How Does Advertising On Facebook Work? The Beginner’s Guide

How Does Advertising On Facebook Work?

How Does Advertising On Facebook Work?

Elements of Facebook Ads

  • Goal : Understanding the reason for running an ad
  • Creativity : The ads videos, images, text, or carousels that share your message to the audience.
  • Targeting : The audience or users of Facebook you are targeting to.
  • Placement : The location or place where the ad appears.
  • Bid : It is the maximum amount you pay for a view, click, or purchase.
  • Budget : It is the total amount that you spend on your ad campaign.
  • Schedule : Schedule is how long and when your ad will run.

Advertising on Facebook – Targeting Audience

How Does Advertising On Facebook Work- Targeting Options

  • Location : Reaching people on the basis of country, state, city, or zip code.
  • Gender : Narrow your audience on the basis of gender (Male, Female, other)
  • Age : Filtering your audience on the basis of age.
  • Connections : Reaching people on the basis of your connections , for instance, events, facebook business page and their connections.
  • Behaviors : Reaching people on the basis of interests, intent, device usage and more.
  • Language : Targeting audience of specific language.
  • Lookalike Audience: These audience are similar to your target audience. Some sources of lookalike audiences are website visitors, facebook page followers, frequesnt video viewers, people who engage more on your content, etc.
  • Custom Audience : Creating your own audience withthe help of email addresses, phone numbers, etc.

Advertising on Facebook – Types

  • Images 
  • Videos
  • Carousels
  • Instant Experience
  • Collection

Basic Terms When Evaluating

How Does Advertising On Facebook Work : Basic terms to know before evaluating

  • Clicks : No. of clicks your advertisement gets.
  • Impressions : No. of times your ad entered for the first time on any user’s screen.
  • Click-Through-Rate or CTR : No. of clicks divided by no. of impressions
  • Reach : No. of users your ad was shown to.
  • Frequency : Average no. of times your ad was displayed to users.
  • Conversions : Customers actions. For instance purchase or adding your product or service to a shopping cart on your website.
  • Attribution : Before purchasing, a person takes different marketing efforts.
  • CPM (Cost Per 1000 Impressions) : Average price paid to get 1000 impressions on your running ad.
  • CPC (Cost Per Link Click) : It is the average cost paid when every time someone clicks on your ad.