I need to unload a problem

by CRose
2 replies
So, the business I'm working for is at a crossroads right now. We want to grow the business through social media, and created a Facebook Ad Campaign with a video and quick description that we hoped would be compelling. I set it up for conversions with a landing page, sign-up form, and pop-up offer for a pdf download on the landing page.

Well, we've run it three times and no takers. Our relevance score is only 3. Since then, I've read that we should maybe consider doing "video views" instead and retarget people who watched the videos, maybe offer then the download? Or, is it the ad, and we should start from scratch? I'm unsure how to proceed with all the different options, and need an outside opinion. Our daily budget is 20 dollars a day, and they're hesitant to make it higher until they get some emails coming in. I see their point. It's hard to know exactly what would be the best use of the business's money.
#problem #unload
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  • Profile picture of the author Jason Kanigan
    I don't see what you can accomplish at $20/day budget unless your clicks are literally costing pennies, unfortunately. The business probably shouldn't be focusing on FB ads as a leadgen method if this is their budget.

    Promotion is an iterative process, meaning you learn something every time, make an adjustment, try it again. Not a "I set it up once and I'm done" kind of thing.

    If you continue, your first goal is to increase that relevance score. Something is off about your targeting, your message (match to market), or both. Change one at a time.

    People have to be willing to put some skin in the game to find out what works. FB ads are not a magic bullet or instant money maker. I have lost thousands of dollars very quickly with poor targeting -- and that's why I let a professional ads manager run that part of the show. There's an expectation on everyone's part that there will be a short term loss as we figure out the targeting...and that's part of the price of success.

    Nearly all of our clients use FB advertising. You ought to hear the cautionary words of the highly experienced ads managers we work with: they never promise easy conversions or easy money. It's all "This could take awhile," "Proper targeting will probably take two or three weeks," and more along that line.

    Just for a bit of comparison, completed applications for coaching packages typically run around $150 - $200 cost from FB ads. That's for one application and booked call. Assuming a 15% close rate, that means the business owner had better be ready to invest $200/0.15 = $1333 to get that sale. And that doesn't include the management fee. The sale prices of the coaching programs start at $6000...and they have to.

    Yes, the scale of that example is probably a bit bigger than what you're doing. But see the point: there's a cost of customer acquisition (CCA) and your lifetime customer value (LTV) had better support that.

    To figure out targeting and develop your CCA as a steady figure, the business owner is going to have to be willing to take a short term loss. And in my opinion, increase their budget if they want to get there any time soon.
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  • Profile picture of the author IGotMine
    Well, we've run it three times
    How many impressions and clicks did you get?

    The reality is, most people lose all their money trying PPC.

    You need to test and tweak and test some more. You need to be willing and able to invest in testing with no guarantee of ROI.

    The business probably shouldn't be focusing on FB ads as a leadgen method if this is their budget.
    I agree, especially if they have no PPC experience.
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