The cost of Facebook ads differs based on several factors, like target audience, goals, industry, settings of optimization, and many more. Small, as well as large companies, want to invest in advertising on the Facebook platform because the companies want to win big money online after getting positive responses from the targeted audience.
However, the problem is that Facebook charges for advertisements are increasing day-by-day. The rising CPAs (Cost per acquisition) are a real worry for advertisers, and they are looking for a different way to curtail the cost for the same. Several social account managers have agreed that it is common to expect CPAs ranging from $5 to $10.
If you are looking for ways to reduce Facebook ad CPA, then read the following 6 tips to save money on Facebook ads:
1. Target a More Specific Audience
An important aspect that advertisers must never forget is audience targeting. In order to lower Facebook CPA, creating a laser targeted audience is essential.
By creating highly specific Facebook audiences, you can have extremely targeted campaigns that increase impact & reduce ad costs. An important fact to be remembered – “It is a bidding war with several other brands – so bid only on whom you want to reach.”
Think of Facebook ads like your product introduction, you want to customize your introductions to meet the needs of each individual you meet. With laser targeted Facebook Audiences, you create specific segmented groups that allow you to send personalized ad content that will deliver the most impact. This means that you can appeal to people from a specific geographical area, age group, sets of interest, demographic, etc.
Lastly, if your target audience is similar to what several other competitors target, then the ad cost is higher. So, it is advised to target a niche with lesser competition because the ad costs will be cheaper.
2. Look for Audience Overlap
When your target audience consists of more than one section, then it is a good idea to check if the audiences are overlapping significantly. If you have an audience overlap, then it is a good idea to exclude those particular audiences. Otherwise, you will be bidding against yourself at the Facebook auction.
After having finalized the audience, a quick check on the Facebook Audience Overlap Tool can be done. This is essential because having high overlap means you’re paying more money for reaching the same person.
3. Set up Your Facebook Pixel
One of the important tips for advertisers is to set up a Facebook pixel. This can be done quite easily by just adding a few lines of code on your website. Tracking conversions and collecting user data with the Facebook Pixel will help you indefinitely in future endeavors.
Analyzing data and optimizing funnels is essential to fine-tuning your inbound marketing process. If you want to lower the cost of your Facebook ads then collecting data is vital.
4. Test Different Creatives
It’s highly recommended to do copious testing on Facebook. Testing Ad creatives & copy helps you understand which Facebook Ad Campaign produces the most.
A/B Testing on Facebook Ads Platform allows you to run more than one ad at the same time with the same budget. Even if you are well aware of your target audience, tiny refinement in the chosen image, call to action, ad copy, etc. can create a large difference over time.
Spotting trends in the performance of ads can be done by using a different combination of images and texts. Data-driven crafting of an ad is the best way to bring out the best in a limited ad budget. Testing can be done by starting with the image, followed by the heading and then the text. Changing a small thing can have a dramatic effect on the cost per conversion of the Facebook ad.
5. Target Fans Separately
Experts have advised separating your consumers who are connected with your Facebook page and treating them as an independent fan audience. Creating direct retargeting campaigns that are dedicated particularly to them. This can also be done for people who visit your website traffic and leads.
It is also good to exclude fans of the Facebook page, who are not included in your targeted audience. The reason behind this is that Facebook fans have been shown to be the best-performing audience in terms of engagement and conversion rate.
To ensure that all the fans of Facebook are reached, the best way to do so is by creating a different audience for Facebook users. A perfectly segmented account helps in identifying where the opportunity lies, and thus, spend the money on the best audience.
6. Refresh Your Creative
To stay away from ad fatigue, it’s best to refresh Facebook ad creatives once every two weeks. One of the biggest problems advertisers face is not monitoring successful ads. Not monitoring winning ads lead to ad fatigue. This means that the audience has reached a point where they have become familiar with the ad. Ad fatigue leads to a drop in performance & impact of the ad. To prevent this, the advertisers must report on the metrics daily to follow their ad level.
A Facebook ad has become quite necessary to reach a larger base of audience, and there is also a budget that needs to be followed. These tips will help you plan as well as reduce the Facebook ad costing per acquisition. Also, with experience, you will understand why these tips are important to get success in this highly competitive world. Do let us know how these tips helped you.
Thomas Glare is a freelance blogger. Through his extensive research, he has written many articles and blog posts about digital marketing and how to yield results in a short period. Thomas spends time interacting with important stakeholders in the marketing sector to get first-hand information.