Facebook Ads - Best Practices & ROI

XPLAIN
XPLAINOnline Media Architect at XPLAIN
WTF
#	
  




        WE LCOME TO FACEBOO K ADS
                           best practices & roi



           Stefanos Karagos – XPLAIN.co – Digital Marketing Forum 2013
Hello!
a bout




   xplain.co
a 365 content marketing agency


Clients           >100 Beloved          Proud
in 8 countries    brands                memberships
UNITED KINGDOM
   FMCG
                 WORD OF MOUTH MARKETING 

GERMANY
          AUTOMOTIVE
           ASSOCIATION 
SWITZERLAND
      DISTRIBUTION
         (CHICAGO)
TURKEY
           RETAIL
               
ROMANIA
          FASHION
              EMARKETING ASSOCIATION
GREECE
           INSURANCE
            (LONDON)
CYPRUS
           ECOMMERCE
BAHRAIN
          TECHNOLOGY
                  ENTERTAINMENT
                  TELECOMMUNICATIONS
great clients portfolio

FROM THE BRILLIANT START-
UPS AND CHALLENGING
BRANDS THROUGH TO THE
BIGGEST, BEST AND 
MOST ESTABLISHED
COMPANIES IN THE WORLD, WE
WORK WITH AMAZING CLIENTS.
OK!
NO MORE SPAM :-)
once upon a time
there were 3 media
layers
understand the facebook ecosystem



                                    wtf
Paid                     Owned                     Earned
Ads                      Fb page                   Pure ugc
Paying to leverage the   Dynamic content in a      The customer as a channel. 

power of a channel to    controlled environment.   Built through engagement,
deliver a message that   Setup as a repeatable,    conversation and content
drives to another type   value-added               sharing.
of media.
               experience.
today fb needs money,
so fb ads are
the main bull-horn

Stock markets rule
the social web too
?
The
basics
fb ads are
social
You can reach out to people in their
social environment during their social
activities. 
The fact that a user sees that his
friends like a page, a post etc. is a very
intensive Social Recommendation.
fb ads are
razor sharp
targeted
You can target your campaign's
audience by location, gender, age,
education and other demographic
criteria.
fb ads are
personalized
& microtargeted
What is even more important, you
can target Facebook users by their
specific interests, activities and
hobbies, family status, shopping
habits, Facebook connections and
even by their date of birth, to create
highly personalized messages to
them.
1   build/increase          main objectives
    brand awareness
                            for an fb ads
2   branding                campaign
3   disseminate
    specific information*
4   fan recruitment
5   lead generation
                             (*for example, 

6   sales                    a new product launch)
understand
the fb ads ecosystem
most common ad types, that work

market                            sponsored                           Page post
place                             stories*                            Ads*
Also called standard ads, they    They advertise Facebook users'      You can further promote your most
appear in the right-side column   activities (for example, a page     successful content to your fans and
of Facebook properties. They      or post like, a post comment, a     their friends by creating an ad from a
can include a social              place ckeck-in) to these users'     post that was originally published on
recommendation, even if they      friends.
                           your page.
lead off Facebook.




                                                        *Desktop News Feed, Mobile News Feed, Right Side Column
Always remember! 
Your Facebook ad
campaigns are an integral
part of your Content and
must be aligned to your
overall Content Strategy!
The
metrics
and tools
that matter
You
                  CPC   Cost per Click

have
                  cpm
                        Cost per Thousand Impressions

to know                 Click Through Rate: Percentage of Clicks 

                  CTR   to the number of Impressions



          impressions   Total number of views

                        Every action related to your page, that the user
              actions   performs after having clicked on an ad*


                reach   Number of Unique Users 

                        who have seen an Ad


            frequency   Number of times a user has seen an ad


                        *Page like, post like/comment/share, video view, answer to a question etc.
use
The     facebookSolution manager
        The Default Simple
                           ad
Tools
        facebook power editor
        The Advanced Tool For Bulk Editing




        third party api tools
        Sophisticated Tools Which Cover Special Needs
        And Are Mostly Expensive
latest developments
in facebook advertising
latest developments
                        FACEBOOK        MULT I SITE
                        EXCHANGE           GETING
                          (FBX)
                                        TAR
                                      Through Facebook Exchange, advertisers and agencies have been able to use
                                      cookie-based targeting through Demand-Side Platforms (DSPs) to reach their
                                      audience on Facebook with more timely and relevant messages.




