If your ad was seen by 1000 people and each of them saw the ad 2 times, you had 2000 impressions. You can find these 2 indicators in your Facebook Ads Manager and evaluate for each campaign, the number of people reached (coverage) and the number of times the ads were viewed (impressions) during a defined period. You notice here that my advertisements reached 1,245,947 people between December 1, 2019 and January 31, 2020 for an invested budget of € 3,141.55! That’s a lot when you think about it. As I told you, depending on your business objectives and the campaign you launched, these 2 indicators will be more or less important. For example, an advertiser will be less likely to analyze the coverage and impressions of a campaign optimized to drive traffic or sales.
For me (and other advertisers) a conversion is defined differently. It’s an action: an event that happens on your website. It can be: A landing page view An app installation A completed form (prospect) One click on a “Call” button A product page view An addition to the basket A purchase Of course, depending on your acquisition strategy, you are looking either to generate a maximum of leads (or registrations), or to generate sales on your merchant site. I would like to point out that in order for Facebook to be able to obtain this data on the Belarus Email List conversions that are occurring on your website, you absolutely must install the Facebook pixel and the conversion tracking . In this way, Facebook is able to detect the number of occurrences for each installed event. As an advertiser, you should assess the performance of your campaigns by observing.
You notice here that my advertisements reached
Of course ! This is also true if you are doing lead generation. Paying more for a prospect isn’t necessarily a bad thing if those prospects are buying more or converting at a higher rate. This is why you cannot only analyze the performance of your campaigns by evaluating the cost of acquisition. You must also take into account the turnover generated and the return on investment (ROAS – Return on ad spend ). Of course, the acquisition cost allows you to calculate your profit margin, but it doesn’t always tell the whole story. Some people spend more than others, but cost more to “acquire” on Facebook and Instagram (because they are targeted by more advertisers). Before looking at some examples, let’s take a look at the relationships between number of conversions, cost per conversion, revenue, and ROAS.
Evaluate interest in your Facebook ads The last indicators that we are going to see in this article will allow you to understand a lot of things about the performance of your Facebook ads … The objective of this analysis is to understand why your advertisements are not profitable or why your acquisition costs are increasing. Very often, the decline (or lack of) profitability of a campaign is related to the decline (or lack) of interest in your ads. Remember the role of an advertisement on the Internet: to trigger a click. It is not to sell. It is to trigger a click to your website, where the conversion is happening. A good advertisement will generate a significant number of clicks compared to the number of impressions.
The turnover generated and the return on investment
You should also know that CTR should never be your main measure of the success of an advertisement or an audience when you launch customer acquisition or prospecting campaigns. For example, if I analyze the audiences for this campaign, I see that some have a lower CTR than others, yet their cost per purchase is lower … This is why we must avoid making optimizations solely based on the click-through rate. The CTR is an indicator allowing you to assess the interest in an advertisement. As this interest in your advertising changes over time, your acquisition costs will also change. This is why you must analyze, among other things, the evolution of CTR over time to identify the advertising or audience that you should deactivate and replace. Also, I advise you to analyze the CTR of the advertisements present in a set of advertisements.