In this in-depth article, you will learn how to lower cost for Facebook advertising the right way for your businesses.
As you read this, it’s critically important to bear in mind that the low cost and high ROI is just one of the many benefits of advertising on Facebook.
The ad platform itself offers a sophisticated targeting system that you can use to accurately narrow down to your target audience in a channel that boasts upwards of 2.4 billion active users.
That means you have the perfect opportunity to improve your exposure to your target market without servings ads to irrelevant users.
A casual look around reveals no other platform offers the same.
Effective marketing is all about reducing your advertising cost while maximising your returns.
It goes without mentioning that the Facebook ad system is also designed to help you meet different business goals, including
- audience engagement
- customer acquisition
- sales improvement
Let’s go over a few pointers on how to lower your minimize your Facebook advertising cost and increase your bottom line.
True Cost On facebook advertising
There are so many ways that Facebook could help you grow your business.
That explains why it’s never a miss with this platform.
But that aside, let’s talk about the cost of advertising on the platform.
As an advertiser looking to launch a Facebook ad campaign, the first thing Facebook will have you do is set a budget.
You have to specify how much you’re willing to spend on each day and during the entire course of running the campaign.
Next, you’ll be required to set a bid or the maximum amount of money that you’re willing to spend when a user clicks on your ad.
Their bidding system operates a whole lot like a typical auction.
The only difference is that with Facebook ads, the winner doesn’t necessarily have to be the highest bidder. Facebook works a little differently.
All it cares about is delivering content that is most useful and relevant to the underlying viewer.
The system is designed to take your bid into account. But it doesn’t just end there. It also has to consider the likelihood of the user acting on the ad altogether with the relevance and quality of the ad content before serving it to users.
Facebook has two bidding options
- the Cost Per Click (CPC)
- Cost Per Impression (CPM)
With CPC, you pay when someone clicks on your ad, whereas CPM charges you for every 1,000 potential customers that view your ad.
Looking at the CPM and CPC of advertising on Facebook, you can come up with a better idea of how much to spend on your Facebook ads.
According to a recent report, the average CPM for Facebook is $5.12, while the average CPC rests at $0.80. That’s about the costs for Facebook advertising.
Set aside a budget and avoid the pitfalls of overspending on Facebook advertising.
Facebook Advertising in Singapore
1. Be More Specific on who You’re Targeting
By narrowing down to a specific audience, what you’ll be doing is reducing the competition serving the same ad to a similar audience. Never forget the fact that you’re bidding against hundreds of other brands.
The last thing you want is to waste your bids on an irrelevant audience. For this, you want to make sure that you’re bidding on an audience with immense interest in your offering.
It’s also crucial that you tailor your ads to make it appeal to a more specific demographic with a particular set of interests.
In so doing, you’ll be increasing your chances of generating traction and gaining even more clicks.
2. Use Bid Caps
The more granular you are with targeting your audience, the more expensive your Facebook ads become. It’s common sense: Facebook is offering one of the most advanced targeting tools you’ll ever come across online.
But that’s not to say that their intentions are entirely pure. It’s still in their interest that you spend more.
You can, however, manage how much you spend through bid caps and rules. Look into the lifetime value of every single one of the leads you attract and work your arithmetic right.
3. Check if Your Audience is Overlapping
It’s simple: where your audience is overlapping, it helps to target the audience that’s most relevant to you.
Another approach would be to avoid bidding on this audience, lest you end up bidding against yourself.
For instance, when running an ad targeting ladies looking for handbags and another one targeting ladies interested in fashion; you may find that many ladies who are interested in handbags are also interested in fashion.
For this, you want to choose the audience that’s most relevant to your marketing goals and drop the other.
4. Set up Facebook Pixel
Facebook pixels refer to the few lines of codes provided by Facebook for you to copy and paste into your website to access customer data and track conversions.
You can use Facebook pixels to track what your customers are interested in, where they live, their earning, the number of kids they have, and so forth.
Facebook pixel is very detailed, and the information you gather could also help you target people with a real interest in your products and services.
5. Content Marketing
Above we’ve discussed paid advertising. When considering lowering costs for Facebook Advertising, it is important to remember that you can market in other ways on Facebook too.
You can create a Facebook page or Facebook group and provide users content on topics that they are interested in.
For example, there are many groups for dog lovers. You can provide information on dog grooming products there if that is what you sell.
By presenting relevant information to an already interested audience, you increase your chances of making a sale.
As this of marketing is non-intrusive, these prospects have very little resistance to learning about your products.
In fact, they welcome it because it is relevant to them.
Should You Hire a Facebook Ad Professional
Running a Facebook ad campaign is a snap.
Even the scrappiest of the marketers you know can still run the campaign. But there’s a massive difference between running the campaign blindly and running it like a professional who understands it to the core.
Using the ad platform effectively is complicated, especially if your primary goal is to lower the cost and increase the ad’s success.
Several key factors go into successful implementation and A/B Testing, that only a professional is in a position to get right.
That explains why many businesses in Singapore choose to partner with Blazing Conversions Digital Agency to lower their advertising cost and maximise returns.
Both small and big companies have a lot to benefit from the services of a Facebook ad agency.
First, the agency will help you lower the cost of running a successful ad campaign on the platform.
These experts understand the complexities of running a successful ad campaign. They also have a few tricks up their sleeves that work to increase conversion rates and ad relevancy.
They would also know how to combine different methods of advertising like using Chatbots on Facebook Messenger to improve your overall campaign.
At first, hiring a Facebook ad agency may seem like an expense.
But in actuality, it’s an investment that will pay for itself.
Besides improving returns, hiring a social media ad agency in Singapore will also help you save huge chunks of your valuable time and money.
You can focus on the more critical aspect of running your business, and let Facebook Marketing professionals assist you in your social media marketing campaign.