                       CONVERSION       DIRECT SALES
                      MEASURMENT
                      &OPTIMIZATION
                                        & ACTIONS
                                      It works by counting relevant user actions, such as registrations and shopping cart
                                      checkouts, that are driven by people seeing an ad on Facebook.
WHERE IS THE ROI?
?
    In May 2012 General Motors Co
    announced that they wiіll stop
    advertiіsiіng on Facebook because
    Facebook ads had liіttle iіmpact on
    buyers' behaviіor.




!
    AdAge points out that General Motors'
    decision was taken after they were
    deniіed by Facebook the complete
    brandiіng of Facebook pages.
€
    €
        In June 2012 Zappos announces a 3.5×
        ROIІ in the last two years with a spending
        of about $10 million.




    €
        In September 2012 Facebook's
        partners report that the company's
        Exchange ad-buying program has resulted
        in up to a 20x iіncrease of ROIІ.
€
    €
        In November 2012, Facebook Global
        Marketiіng Chiіef, Carolyn Everson,
        announced that Samsung receiіved
        a 1,300 percent Return On
        IІnvestment from a campaign for
        Samsung Galaxy S IІIІIІ.




    ?   Do you Beliіeve iіt?
Running:
>100 Brands
>48.300 FB Campaigns
>9,7 Billion Impressions 




our outcomes
impressions create value

               of sales from online ad


   93%
               campaigns are a result of
               Impressions without Clicks.
               Correct Targeting is more
               important than CTR.
reach drives revenue

               Reach has always been


   76%
               important - in traditional as well
               as in Online advertising.
               Campaigns optimized for Reach
               had a 74-76% higher ROI.
the 3 flavors of reach

Organic                        paid                        viral
 The number of users (Fans     The number of users (Fans   The number of people who
 & Non-Fans) who visited       & Non-Fans) who saw a       saw your Page or one of its
 your Page, or saw your        Sponsored Story or Ad       posts from a story
 Page or one of its posts in   pointing to your Page.      published by a friend.
 the News Feed or ticker.

 What Does it Tell us?         What Does it Tell us?       What Does it Tell us?
 How effective is your         How much are paid efforts   How effective is your
 Content and Content           contributing to your        Content Strategy and your
 Strategy in reaching out to   results?                    Paid Ads in motivating
 more users? 
                                             users to engage and share
 Are users visiting your                                   your content with their
 page?                                                     friends.
The power
of networks


     150 K     1,9
              Million        10,3
                                Millions




     Fans     Reach 
        Friends of Fans 

                                  Force
                Last Month

               (17-55)
if message is right, frequency is key
                increase of ROI using
                Optimized Frequency 



   42%
                of Facebook Ads.
                
                A too low Frequency can be as
                bad as a too high Frequency.
                Test, monitor and measure your
                ads to find the ideal value for
                each individual campaign.
Best practices
You have to know
follow the facebook
advertising guidelines
facebook.com/ad_guidelines.php




38% 
of FB Ads were
Rejected because 
they were Violating
the Guidelines!
fb ads have to be part
of your brand’s strategy


A Facebook ads campaign is
not an isolated island. 
It must be aligned with your
overall Content Strategy,
Objectives and Aesthetics.
keep it
clear & close



      Use clear images and close-
      up photos (also valid for
      page posts that will be used
      as Page Post Ads).
      
      Create texts with a clear 

      Call To Action.
Do not spam
Facebook users.
Targeting a very broad audience
without taking into account the users'
interests, demographics etc. is
SPAMMING and will adversely affect
your campaign's CTR.
a/b test
all the time
Create multiple variations of
your ads and monitor their
performance. Identify the best
performing units and pause the
rest of the ads. 

As a rule of thumb, start
with about 100 units to be
able to test body texts,
images but also target
groups.
stop bombarding
your audience
 Facebook users are not
 helpless TV viewers. 
 They can react to
 annoyances by hiding or
 even reporting your ad
 when they had enough.
optimize, optimize,
optimize.
always

Do not "fire and forget"!
Closely monitor your
campaigns, optimize and
refresh with new texts and
images.
e y our own
Cr eat
coc kta il.
 Use a mix of standard
 ads and news feed ads to
 gain a satisfactory Reach,
 drive Engagement with
 your page and Recruit
 new fans for your page.
Optimized cpm
could help your brand


Give oCPM (optimized CPM) a try.
 
When it was first introduced, it
confused many advertisers, but
things are much better now!
human-optimize
your content
Keep your Ad’s Content
Human Optimized but
don’t forget to do the
same to your landing
page content.

