CMOs guide to Facebook Advertising

CMOs Guide to

Facebook Advertising

Making Sense of your Facebook Campaigns

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CMO’s GUIDE TO FACEBOOK ADVERTISING

02 WHY FACEBOOK ADVERTISING

With more than 1.11 billion people on Facebook every

month and with a 23% growth from 2012, Facebook

provides marketers the unique opportunity to increase

their brand reach and drive user engagement

04 FACEBOOK AD UNIT TYPES

Facebook offers several advertising options that can

be leveraged depending on the brand and business.

Learn more about what they are and what the right fit

for your business is.

06 GETTING STARTED

Facebook lets you create ads that help you get your

customers to your fan page or website. While

facebook ads are still in their nascent stage you can

get started on this by learning more about the different

ad units that facebook offer.

08 KPI’S METRICS AND BENCHMARKS

What are the key metrics to measure the success of

your facebook campaign and how do you know if you

are spending money in the right place and if Facebook

is working for you. Learn more about the metrics and

industry benchmarks that exist for Facebook

advertising.

08 IMPORTANT TERMINOLOGIES

Like any new platform, Facebook comes with its own

set of words and terminologies. Some of these are

borrowed from traditional paid campaigns while others

are very specific to Facebook.

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WHY FACEBOOK ADVERTISING

More than 1.11 billion people use Facebook each month, slightly more than the 1.06 billion

reported three months earlier. It represents a 23 percent growth from a year earlier.

Facebook has over 665 million active users each day on average, and 751 million using

Facebook from a mobile device each month.

The Facebook audience reach and growth is in line with most business strategies for the year a

mix of social, local and mobile.

TITLE: MONTHLY ACTIVE USERS (MAU’S) ON FACEBOOK

SOURCE: ZEDNET

Facebook Ads are a great way to increase the exposure of your brand, increase engagement,

and drive traffic to your Facebook Page or an external website or sales page.

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You can use Facebook Ads to:

◌ To increase your fan base

◌ Get Brand exposure

◌ Increase Sales/Conversions

◌ Demand Generation

◌ Promote online or offline events

◌ Advertise local businesses

◌ To sell a product, program, or service with an external website or sales page

◌ Lead generation

Marketers across industries are leveraging the paid social medium to identify and discover buyer

behaviour and intent.

TITLE: 2013 MARKETING BUDGET ALLOCATION

Source: Forrester

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FACEBOOK AD UNIT TYPES

Facebook offers several ad units to for business to reach their target audience:

Standard Ad A standard ad is the traditional Facebook ad you find on the right hand side across the site on dedicated ad placements on Facebook.

Page post ad Page post ads are page posts that are sponsored in order to increase their reach

Sponsored Results Sponsored results are sponsored search results, and appear in the type ahead at the top of the Facebook interface.

Promoted Posts Promoted Posts allow you promote anything you can create through the sharing tool: status updates, photos, videos, offers, and questions.

Page Like Ads Like Ads, are similar to Standard Ads, but are designed to drive traffic to a Facebook Page, App, or Event.

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GETTING STARTED: CREATING FACEBOOK ADS

Facebook lets you create ads to your fan page or to your website. It provides an

intuitive interface for quick ad generation and deployment. Facebook ads are still

in a nascent stage, hence there are no established Ad platforms and all ads need

to create through the Facebook interface.

STEP 1: SELECTING THE AD UNIT

STEP 2: SELECT INTERESTS AND CATEGORIES

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STEP 3: ADVANCED TARGETING

STEP 4: BID MANAGEMENT

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KPIs AND METRICS

Frequency

How many times has your ad been delivered to the average Facebook users in your target

audience?

Exposure Rate

The percentage of the entire target audience your brand is actually reaching and exposing to

your message.

Click through Rate

The percentage of people clicking on the ad to the total number of impressions.

Conversion Rate

The percentage of the entire audience that undertakes the action as defined by

the business.

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INDUSTRY BENCHMARKS

Social Fresh’s survey found that respondents who work for an agency reported the highest click

through rates at 0.049 percent, while vendors and brand employees had average click through

rates of 0.041 & 0.038 percent respectively

For advertisers driving traffic to Facebook pages and apps, average CPC was $0.70. Ads

leading off-Facebook averaged $1.08 CPC.

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IMPORTANT TERMINOLOGIES

Impressions : Ad impressions, or "Imp." are counted each time an ad or Sponsored Story is

shown to a user, regardless of whether the user clicks or takes any other action on the ad.

Clicks: Clicks are counted each time a user clicks through your ad to your landing page.

CPC: CPC stands for Cost Per Click. If your ads are bid on a CPC basis, you will be charged

when users click on your ads and visit your website.

CPM: Stands for Cost Per Mille or Cost per thousand Impressions. If your ads are bid on a CPM

basis, you will be charged when users view your ads, regardless of whether or not they click on

them.

CTR: Click Through Rate - is the number of clicks your ad receives divided by the number of

times your ad is shown on the site (impressions) in the same time period

Frequency: Frequency tells you, on average, how many times each person saw your ads or

Sponsored Stories

Reach: Reach is the number of individual people who saw this ad during the dates selected.

This is different than impressions, which includes people seeing your ad multiple times.

Target Audience: is the number of people your targeting can reach, like the estimate you see in

the self-serve ad creation flow.

Social Impressions: The number of times your ad was shown with social context (i.e. with

information about a viewer's friend(s) who connected with your Page, Place, Event, or App).

Social reach: tells you how many people saw your ad or Sponsored Story with the names of

their friends who had already liked your Page, RSVPed to your event, or used your app.

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ABOUT REGALIX

Regalix is a Palo Alto based digital marketing company. For more than a decade, we have provided full marketing

services – Search, Social, Mobile, Content, Multi-channel Campaigns, Technology Development, and Analytics – to

companies such as CA Technologies (NimSoft, Arcserve, ERwin), Citi, Apple, eBay, Google, Cisco, VMWare, NetApp,

Cypress, LSI, Keynote, and MetricStream.

Write to Us: [email protected]

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CMOs guide to Facebook Advertising