Types of Facebook Ad Objective - RESS

· Case Study

Starting small: what ad objectives to use?

The usual question: Run what objective? Awareness, traffic, or conversion? 

2020 annual revenue: SGD15,417.33

2021 quarter 1 revenue: SGD15,262.41

2021 quarter 2 revenue to-date: SGD2025.41

MRR 2021 Goal: SGD0 🟩◻️◻️◻️◻️◻️◻️◻️◻️◻️SGD60k

Past few days sales were slow. Upon checking, it was not ads problem. It was ads not running because credit card hit limit 🤦🏻‍♂️ #smallbusinesschallenge This is 3 days revenue lost. 

Conventional or the popular "advice" marketers give to new ecommerce websites are:

1. Must grow FB follower. No follower no sales no branding. My take is simple:b***s***. 

2. Must drive awareness and traffic to site first. No awareness people don't buy product one. Don't do conversion ads directly. 

Some truth there but, blindly blazing on awareness ads is like running around naked. 

Lots of people aware of you but nobody knows fuck 7 you do. They see, they leave. Impression high but that's all. 

Also small businesses are not big brands. Sales vs awareness, it's sales first. No sales no awareness. 

3. Lots of traffic to site is ditto as awareness. 

Considerations in choosing ad objectives:

1. Facebook shows ads to people who are likely to take action to the objective. 

Select messenger, then it's to people likely to message page. Select conversion, then it's shown to people likely to buy on websites. 

Select reach? Just whack as long as people see the post. 

2. Ads should be conversion led because if I can measure sales of the ad sets or ad creatives, I'll know which to turn off and which to scale. 

Conversion ads are seen by people. Isn't that awareness as well? Isn't retargeting a form of awareness as well? 

Awareness is not about getting seen by millions. It's about being seen by those who are likely to purchase. 

3. Other than conversion ads, messenger ads can also collect sales data. Therefore, it is feasible to know which ad sets and ads to keep, scale, or to stop. Caveat here is whoever replying messages, please record the payment in the chat thread. 

4. Budget consideration. The lower down the "funnel" e.g. conversion or messenger, the more expensive the cost per mille. But this shouldn't matter as long as the cost per sales is within breakeven margin. 

Awareness ads? Ya can do some at small budget but only those money are allocated for burn. Most of the time no return. 

Another popular question:

How to lower cost of acquisition ah? 

Niama this answer until fedup. If a brand/product gets good review and often referred to friends and families then it'll go down. It's always expensive to acquire early adopters. 

We see this in our ads. In ads where customers are saying good stuff, more people will buy. In ads with little to no comments, less sales. Most customers are laggards, they rely on feedback from others before buying anything. 

Think like the customer when executing ads. It's not how creative you get on images, videos, or caption. It's about getting the message across. 

The purpose of the ads is to have potential customers take one action. It's either click to website or start a conversation. Most don't care of stories. 

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Credit to Adstrux Asia's Key Account Manager, Richard Moh