Don’t forget: 

Content is the King
only if you Treat it Like
a King!
Don’t be afraid
to break some eggs
but keep
the brand clear!
The image cannot be displayed. Your computer may not have enough memory to open the image, or the image may have been corrupted. Restart your computer, and then open the file again. If the red x still appears, you may have to delete the image and then insert it again.




                                                  thank u
                                                  for ur engagement!
                                                     contact us if you care about results
                                                                                                                                      LetsRock@xplain.co
                                                                                                                                      fb.com/xplain.co
                                                                                                                                      @x_plain


                                                       XPLAIN.co
                                                      UNITED KINGDOM  GERMANY  SWITZERLAND  GREECE  ROMANIA  TURKEY  BAHRAIN  CYPRUS
1 of 47

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Facebook Ads - Best Practices & ROI

  • 1. WTF #   WE LCOME TO FACEBOO K ADS best practices & roi Stefanos Karagos – XPLAIN.co – Digital Marketing Forum 2013
  • 3. a bout xplain.co
  • 4. a 365 content marketing agency Clients >100 Beloved Proud in 8 countries brands memberships UNITED KINGDOM FMCG WORD OF MOUTH MARKETING 
 GERMANY AUTOMOTIVE ASSOCIATION SWITZERLAND DISTRIBUTION (CHICAGO) TURKEY RETAIL ROMANIA FASHION EMARKETING ASSOCIATION GREECE INSURANCE (LONDON) CYPRUS ECOMMERCE BAHRAIN TECHNOLOGY ENTERTAINMENT TELECOMMUNICATIONS
  • 5. great clients portfolio FROM THE BRILLIANT START- UPS AND CHALLENGING BRANDS THROUGH TO THE BIGGEST, BEST AND MOST ESTABLISHED COMPANIES IN THE WORLD, WE WORK WITH AMAZING CLIENTS.
  • 7. once upon a time there were 3 media layers understand the facebook ecosystem wtf
  • 8. Paid Owned Earned Ads Fb page Pure ugc Paying to leverage the Dynamic content in a The customer as a channel. 
 power of a channel to controlled environment. Built through engagement, deliver a message that Setup as a repeatable, conversation and content drives to another type value-added sharing. of media. experience.
  • 9. today fb needs money, so fb ads are the main bull-horn Stock markets rule the social web too
  • 10. ?
  • 12. fb ads are social You can reach out to people in their social environment during their social activities. The fact that a user sees that his friends like a page, a post etc. is a very intensive Social Recommendation.
  • 13. fb ads are razor sharp targeted You can target your campaign's audience by location, gender, age, education and other demographic criteria.
  • 14. fb ads are personalized & microtargeted What is even more important, you can target Facebook users by their specific interests, activities and hobbies, family status, shopping habits, Facebook connections and even by their date of birth, to create highly personalized messages to them.
  • 15. 1 build/increase main objectives brand awareness for an fb ads 2 branding campaign 3 disseminate specific information* 4 fan recruitment 5 lead generation (*for example, 
 6 sales a new product launch)
  • 17. most common ad types, that work market sponsored Page post place stories* Ads* Also called standard ads, they They advertise Facebook users' You can further promote your most appear in the right-side column activities (for example, a page successful content to your fans and of Facebook properties. They or post like, a post comment, a their friends by creating an ad from a can include a social place ckeck-in) to these users' post that was originally published on recommendation, even if they friends. your page. lead off Facebook. *Desktop News Feed, Mobile News Feed, Right Side Column
  • 18. Always remember! Your Facebook ad campaigns are an integral part of your Content and must be aligned to your overall Content Strategy!
  • 20. You CPC Cost per Click have cpm Cost per Thousand Impressions to know Click Through Rate: Percentage of Clicks 
 CTR to the number of Impressions impressions Total number of views Every action related to your page, that the user actions performs after having clicked on an ad* reach Number of Unique Users 
 who have seen an Ad frequency Number of times a user has seen an ad *Page like, post like/comment/share, video view, answer to a question etc.
  • 21. use The facebookSolution manager The Default Simple ad Tools facebook power editor The Advanced Tool For Bulk Editing third party api tools Sophisticated Tools Which Cover Special Needs And Are Mostly Expensive
