The costs for advertising on Facebook can vary depending on the industry in which you operate, your audience, optimization settings and goals. Dan Rohsler, a social account manager with digital agency Power Marketing, says that on average, the cost per thousand impressions (CPMs) varies between $5 and $10 and cost per click (CPC) is below $2. Below are clever ways to reduce your Facebook advertising cost:
Target A More Specific Audience
As a social advertiser, you should be as precise with your criteria as possible as you specify your audience. By making your audience as narrow as possible, you can reduce competition from other people targeting the same audience. Only bid for who you want to reach.
By doing this, you’ll increase the marketing odds that your promoted content will resonate with the target audience. Furthermore, if you’re targeting a segment with less competition, your advertising cost will be lower.
Many may argue that the more targeted your advertisements are, the more you’ll pay. Well, that is true, but the advertising cost is measured against the volume of results you’ll get.
Look For Audience Overlap
You can use the Facebook overlap tool to identify the audiences that are overlapping and this will save you money on Facebook advertising. If your audience is overlapping significantly, choose the one that is most relevant to your social marketing goals.
On the other hand, if the overlapping is not as much, you can mutually exclude these audiences so that you can avoid bidding against yourself. If you market without overlap targeting, you’ll end up paying twice to advertise to the same person.
Set Up Your Facebook Pixel
You can track conversions and access your clients’ data through the Facebook pixel. You just need to set up your Facebook Pixel, which usually is a few lines of code that you insert into your site.
It then tracks who your visitors and clients are right into their Facebook pages. If you can understand the people who visited your site, it will help with your target marketing. Therefore, if you’re targeting people who are familiar with your products, you know where to go.
On the flip side, if you’re targeting people who have never interacted with your products at all, you’ll focus on those not picked with the pixel. Thus, you’ll avoid advertising to people who already have the information that you’re presenting.
Final Thoughts On Reducing Your Facebook Advertising Cost
When it comes to social advertising, especially Facebook, your strategy determines the amount of effect and the cost. In as much as Facebook allows for a cost per click or cost per impression charge, it’s possible to lower your cost of advertising. But, you can only do this with proper analysis and a clever strategy.