How to Make Money with Facebook Ads13 min read

Facebook

If you feel like your Facebook ads aren’t delivering what they could – or if you feel like you’re wasting money through advertising – we are about to tell you exactly how to change this around.

During the course of this blog, you will learn:

So, why choose Facebook Ads?

A whopping 93% of marketers claim to use Facebook Ads.

Why?

There are a multitude of reasons we could give you, but the real clinch is that we can GUARANTEE you that your buyers are out there somewhere. Facebook has an immense and diverse number of active users, with an unprecedented 2.3 billion active monthly!

Essentially, your target market IS out there.

But the real clinch? You can streamline that faceless mass of 2.3 billion into a slick, efficient market that wants your product.

facebook monthly active users stats

You don’t need to be a marketing genius to figure this one out. It’s pretty clear that Facebook is the place to get your product in the public eye.

So, your audience is already there, waiting to be sold to. You just need to capture them…

How do you do this?

With…

Precision Targeting

The main weapon up Facebook’s sleeve is its ability to target your ads at the right people. Setting this up is one of the first things you need to do.

remarketing performance graph

The more specific and accurate your targeting, the better positioned you will be for generating sales.

It really is that simple! So how do so many professional marketers get it wrong?

We’ll let you in on a secret here.

One of the main reasons many marketers fail with Facebook ads is because of inadequate retargeting strategies.

Re-targeting helps to improve your conversion rates by attracting anyone who didn’t purchase on your site the first time they visited.

It’s important to re-target, you can reel back in customers who may have gone to check-out on a page but have, for whatever reason, changed their minds.

Have you ever found that, after looking wistfully for flights for your summer holidays, you suddenly find Facebook littered with ads for cheap escapes and exotic destinations?

This is re-targeting in action.

By re-targeting to those potential leads, offering discounts or offers, you can dramatically improve your chances of reigning in more sales.

Re-targeting is a particularly complex marketing subject, but get to grips with it with our blueprint on YouTube Re-targeting 101.

Use Custom Audiences to Achieve the most from your Campaigns

Something many fail to notice is that to help you target your Facebook ads, you can create a custom audience tailored to that very advert.

Before setting up your ads, it helps to be crystal clear about who your target audience is, as well as being clear on the demographics.

Creating a custom audience opens your adverts up to a specifically targeted group that are likely to be interested in buying your products.

To create a custom audience, Facebook gives you a number of options:

  • Create a customer audience from a customer list.
  • Create an engagement custom audience; these are audiences made up of people who have engaged with your service before.
  • Create a custom audience from your website; this differs from an engagement custom audience as a ‘Facebook Pixel’ is used to keep track of those who have engaged with your site. Facebook Pixels can seem complex tools, but use them effectively and you will see unbelievable results.
  • Create a mobile app custom audience.
facebook custom audiences example

Alternatively…

When you go on to create an ad, on the page ‘Create new ad set’ and under the heading ‘Audience’, you can begin customising the audience you want to see your ad.

For example, if you were selling men’s football boots, you can start by detailing that your audience will be men within the UK, between the ages of 18 and 38 in order to reduce the number of ads going through to an audience that would have no interest in your product.

There are further details you can input about your audience further down the page such as interests, further demographic features, etc.

The trick is to find a balance between an audience that is specific enough to only connect with people who will have an interest with the product, whilst being careful not to limit the reach of your ad.

Ideally, the audience size meter will look like this:

To learn more about custom audiences, try our Facebook Mastery Course and be at ease with all the intricacies of marketing on this platform.

Defining your audiences with effective targeting

Once your audience has been created, you need to start targeting your ads at those who are more likely to be interested in your product.

Using the ‘Audience Insights’ tool, you have the ability to quickly and easily see what sort of people, down to a minute level, are interested in a certain subject.

You can see the age, relationship status, location etc., of people who have expressed an interest in a particular subject.

In your ads manager simply click on menu on the top left, click all tools, then under plan click audience insights.

Continuing with the football boots example, under interests you may want to include ‘football’, and as you want people interested in playing rather than simply following the sport, ‘physical exercise’.

facebook audience gender

With this information at hand, you can easily see that for example, it would be sensible to target those aged 18-44. You can learn from this data, as you can see that 52% of audience members are women, you may want to expand your range from men’s to including women’s football boots. Depending on your business, these results will teach you different things about your audience.

Another feature of the Audience Insights tool is the ability to see what pages your audience likes, and would therefore be a productive place to advertise.

Pages that display as having the highest ‘affinity’ are best to go with if you want to target with precision.

Another invaluable tool that Facebook audience targeting involves is the ability to create a ‘Lookalike Audience’.

This would be the result of taking say, 1000 existing customers who have already used your service, analysing their behaviours, demographics, hobbies, relationships, and finding a fresh 1000 people who match those characteristics.

A lookalike audience is essentially an audience of ready-made customers for you to target your ads at.

Understanding Budget and Bidding to get Maximum results on Facebook

facebook bidding example

Your budget is essentially how much you want to spend on your Facebook campaign.

