How to win with Facebook Ads

It’s easy to get link clicks using Facebook Ads, but most people can never prove that their ads are actually generating money.

The way to win with Facebook Ads, is to prove that your ads are generating your organisation revenue. In this article, I teach you the simple system of how you can prove your Facebook Ads are winning.

You need 3 successful elements, the Facebook Ad, a great landing page and the right data analytics.

There are three steps (or customer purchase stages), in order to win with Facebook Ads.

1. The Facebook Ad.
   The ad doesn’t have to be perfect. Don’t be fussy.
   It has to target the right people. Facebook offers many methods of targeting, they all can work.
   It has to be simple. Don’t make your viewers read too much, keep it simple, they don’t have much free time.
   It has to be valuable. People won’t click on your ad if there isn’t value. We’ve produced another blog and video on lead magnets already.
   It has to get reasonably cheap link clicks. If you’re getting link clicks from $0.50-$2.00 you’re doing well. This means people who are seeing your ad, are responding well.

2. The Landing Page.
   A landing page is a standalone web page, designed to guide your customers to complete one specific action. You can build custom landing pages on your website, or use after market tools that plug in to your website.

   
   Your landing page must have:
   Simplicity. Your customers are time poor.
   Social Proof. Your customers want to see that you get results.
   Strong CTA. Your customers need guidance, tell them what to do.
   Sympathy. Sympathise with your customers, let them know you understand their pain points.

3. The Analytics.
   Now you have your ad, and your landing page, it’s time to look at the data.

   Keeping in mind, with the data we have, we want to achieve some things.

   1) Work out how much a lead costs.
   2) Work out how many leads we need to make a sale.
   3) Work out if our ads are profitable.

   
   Now, how to work out- 1) how much a lead costs.

   You need to discover how many link clicks, it takes for someone to become a lead. Then multiply the number of link clicks, by the cost of link clicks.

   For example, you need 6 link clicks, to generate a lead on your landing page, and each link click costs $1.90 (on average). Therefore 1 lead costs (1.9 x 6) = $11.40.
   
   

   Now, how to work out- 2) how many leads we need to make a sale.

   This is simple, just ask your sales team. Ask them how many leads they need to make a sale. Then take this number, and multiply by the cost of your leads.

   For example, you might convert 1 in 3 leads, into a sale. Therefore the cost of a sale is 3 leads x cost of leads, which is 11.40 x 3 = $34.20. Therefore 1 sale will cost you $34.20.

   Now, how to work out- 3) if your ads are profitable.

   You need to know the life time value of your customers. Then subtract this number, from the cost of the sale. And if you are left with a positive number, your ads are profitable. If you are left with a negative number, your ads aren’t profitable.

   For example, each customer is worth $100, and each sale cost you $34.20. Therefore you make $65.80 per sale.

To summarise.

To succeed with Facebook Ads. You need.

1. A Facebook Ad which covers the fundamentals (it doesn’t have to be perfect).

2. A landing page which converts strangers, into leads.

3. Analytics which prove that your ads are profitable.
   
   If you need help with Facebook Advertising and digital marketing, send us an email at contact@ipmmedia.net