How to Not Waste Money on Facebook and Instagram Ads

As publishers, our relationship with Facebook is … complicated. In 2019, Facebook traffic returned for a lot of publishers, and many now consider the platform a reliable source of traffic. However, there hasn’t been much consistency in regard to Facebook’s Ads Manager platform in the last several months, amiright?

As publishers, our relationship with Facebook is … complicated.

In 2019, Facebook traffic returned for a lot of publishers, and many now consider the platform a reliable source of traffic. However, there hasn’t been much consistency in regard to Facebook’s Ads Manager platform in the last several months, amiright?

Facebook Ads Manager Continues to Evolve

First, Ads Manager was completely redesigned in July. Reviews were mixed, but overall the user-interface improved. Even still, there’s always a learning curve when getting to know a new version of an intricate platform.

In addition to visual updates, Facebook Ads Manager is a lot more complex than it was just 2 years ago. There are now 18 different placement options for ads, including Facebook, Instagram, Messenger, in-article, plus Facebook’s audience network — which allows you to target users off of Facebook-owned platforms and applications. Facebook clearly marks “automatic placements” as “recommended,” but this isn’t often the best selection for most advertisers — and it takes some savvy to understand which placements make the most sense for your campaign.

There’s also the various options for campaign optimization. Facebook has four different delivery optimization options: conversions, landing page views, link clicks, and impressions. More than that if you consider that there are several different ways you can define a conversion. That’s a lot of decisions to make and places where your campaign can go wrong.

Beyond the campaign criteria above, a typical marketer also has to account for varying audiences and budget optimization, along with creative and copy testing. All this is to say, it’s easy to waste money using Facebook’s Ads Manager when running campaigns on Facebook and Instagram.

Secondly, Facebook Ads Manager underwent some significant changes in November. You remember … the one right before Black Friday. Along with slight changes to the UI, these changes seem to have also placed an emphasized level of importance on a few small but key nuances in how you build and optimize campaigns.

Facebook’s Learning Phase

The learning phase is an often under-estimated way you can derail your campaign objections. As someone on our team once put it, the learning phase is “a dance more than it’s a science.”

Additionally, Facebook’s platform updates in November included “New Learning Phase Insights.” In this update, Facebook launched insights that display “the percentage of ads, ad sets and spend spent in the learning phase over the last two weeks.”

The learning phase of your campaign (the time period in which Facebook is getting to know what type of user is most likely to engage with your campaign, learning from those findings, and further refining your placements and targeting as a result) is roughly 7 days or 50 conversions. Depending on the campaign you’re running, 50 conversions can be a lot, which means most marketers have to wait those 7 days.

So what does the Facebook learning phase mean for marketers looking not to waste money? It means allowing campaigns around 7 days to start spending budget most effectively. And during that time period, any significant edits to the campaign can start that time period over from the beginning, so edit wisely!

Most of us know those impatient marketers. The ones that just can’t stop themselves from making changes to their campaign just a day or two after launch. Stop doing that! Making significant edits to the campaign before it has been live for around 7 days is a surefire way to waste your ad budget. Your campaign will start over from scratch and any lessons learned from your original campaign will not be relayed.

Since this update went live in November, campaigns can now move into a “Learning Limited” status after 7 days. According to Facebook, this happens when:

  • The bid control or cost control is too low.
  • The budget is too low.
  • The audience size is too small.
  • There are too many ad sets.
  • Other ad sets from the same ad account or Page are winning auctions instead.

Certainly use these insights to understand why a particular campaign or ad set cannot exit the learning phase, but also recognize that without paying close attention to the nuances of targeting and placements, as we discussed above, you may run ads for 7 days only to then find out that the platform can’t find enough people to engage with your campaign in the current targeting, placement, and budget allotted.

Also consider the learning phase when planning the timing of your campaigns. If you’re marketing tickets to an event and you want to really hit your audience hard in the 2 weeks leading up to your event date, you’ll spend half of that precious time with your campaign in learning mode — thus not spending your budget most effectively. To combat this, consider running an awareness campaign several weeks out from the event to allow Facebook to find audiences that will engage with your event content, and then retarget those who engaged but haven’t yet purchased tickets.

