Optimizing Facebook Ads:

How to Measure Success of Facebook Ads

Presented by Dave Kerpen CEO Likeable

July 20, 2011

Use hashtag #likeable

• Intro to Facebook Ads• Hypertargeting Your Audience• Cost of Facebook Ads• Facebook Insights

What’s In Store:

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Intro to Facebook Ads

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•Drive traffic

• Increase “Likes”

• Raise awareness

•Hypertarget ideal audience

Why Use Facebook Ads

Elements

• Picture

• Title (25 characters)

• Body (135 characters)

Creating a FB Ad Choose the page

youwant the ad to be for

Selected between Ads or Stories

Choose the tab the ad will land on

135 characters worthof creative text

The image or logoyou would like to use

Ask a Question

Call to Action

Use Compelling Images

Hypertargeting Your Audience

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Target by: Location

Target by: Demographic

Target by: Interest

Target by: Education

Target by: Job Title

Target by: Company

The Result:

Precise Interest Targeting

• Target by “likes and interests”

• Example to target cat lovers

• Facebook helps you find relevant keywords with suggestions

Broad Targeting

• Target larger demographics

• Prevent targeting from becoming tedious

• Easy to create and reach difficult demographics

Target Through Connection

Example

Advanced Connection Targeting

Nano-Targeting

Cost of Facebook Ads

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Campaigns, Pricing, Scheduling

Pay for Impressions

Pay for Clicks

Ad Status

Ads are either active, paused, or pending review from Facebook.

Facebook Insights

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The Ads are Running…

Now what?!

Metrics: Impressions

Impressions = Number of People who saw the ad

Metrics: Frequency

Frequency = Avg. Number of times each person

saw the ad

Metrics: Click Through Rate

Click Through Rate (CTR) = # of Clicks divided by

# of Impressions

Metrics: Cost Per Click

CPC = Cost Per Click

Metrics: CPM

CPM = Cost Per 1000 Impressions

Metrics: Connections

Connections = The number of people who liked

your Page, RSVPed to your event, installed your app

within 24 hours of viewing or clicking on a

Sponsored Story or ad.

Reporting

Cost Per Fan

Calculating the Cost of a Fan: Spent Per Day / Actions = Cost Per Fan

95.60 / 524 = 0.18

18 cents per fan!

Cost Per Fan•The Wall Street Journal stated in February that the average CPL is $1.07

•Mashable stated on 7/18 that the average cost per click rose again climbing close to 62% this year!

•Webtrends shares stats from January about CTR and CPL comparing them to a year ago

http://on.wsj.com/qdCA8Lhttp://on.mash.to/roMvwvhttp://on.mash.to/n3jpuj

Conversion Rate

Calculating the Conversion Rate: Connections / Clicks = Conversion Rate

853 / 962= 86%

86% of people who click the ad convert to fans

Variables Affecting Cost Per Fan

• Alter your payment strategy based on outside variables

• Holidays can increase cost per click and cost per “like” because of a cluttered marketplace

• High Traffic Times such as Back-to-School and the Start of Spring can also increase costs

Refreshing Content and Ads

• Sometimes a Facebook ad can become stale

• Consider changing the image or text

• Something new and compelling can lead to new “likes”

• Revolving Content and Pictures – Change often

Refreshing or Changing Targets• All ads and brands are different

• Successful targeting is not always OBVIOUS

• Create ads and campaigns to do specific purposes

• Types of additional targeting• Similar Interest• Competitors• Location Based• Industries• Employees

They Clicked the Ad! Now What?

Welcome Tab Tie in

Content of Page

Ad Leads to Relevant Content

Examples of Great Ads

Wrap Up

• Make your ad headline, copy, + photo engaging and enticing!

• Hypertarget your audience!

• Use Facebook Insights to measure success!

• Once you get the Likes, provide great content on your Fan Page!

Likeable’s Mission

To leverageleverage social media and word of mouth marketing to create

more transparent, responsive, likeablelikeable companies, organizations

and governments.

How Likeable Works

Who Likeable Works With

Select Clients:•Verizon•1-800-Flowers•Neutrogena•Adobe•Entenmann’s •Penguin Books•HarperCollins•The Pampered Chef•Restaurant.com

Reach Us At:

likeable.com

facebook.com/likeablemedia

@LikeableMedia

likeable.comlikeablebook.com

Engage with me @DaveKerpen on Twitter

Ask us questions @ Facebook.com/LikeableMedia

Or, email me anytime dave@likeable.com

Thank You/ Grand Prize/ I Love Feedback

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