Social media advertising is not as simple as many digital marketers try to present it and anytime you choose to indulge in it to promote your goods and services, there are some factors that you should consistently monitor.
For your social media ad campaign, particularly with Facebook and Instagram to have a huge chance at success, especially as a beginner, you must note down these parameters and ensure that you manipulate them precisely.
Click-through Rate (CTR)
The click-through rate (CTR) is the number of times that Facebook and Instagram users click on your ads regarding how often your ads are displayed. This metric is important because overall it gives you information on how enticing your ad campaign is.
A high CTR means that your audience finds your ad campaign interesting and is actively interacting with it, but a very low CTR means the opposite of that. A good CTR often leads to a reduction in cost-per-click (CPC) because Facebook does not need to push your ads to a newer audience to get clicks on your ads.
However, a low CTR would lead to an increase in CPC, which in return could increase the cost of your ad campaign and most likely still won’t yield results or conversions for you. Hence, you need to monitor your CTR and change some items in your ad campaign if it’s too low.
Cost-per-click (CPC)
The cost-per-click (CPC) or cost-per-link-click on Facebook ads is the average cost for a single click on your ad campaign and it can vary for a range of reasons like target geographic, niche, CTR, and/or seasonality.
In general, there is an average CPC for various geographic and niches, these averages are to be expected when you are running your ad campaign on Facebook, but regardless of that, your CPC can still be well above or significantly below the average.
When your CPC is too high (keeping the average in mind) it means that there is something wrong with your campaign and you should pay attention to the aforementioned reasons.
Your CPC directly equates to the amount you are spending on that ad campaign and this is why you should try and keep it very low, otherwise, your ROI could be very minimal if not less than the amount that you’ve spent to run your ads.
Engagement Rate
Engagements are primarily likes, comments, and shares on your ads, they help to bolster the credibility of your campaign and increase your CTR. The engagement rate of your Facebook ad campaign tells Facebook that your ad is being interacted with by the audience.
A high engagement rate often means that your ad campaign is performing well, this makes it easier for Facebook to push your ad to a similar audience and increases your CTR which lowers your cost-per-click (CPC).
Creative and Ad Copy Performance
The audience is more likely to interact with your advertisement (likes, remarks, or clicks) when it speaks to them. As was already mentioned, this high engagement gives Facebook’s algorithm positive signals, which in turn show your ad to even more people, thereby expanding its reach.
More eyes will see your advertisement and a higher engagement rate will result from stronger creative and copy. As engagement grows, so does your click-through rate (CTR). High-quality ad copy captures the audience’s interest and compels them to take action, whether it’s to learn more, visit your site, or make a purchase.
This boosts your CTR, which is the percentage of people who clicked on your ad compared to how many saw it. A higher CTR indicates that your ad is relevant and appealing to your audience. Facebook’s algorithm rewards ads with high CTRs by giving them more favorable placement, thus increasing the likelihood of even more clicks at a lower cost (CPC).
Facebook’s algorithm rewards ads with high CTRs by providing them with more favorable placement, increasing the possibility of even more clicks at a reduced cost (CPC). A higher CTR shows that your ad is relevant and interesting to your audience. This is obviously good for your ad campaign because the implication is simply a lower ad spent per result on your Facebook ad campaign.
Budget and Daily Budget
The budget of your ad campaign is the amount that you’re willing to spend and it can be deducted on a daily basis or one-time for the whole campaign depending on how the ad manager wants it with regards to the kind of ads you want to run on the platform.
As a beginner, you should always test first before setting your budget so that you can identify the kinds of ad campaigns that would be most profitable for you. It is also advised that you set the minimum daily budget and increase it later on when your ads start performing better.
If you’re an expert already, then the elementary procedures do not apply to you, but when setting a daily budget you should also keep in mind that your ads might be stopped once your maximum daily budget is expended although it will continue the next day.
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Conclusion
As you may already know, social media advertising can be a hectic process, especially for beginners, but if you are willing to go through the demanding trial and error processes, it will only be a matter of time before you start seeing the desired results. If you like this blog, kindly check out other related articles below.