Objective Optimization of Facebook Campaigns

It’s important to evaluate your campaign objective. As mentioned above, there are more than a few campaign “objective” options you can select when starting your campaign, and each can cause the behavior of your campaign to vary wildly.

If you’re running a click-based campaign (in other words, your campaign “Objective” is “Link Clicks”), you may start to notice that you’re getting clicks, but your ultimate objective of traffic to your website isn’t being met. If this is happening, add “Landing Page Views” to your customized report and see what percentage of those clicking on the ad are actually landing on your website. Unfortunately, we’ve seen these numbers be as low as 35-40%. That means of 100 people clicking on your ad, only 35-40 are waiting long enough for the page to load.

So where did you go wrong? A campaign objective of “Link Clicks” is telling Facebook that all it takes to make you happy is clicks. Not refining your objective to “Landing Page Views” or “Conversions” means you can end up wasting a lot of money on “clicks” when, depending on your ultimate campaign objective, “clicks” don’t really mean that much.

So, consider and scrutinize your Facebook campaign objective closely. (Note: If you haven’t added the Facebook pixel to your website, you won’t have the option to optimize for Landing Page Views. Adding the pixel to your page lets Facebook see who actually results in a visit to your website.)

Running Ads on Facebook and Instagram Is Not for the Faint of Heart

Executing a campaign on Facebook is not that hard. But executing an effective and cost-efficient campaign is. With recent platform updates and an ever-changing algorithm, it takes work to stay abreast of best practices and knowing how to avoid the pitfalls of an ill-targeted or budgeted campaign.

Thoroughly plan your campaign strategy to avoid wasting money. Consider your objective, placements, and testing parameters closely. There are plenty of resources available to help you make the correct choices for your campaign. Or, get help if you need it. A strategic marketing team that can plan and execute your campaign strategy effectively is worth their weight in conversions.

For Prospecting Success, Leave Your Data Order Until Later

But when they place an order for prospecting data — whether it’s email, telephone or postal addresses — marketers often end up with data that isn’t exactly what they had in mind. What happens then? They have to order again, wasting time and money. Or worse: They may use the data in a campaign and wind up with suboptimal results.

Web Contact Us Icons Cubes prospecting contactMarketers looking to acquire new customers or generate sales leads typically rely on outside data providers for contact data to give them access to new markets. But when they place an order for prospecting data — whether it’s email, telephone or postal addresses — marketers often end up with data that isn’t exactly what they had in mind. What happens then? They have to order again, wasting time and money. Or worse: They may use the data in a campaign and wind up with suboptimal results.

With a bit of planning and strategy, these problems can be avoided. The secret? Get your prospecting campaign ducks in a row before ordering the data. Think through where you are going and why. Key strategies to consider include:

  • State your campaign objectives, with specific goals and time frames. For example: Generate 45 qualified leads, at $350 per lead, in the quarter.
  • Identify the target audience. A great way to refine your target audience is by profiling your current best customers. Your data vendor may offer profiling as a free service.
  • Select a compelling offer that will motivate the target to respond. Offers are most powerful when they are unique, tangible, perceived as valuable by the prospect and related to the key benefit of your product or service.
  • Determine the key campaign messages. Craft campaign messages based on the key benefits that are valued by your target audience.
  • Plan how you will handle campaign responses and follow up. Plan a series of follow-up messages to deepen the customer relationship, and to stimulate retention, repurchase and referral.
  • Prepare a pro forma estimate of campaign results and ROI. If your pro forma estimate does not show a satisfactory result, then tweak other elements to improve the campaign: Select a narrower, more targeted audience. Find a more compelling offer. Identify more powerful customer benefit statements.

This pre-planning process may seem counterintuitive. You know that the target audience is the single most powerful driver of campaign success, so you’d think that specifying the audience should come first. And that’s true. But experience shows that working through the other elements — the offer, the messaging, the projected results analysis — often results in refinements to your thinking about the audience itself. So don’t actually place the order until you’re comfortable with all the other elements of your campaign.

This article is excerpted from the white paper “How to Place an Order for Prospecting Lists and Data That Ensures You’ll Get Exactly What You Need”. Get your own copy here. A version of this article appeared in Biznology, the digital marketing blog.