{"id":4746,"date":"2023-01-13T14:39:26","date_gmt":"2023-01-13T07:39:26","guid":{"rendered":"https:\/\/cleverads.com.ph\/blog\/?p=4746"},"modified":"2023-01-13T15:26:11","modified_gmt":"2023-01-13T08:26:11","slug":"facebook-ads","status":"publish","type":"post","link":"https:\/\/cleverads.com.ph\/blog\/facebook-ads\/","title":{"rendered":"What are Facebook Ads? Essential A-Z of Social Media Advertising"},"content":{"rendered":"

Facebook Ads<\/i><\/b> is a way for businesses to bring their products\/services to the billions of users on this platform. There are 2.08 billion monthly users. In addition, advertisers also need to deliver the right message to the right target audience. People are more likely to want the product or service of the business. In this article, we will summarize the information you need to know so that advertisers can create an effective Facebook Ads campaign.<\/span><\/i><\/p>\n

Advantages of Facebook Ads\u00a0<\/b><\/h2>\n

Ads is one of the popular advertising tools with many advertisers or businesses. Because of the benefits of this social network:<\/span><\/i><\/p>\n

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  • \u00a0 \u00a0 \u00a0 <\/span> Reach many different customer files\u00a0<\/b><\/li>\n<\/ul>\n

    With billions of users every month, Facebook’s user file belongs to many different audiences based on age, geography, job… All the above information helps in delivering ads to the right target audience campaign goal.<\/span><\/p>\n

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    • \u00a0 \u00a0 \u00a0 <\/span> Interacting with customers\u00a0<\/b><\/li>\n<\/ul>\n

      Businesses or brands can leverage advertising to nurture and help grow followers and fans on Facebook. Interacting with customers helps the company capture information faster such as: customer problems, latest trends, what competitors are doing, promotions, campaign announcements or new products….<\/span><\/p>\n

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      • \u00a0 \u00a0 \u00a0 <\/span> Increase website traffic\u00a0<\/b><\/li>\n<\/ul>\n

        Advertisers can leverage Facebook Ads to drive customers to a business or brand’s website.<\/span><\/p>\n

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        • <\/b> Increase conversion rate<\/b><\/li>\n<\/ul>\n

          Sales is the goal of any brand or business. Facebook Ads offers a variety of formats to help advertisers market their products to people in need.<\/span><\/p>\n

          How to charge Facebook Ads This social<\/b><\/h2>\n

          Networking platforms offer a variety of payment methods according to the purposes and needs of advertisers.<\/span><\/i><\/p>\n

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          • \u00a0 \u00a0 \u00a0 <\/span> Cost Per Click (CPC)<\/b>: Advertisers will pay only the cost each time a viewer <\/span>interacts with the ad.<\/li>\n<\/ul>\n
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            • \u00a0 \u00a0 \u00a0 <\/span> Cost Per Like (CPL)<\/b>: Every Facebook post provides a \u201clike\u201d or \u201clike\u201d button. When <\/span>the viewer “likes” the ad, the marketer must pay.<\/li>\n<\/ul>\n
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              • \u00a0 \u00a0 \u00a0 <\/span> Cost Per Mille (CPM)<\/b>: The ad provider only charges for every 1000 ad impressions.<\/span><\/li>\n
              • \u00a0 \u00a0 \u00a0 <\/span> Cost Per Action (CPA)<\/b>: Depending on how advertisers set up actions such as downloading an app, visiting a website, etc., the system will charge a fee when viewers click on the attached buttons.<\/span><\/li>\n
              • \u00a0 \u00a0 \u00a0 <\/span> Relevant<\/b>: On a scale of 1 to 10 and only displayed after the ad has 500 impressions and user interactions, the system will charge the advertiser.<\/span><\/li>\n
              • \u00a0 <\/span><\/b> Frequency<\/b>: This cost is calculated using the “impressions \/ reach” formula to indicate how often the ad appears to the user.<\/span><\/li>\n<\/ul>\n

