's accessible, doesn't mean it's easy to use...properly.

So where should you begin? Here’s what you need to know to get started:

Track properly. 

The most critical place to start is with your Facebook Pixel. By installing this snippet of code on your website, it allows you to specifically target visitors to your site based on their engagement with your brand. For example, if you want to target someone who has been on your pricing page, gallery or even filled out a contact form on your website with Facebook ads, you can. But be careful—while this seems simple enough, proper installation of the Facebook Pixel alludes many and is essential.

Build ads around your goals. 

Facebook’s advertising platform lets you create ads based on any of 12 specific objectives, each of which is categorized by stages in a basic marketing funnel—Awareness, Consideration and Conversion. Knowing which is your priority will not only let you build your ads to the best possible effect, but accurately gauge your ROI as well.

Target audiences specifically and accurately. 


Facebook allows you to target consumers with remarkable precision, by creating custom audiences defined by metrics like age, gender, location, interests, occupation, income and many more. But it goes so much further than that, your business can target based on behaviors. MedSpas can target people who are not only a certain age, but who like name brands of dermal fillers or medical aesthetics before and afters. Boutique hotels can target people traveling to their area, who have used travel apps within the last 30 days. And e-commerce businesses can absolutely target based on historical shopping behaviors, tapping into consumers that are likely buyers of skin care products based on their actual past purchasing behavior. No matter what you’re promoting or selling, you can create a custom audience or audiences that will deliver your ads directly to the people you need to see them.

Be creative. 

Facebook users are bombarded by advertisements 24/7, and not just on social media. It's important to remember that people aren't there to be sold to—they're there to watch cute cats, their friend's kids in the school play and maybe even check up on an ex. In order to stand out you’ll need to deliver great content that genuinely appeals to your audience. That means amazing, succinct copy, striking visuals and engaging video content are key.

Always be monitoring. 

Facebook’s low minimum budget of $5 and the short half-life of social content make for a platform that’s uniquely suited to aggressive testing. Facebook ads are never a "set it and forget it" tactic. It is critical that you constantly monitor and review your progress. Very rarely will you build a campaign and it instantly produces the results you set your goals on. Your campaign needs to optimize itself, which means that your results will usually cost more in the beginning. But knowing how to manage the campaign to drive down your CPM (and even some of the most important hacks to do this) is the difference between wasting thousands of dollars or having a successful Facebook Ads campaign with stellar ROI. 

As more people end up on Facebook and more of your competitors start trying to target them, Facebook advertising is going to become less an issue of “if” or “when” for your business, and more one of “how well.” The options are endless, from simple lead generation ads to comprehensive multi-step ad funnels for lead nurturing and conversions. Dabbling will only waste your time and money. The most important thing is to get started sooner than later and be willing to treat Facebook Advertising as the powerful platform that it is for your business and make it a staple of your marketing plan. 

 

Topics:

Facebook Ads
Published on February 28, 2018

Recent Articles

ICYMI: Digital marketing news update for July 19, 2021

By Liz Moorehead on July 19, 2021
6 min read

ICYMI: Digital marketing news update for July 12, 2021

By Liz Moorehead on July 12, 2021
5 min read

ICYMI: Digital marketing news update for July 6, 2021

By Liz Moorehead on July 6, 2021
5 min read

ICYMI: Digital marketing news update for June 28, 2021

By Liz Moorehead on June 28, 2021
6 min read

ICYMI: Digital marketing news update for June 21, 2021

By Liz Moorehead on June 21, 2021
5 min read

ICYMI: Digital marketing news update for June 14, 2021

By Liz Moorehead on June 14, 2021
6 min read

ICYMI: Digital marketing news update for June 7, 2021

By Liz Moorehead on June 7, 2021
6 min read

ICYMI: Digital marketing news update for May 24, 2021

By Liz Moorehead on May 24, 2021
6 min read

ICYMI: Digital marketing news update for May 17, 2021

By Liz Moorehead on May 17, 2021
5 min read

ICYMI: Digital marketing news update for May 10, 2021

By Liz Moorehead on May 10, 2021
6 min read

Marketers, Facebook Analytics will be no more on June 30, 2021

By Liz Moorehead on April 2, 2021
2 min read

Facebook ads vs. boosted posts: Which is more effective in 2021?

By Ali Parmelee on March 23, 2021
3 min read

Google Ads vs Facebook Ads: Which is better for your 2021 ad strategy?

By John Becker on February 19, 2021
11 min read

How to maximize lead generation via Facebook posts and ads

By Myriah Anderson on January 18, 2021
4 min read

Facebook Ads removing 28-Day attribution model, defaulting to 7-day

By Joel Waggener on October 15, 2020
2 min read

Facebook and Instagram Messenger merge; expands marketing potential

By Shandia Drummond-Butt on October 5, 2020
2 min read

3 costly mistakes brands make with Black Friday and Cyber Monday Facebook and Instagram ads

By Ali Parmelee on September 30, 2020
6 min read

Facebook ad 20% text limit is now a thing of the past

By Joel Waggener on September 28, 2020
3 min read

Facebook is removing 1,000+ ad targeting options because of low usage

By Joel Waggener on August 19, 2020
3 min read

How to turn strangers into customers (and friends) with Facebook Ads [AdvertiseMint CEO Brian Meert Interview]

By John Becker on August 19, 2020
5 min read

Boutique clothing brand sees 99% revenue increase with new paid ads strategy

By Dan Baum on August 6, 2020
5 min read

Google: Black Friday and Cyber Monday will be different in 2020 for e-commerce

By Katie Pritchard on July 30, 2020
4 min read

Apple's privacy update: What does it mean for your mobile ad strategy?

By Eric Choma on July 24, 2020
2 min read

Data privacy update: How the CCPA affects you and your paid advertising

By Dan Baum on July 15, 2020
4 min read

The North Face kicks off Facebook ad boycott

By Nick Bennett on July 6, 2020
3 min read