The key thing to remember here is that you can set your budget to a:

Daily Budget:

If you set your daily budget to say, $10 per day, this would allow Facebook to spend as much as 25% over your daily budget in order to optimise sales on a particular day, whilst spending 25% less on other days to average this at $10 per day.

Lifetime Budget:

With this option, Facebook will pace your budget evenly day-by-day, rarely fluctuating.

In this example, you would be spending £1000 during a year-long campaign.

Bidding is where your budget GOES. You can alter what you want Facebook to prioritise and therefore how it charges you. You have two main options:

  • CPM (charge-per-thousand impression): This method of bidding involves Facebook charging you per thousand impressions an ad makes. An impression is simply your ad being displayed, whether it is clicked or not. CPM bidding is unpredictable BUT can be effective if your main aim is to increase brand awareness.
  • CPC (charge-per-click): You guessed it. In this instance, Facebook will charge you every time your advert is clicked. What you want from this is a high CTR (click-through-rate) as this will ensure a low CPC. This will mean Facebook will be more likely to show your ad, therefore you must make sure your ad is relevant.

Every Facebook Campaign is different, so it can be difficult to work out the ins and outs of your own campaign.

Once you have a good formula, you will have to constantly tweak and perfect it, but it will deliver great results.

1. Creating Killer Facebook Ads

why use dynamic ads

Facebook is a highly visual platform.

An attractive ad can capture the attention of an extraordinary number of people.

For this reason, your ad must be visually appealing.

Facebook prioritises ads with a high CTR, get people clicking! But be careful where you place ads. Those that annoy and put off audiences receive low relevance scores and are unlikely to be shown.

Over 2 billion people use Facebook, so your target demographic is bound to be on there. Your role? To make sure you’re targeting them with accuracy.

You need to target to the people who are likely to buy from you.

After all – what good are your ads if they’re being shown to people who will take no interest?

I’ve seen countless examples of companies producing fantastic looking ads with enticing copy – only to see that they haven’t customized their target audience.

Whilst their click through rates might look great, their conversion rates will be minimal.

And the worst part? Poorly targeted Facebook ads can cause you to lose money.

If you’re advertising a product in front of the wrong customers, even if they do click on your ad, this will cost you more money.

Remember, you’re paying Facebook a rate for a Cost-Per-Click, so you’re more likely to lose money if people are clicking and not converting.

facebook carousel ad example

A couple of basics:

  • Show off your product, people like to see what they’re buying.
  • Make use of offers! Nothing entices a customer more.
  • Use BOLD, BRIGHT colours and stop people from scrolling mindlessly past.
  • Use ‘Call-to-action’, more on this below.

If you don’t have much experience creating visually appealing ads, then a couple of options include:

  • Research competitors and leading influencers in your field to see how they advertise for some inspiration.

Or

  • Call upon a graphic designer to help you create eye-catching ads that are true to your brand.

Get creative with your ads! Trying out various styles, colors and formats may well enhance your results.

Make use of carousel ads, the cutting edge and effective way to get your ads noticed.

2. Create a CTA that gets NOTICED

Don’t forget your Call-to-action (CTA)!

This should always be clearly displayed on your ad:

facebook instant experience example

Using Call to Action buttons can help to increase the click-through rates on your Facebook ads.

In fact, using the Facebook CTA button can nearly triple your click-through rates.

CTA’s are those buttons you see on Facebook ads that say Learn More, Shop Now or simply Click Here.

Encourage your audience to take action once their eye has been caught by your ad, and nudge them on the next step towards completing a purchase.

Make sure your CTA is BOLD and EYE-CATCHING. Choose a bright color that stands out from your Ad.

3. Testing what works and what doesn’t

Experimenting with your ads is an important part of creating the right campaign. A winning ad will most probably have been through various split testing.

You need to know which ads work, and which ads are simply not converting and wasting your money.

By testing different versions of your ads, you can see what works and make improvements on future campaigns.

You could test the same ad on two different audiences for example, or test two delivery optimizations to find out which generates better results.

Split testing can be done with Ads Manager. You can use the platform to set objectives, variables and a budget.

facebook single image ad example

Create various versions of the same ad.

By split testing your campaign, you can then see which ads generated the best conversions and performed the best overall.

This will give you a better understanding as to what type of ad works best currently for your audience. We say currently, because over time this may change, which is why split testing should be done regularly!

To understand the effectiveness of your ad, you’ll need to look at key metrics such as the CTR. For example, a low CTR is clearly a strong indicator that your ad needs some tweaking.

Here are some average CTR’s per industry. With Facebook you can easily and quickly compare your own CTR to our list, and check whether your ad is over or underperforming!

Once you have established this, tweak away at your ads!

4. To Conclude

The absolute key to advertising on Facebook is in knowing how to take advantage of the many functions that the platform offers. Give some of our pointers a go: you may see an increase on your ROI (Return on Investment)!

If you’re keen to know more about how your Facebook ads are making you money, try our Facebook Ads Mastery Course, and realise the potential of the most powerful marketing platform in the world.

Subscribe to our Blog!

163,479 Digital Marketers Already Have a Head Start… Don’t Be Left Behind!

Menu