You open your Facebook Ads manager software and before starting you wonder:
How much will my ad cost?
And the fact is that there is no straight answer to this question.
Why? Because of the very nature of Facebook advertising system.
Here’s what I mean:
Facebook Ads are not based on a static transactional system (ie. I give you my money in exchange of an Ad impression). It’s a bid-based system.
Yes, much like eBay.
Forget old-school advertising strategies where you receive a rate card from a magazine or a newspaper. You know exactly what you are buying and for how much.
Social media advertising is a fast-paced, dynamic world.
The questions now are: what are you bidding for and who are you bidding against?
There are only a number of ads Facebook is ready to show to a given user in a given time frame.
And as you guessed, there are many marketers that want to get that space. So who is willing to pay more for it, will get it.
It sounds simple, but it’s not.
There are many factors that affect how this system works and ultimately how much your ad will cost. And most of them are manageable within your Facebook Ads Manager software.
Does your target audience really impact your costs? (hint: the answer to this question can help you optimize your budget on Facebook ads manager software)
Let’s start by figuring out who is competing for your same audience.
Let’s say you sell kitchen tables. You are probably competing with other furniture providers, right?
The same woman in her 40s, with a passion for interior design, that is looking to renovate her kitchen is also very much into yoga, she loves traveling and would love to take writing classes.
Do you see the complexity? Our customers have many interests, and we are competing with every other advertiser for that same spot on their newsfeed!
For this reason, different audiences will have different costs depending on how sought after they are.
Before you start rushing to your Facebook Ads Manager software to look for the cheaper audience, wait!
You shouldn’t pick an audience for its cost but for its relevance. In the long run, it is relevance that will guarantee the success of your campaigns.
If you sell tickets for a festival featuring the latest boy bands, probably you should stick with teenagers. Even if you find out that single men over 65 are cheaper.
So what’s the bottom line?
First and foremost, always do your homework when it comes to identifying your buyer personas. Then fine tune your targeting within the Facebook Ads Manager software.
A strong message and a clear target are the keys to any successful campaign.
Then keep in mind who you are competing against in Facebook’s bidding war. This will help you experiment with audiences within your target to see what works best.
Unfortunately, that’s not all. In the next post we will explore more in detail what else you should know to lower your conversion costs ad manager on Facebook.