                The Factors affect to the cost of Facebook Ads<\/b><\/h2>\n

                Advertisers<\/span><\/i> should pay attention to a few other items besides the above payment methods to estimate advertising costs most accurately. Avoid affecting the plan of the <\/span><\/i>whole campaign.<\/span><\/p>\n

                1. Bid\u00a0<\/b><\/h3>\n

                Facebook ads are decided by a bid system so there will be no certain number until the ad implementation. The business or advertiser will conduct a bid with other companies to get the best ad position. Basically, the bid is proportional to the interest in the ad space of the business.<\/span><\/p>\n

                Facebook Ads divides two types of bidding:<\/i><\/b><\/p>\n

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                • \u00a0 \u00a0 \u00a0 <\/span> Automatic Bidding:<\/b> The system will decide the bid based on the budget that the advertiser wants to spend in 1 day. If businesses are wondering about their bid, they can use this option, Facebook will calculate the most optimal choice for ads.\u00a0<\/span><\/li>\n<\/ul>\n

                  For example, if you have a daily budget of 100,000 VND for a Facebook ad, the system will automatically calculate a bid and you will only get the number of clicks that roughly match that 100,000 VND daily budget.<\/span><\/p>\n

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                  • \u00a0 \u00a0 \u00a0 <\/span> Manual Bidding:<\/b> The advertiser will offer the maximum cost to achieve the desired result. Also, the biggest budget doesn’t always win. Results also depend on other determinants such as quality, relevance, and click through rate.<\/span><\/li>\n<\/ul>\n

                    The successful ad is then charged the lowest amount Facebook has set to buy ad space. Results will be determined by Facebook users’ estimated bid, quality, relevance, and action rate.<\/span><\/p>\n

                    2. Quality and Relevance<\/b><\/h3>\n

                    Facebook Ads will give a scale from 1 to 10 to evaluate the quality and relevance of the business’s target audience. The higher the score is inversely proportional to the cost of the ad.<\/span><\/p>\n

                    This factor is decided based on the positive and negative feedback of the viewers:<\/span><\/p>\n

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                    • \u00a0 \u00a0 \u00a0 <\/span> Positive feedback:<\/b> click, like or comment on ads\u2026<\/span><\/li>\n
                    • \u00a0 \u00a0 \u00a0 <\/span> Negative feedback:<\/b> the number of people who said they didn’t want to see an ad that wasn’t relevant to them.<\/span><\/li>\n<\/ul>\n

                      In addition, this factor is also calculated by the click-through rate (click rate) which is the number of impressions \/ the number of times it was clicked. The higher the CTR, the lower the cost.<\/span><\/p>\n

                      3. Estimated Action Rates\u00a0<\/b><\/h3>\n

                      Should advertisers consider the odds that the target audience will take the action being optimized for the ad? Because the cost of advertising will be low if the estimated action rate is high.<\/span><\/p>\n

                      Some examples of what an estimated action rate looks like:<\/span><\/p>\n

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                      • \u00a0 \u00a0 \u00a0 <\/span> High Rate:<\/b> The main goal of the promotion is to increase the number of \u201cfree eBook downloads\u201d. When a lot of people see and take the action required by the ad, the action rate will be high.<\/span><\/li>\n
                      • \u00a0 \u00a0 \u00a0 <\/span> Low Rate:<\/b> The main goal is \u201cselling a product\u201d and the ad is linking to a landing page for free eBook downloads. This ad will be suboptimal, and the conversion rate will be low, resulting in a low action rate rating by Facebook.<\/span><\/li>\n<\/ul>\n

                        4. Audience Targeting<\/b><\/h3>\n

                        An advertiser’s targeting and volume will affect the cost of Facebook Ads and the number of ads that are pursuing the same goal. If the audience is extremely popular, the cost will increase.<\/span><\/p>\n

                        5. Placement\u00a0<\/b><\/h3>\n

                        Simply put, where ads appear on Facebook affects costs. Each placement option will have a<\/span><\/p>\n

                        different advertising costs. Some advertising positions that businesses can choose from:<\/span><\/p>\n