If you are running Facebook Ads for your business and are not quite sure if they are as successful as they should be, here are 3 key metrics that will give you the answer:
- CTR (Link Click-Through Rate)
You can view this stat in the Facebook Ads dashboard for your campaign. It is a % of people who saw your Ad and clicked on the call-to-action (lead form, website visit, etc). Ideally you are aiming for a 1% rate on a cold audience (people who are new to your business) or 3% on a warm audience (people who you are retargeting as they have already interacted with your business such as by visiting your website). If you are not hitting the key metric, take another look at your ad and see how you can improve it. Test new creative or copy and also double-check that you are targeting the right people.
2. CPM (Cost per 1,000 Impressions)
This is also visible in your Ads dashboard and you should be aiming for a CPM of no more than £10. If you are exceeding this by a long shot, then Facebook is not liking something and your Ads are costing more than they should. Check that your website (or landing page) is performing well (speed, easy path to conversion, professional looking and relevant content) and also do a check on your Ad.
- Is the image scroll-stopping?
- Is the copy clear and concise?
- Are both of these relevant to what you are promoting?
- Are you targeting the right people etc?
Make sure that if you are changing elements of your Ad, you don’t do them all at once, otherwise you will not be able to measure the impact of each change.
3. Landing Page Conversion Rate
This metric will vary by industry, so you will need to check what the average is for yours. Most landing page software will show your landing page conversion rate in the backend of the platform. If your conversion rate is less than the industry minimum benchmark, you should do some landing page testing. Look at improving your message and possibly your offer. Again, if you are making multiple changes, stagger them so that you can measure which of them has an impact.