Facebook ads can be an incredibly effective method of reaching out to customers. Why else would 93% of social media advertisers be using it? However, some of its associated metrics can be misleading. You may, for example, be attracting thousands of video views for a low cost per click, but if a tiny fraction of those are leading to conversions, your ad campaign may not be as successful as it seems.
For many businesses that are just starting out, it can be an uphill battle to fully understand what your metrics are telling you. One option to avoid this barrier is to partner with a Facebook advertising specialist that can highlight the information that truly matters.
If you do know where to look, you can identify the numbers that truly indicate how well your Facebook ads are doing. Unfortunately, the important ones aren’t always highlighted by Facebook. But, before we can talk about the metrics you should be noticing, here are a couple that are less important than many marketers assume:
Clicks may seem like a good barometer of your outreach, but they can be deceptive. Clicks on the Like button, for example, or “See More,” are unlikely to lead to a significant amount of revenue. Your goal is to attract visits to your site, not clicks on your Facebook page.
It’s certainly important to reach as many users as possible, but what you really need to know is how many of them are making decisions based on your ads. It’s easy to reach a large number of potential customers without converting any of them.
What Metrics Should I Be Monitoring?
While every business will have different priorities when it comes to its social media marketing, some statistics are likely to be more informative than others. To view a more detailed report of your ads, click Customize Columns under Columns in the Ads Manager section. This allows you to personalize which metrics you see.
Click-through Rate (CTR)
Put simply, the click-through rate is the percentage of people who click on your ad to access an opt-in page. This is calculated by dividing the number of Link Clicks by total Impressions, or the number of times your content has been seen. While a good CTR depends on the industry, the Facebook average is 0.90%.
Cost per Checkout
A checkout refers to a user who became a customer after viewing your ad, so cost per checkout is a vital metric when determining the overall efficacy of your marketing tactics. In order for this to be calculated correctly, you’ll first need to enable conversion tracking—you can find more information on that here.
Frequency is a measurement of the average number of times your ad reaches a given individual. A frequency of 5, for example, means that someone who sees an ad is likely to see it five times. Maintaining a low frequency helps you avoid becoming overly intrusive and repetitive as well as from spending unnecessary funds on duplicate ads.
Of course, Facebook offers a wide array of metrics that can all be valuable when used in the right ways. Given the vast range of available customization options, don’t be afraid to use these guidelines as a springboard to help you develop a unique approach to Facebook advertising that helps your business accomplish its short- and long-term goals.