  • 23. latest developments FACEBOOK MULT I SITE EXCHANGE GETING (FBX) TAR Through Facebook Exchange, advertisers and agencies have been able to use cookie-based targeting through Demand-Side Platforms (DSPs) to reach their audience on Facebook with more timely and relevant messages. CONVERSION DIRECT SALES MEASURMENT &OPTIMIZATION & ACTIONS It works by counting relevant user actions, such as registrations and shopping cart checkouts, that are driven by people seeing an ad on Facebook.
  • 24. WHERE IS THE ROI?
  • 25. ? In May 2012 General Motors Co announced that they wiіll stop advertiіsiіng on Facebook because Facebook ads had liіttle iіmpact on buyers' behaviіor. ! AdAge points out that General Motors' decision was taken after they were deniіed by Facebook the complete brandiіng of Facebook pages.
  • 26. € In June 2012 Zappos announces a 3.5× ROIІ in the last two years with a spending of about $10 million. € In September 2012 Facebook's partners report that the company's Exchange ad-buying program has resulted in up to a 20x iіncrease of ROIІ.
  • 27. € In November 2012, Facebook Global Marketiіng Chiіef, Carolyn Everson, announced that Samsung receiіved a 1,300 percent Return On IІnvestment from a campaign for Samsung Galaxy S IІIІIІ. ? Do you Beliіeve iіt?
  • 28. Running: >100 Brands >48.300 FB Campaigns >9,7 Billion Impressions our outcomes
  • 29. impressions create value of sales from online ad 93% campaigns are a result of Impressions without Clicks. Correct Targeting is more important than CTR.
  • 30. reach drives revenue Reach has always been 76% important - in traditional as well as in Online advertising. Campaigns optimized for Reach had a 74-76% higher ROI.
  • 31. the 3 flavors of reach Organic paid viral The number of users (Fans The number of users (Fans The number of people who & Non-Fans) who visited & Non-Fans) who saw a saw your Page or one of its your Page, or saw your Sponsored Story or Ad posts from a story Page or one of its posts in pointing to your Page. published by a friend. the News Feed or ticker. What Does it Tell us? What Does it Tell us? What Does it Tell us? How effective is your How much are paid efforts How effective is your Content and Content contributing to your Content Strategy and your Strategy in reaching out to results? Paid Ads in motivating more users? 
 users to engage and share Are users visiting your your content with their page? friends.
  • 32. The power of networks 150 K 1,9 Million 10,3 Millions Fans Reach 
 Friends of Fans 
 Force Last Month (17-55)
  • 33. if message is right, frequency is key increase of ROI using Optimized Frequency 
 42% of Facebook Ads. A too low Frequency can be as bad as a too high Frequency. Test, monitor and measure your ads to find the ideal value for each individual campaign.
  • 35. follow the facebook advertising guidelines facebook.com/ad_guidelines.php 38% of FB Ads were Rejected because they were Violating the Guidelines!
  • 36. fb ads have to be part of your brand’s strategy A Facebook ads campaign is not an isolated island. It must be aligned with your overall Content Strategy, Objectives and Aesthetics.
  • 37. keep it clear & close Use clear images and close- up photos (also valid for page posts that will be used as Page Post Ads). Create texts with a clear 
 Call To Action.
  • 38. Do not spam Facebook users. Targeting a very broad audience without taking into account the users' interests, demographics etc. is SPAMMING and will adversely affect your campaign's CTR.
  • 39. a/b test all the time Create multiple variations of your ads and monitor their performance. Identify the best performing units and pause the rest of the ads. As a rule of thumb, start with about 100 units to be able to test body texts, images but also target groups.
  • 40. stop bombarding your audience Facebook users are not helpless TV viewers. They can react to annoyances by hiding or even reporting your ad when they had enough.
  • 41. optimize, optimize, optimize. always Do not "fire and forget"! Closely monitor your campaigns, optimize and refresh with new texts and images.
  • 42. e y our own Cr eat coc kta il. Use a mix of standard ads and news feed ads to gain a satisfactory Reach, drive Engagement with your page and Recruit new fans for your page.
  • 43. Optimized cpm could help your brand Give oCPM (optimized CPM) a try. When it was first introduced, it confused many advertisers, but things are much better now!
  • 44. human-optimize your content Keep your Ad’s Content Human Optimized but don’t forget to do the same to your landing page content. Don’t forget: 
 Content is the King only if you Treat it Like a King!
  • 45. Don’t be afraid to break some eggs
  • 47. The image cannot be displayed. Your computer may not have enough memory to open the image, or the image may have been corrupted. Restart your computer, and then open the file again. If the red x still appears, you may have to delete the image and then insert it again. thank u for ur engagement! contact us if you care about results LetsRock@xplain.co fb.com/xplain.co @x_plain XPLAIN.co UNITED KINGDOM GERMANY SWITZERLAND GREECE ROMANIA TURKEY BAHRAIN CYPRUS