According to WordStream, most Facebook ads had a 0.9% click-through rate back in 2017. This is probably happening because the right people are not seeing the right ads at the right time.
However, Facebook has been adding some new digital advertising features that you should be taking advantage of, especially if you’re looking for a competitive edge for your company.
As a business owner, have you ever stopped to think about the common interests that your customers share? If you run a health food store, your clients might include women who enjoy things like yoga or meditation. If you sell energy drinks, your audience may be younger males who have an active nightlife.
A terrific way to look at your customers’ common interests is to use Facebook’s built-in Lookalike Audience tool. It allows you to reach out to people who are similar to your particular audience, using their hobbies, location, and the types of posts that they follow.
Let’s say that you know that your business’ audience enjoys biking. This amazing tool allows you to go outside of your particular audience and target people who also have an interest in biking. This way, you’re specifically targeting people who are more likely to be interested in your product or service, helping to increase your ROI and improve your conversion rate.
Additionally, you’re not wasting money using digital marketing to advertise to people who are less likely to convert into a customer for your business. An older couple that lives in Alaska probably won’t share that biking interest that bands your current clients together. Plus, customizing your campaign leads to an almost 90% uptick in conversion rates.
Building Your Audience
There are a few different methods you can use to build your Facebook Lookalike Audience. First of all, you could look at the people who currently like and follow you on Facebook (your source audience) and target those who have similar interests. There’s a flexibility that allows you to cast a wide net or narrow your leads to go after a very specific audience that could be more likely to convert. The more relevant your ad is to your audience, the more likely they are to convert. Looking at the customers who’ve viewed your videos can also be quite helpful because they’re more likely to be actively engaged with your brand.
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Targeting different devices, you can look at the actions that people have taken on your website and identify them as a member of your Lookalike Audience.
Figuring Out Exactly Who to Target
The downside about advertising on Facebook is that everyone is already doing it – more than 30,000,000 businesses have a Facebook fan page. Additionally, there is constantly so much new content that people just scroll right through. So, you really need to find a way to make your page stand out to the specific audience that frequents your business. Creating a Lookalike Audience is an easy, affordable way to do this.
Facebook offers all sorts of options for you, so it can be difficult to figure out which audiences you should go after. You also need to decide what size of Lookalike Audience you’re targeting. A smaller audience is more likely to generate the best matches for you, helping your conversion rate as well as your cost per conversion.
Meanwhile, a larger audience can extend your reach to even more consumers. Studies say that having a smaller audience of 1% or 2% is probably the best way to get started. Using an audience size up towards 10% becomes too costly. A 10% audience can cost up to 70% more than a 1% audience.
What exactly are your goals? Are you trying to increase likes, follows, subscriptions, or sales? If you’re trying to effectively increase sales, you should probably look for people that are very similar to your current audience.
You have a 5% to 20% chance of selling to a new prospect, while you have a 60% to 70% chance of selling to an already-existing customer. You need to make sure that you’re keeping customers engaged with regular posts that raise your brand awareness. When you incorporate a video that your customers can easily like and share, it can be very beneficial. Each day, Facebook users spend 100,000,000 hours watching video.
Tracking Your Results
If you’re interested in taking advantage of a Lookalike Audience for Facebook, it’s very quick and easy to get started with Power Editor or Ads Manager. Once you have created your new expanded audience, you can use Facebook to track it and see how people are reacting to your online advertising.
Facebook makes it easy to constantly monitor performance, so you can make any necessary adjustments to avoid wasting money on your Facebook ad campaign. Just make sure to give your Lookalike Audience some time. You may not necessarily get immediate results, and you don’t want to end your ad before it has a chance to be seen by your new audience.
Whether you’re new to internet advertising, or you have a Facebook ad that’s hit a wall and isn’t as effective as it used to be, a Lookalike Audience may be just what you need to keep your conversion rates steady. A conversion could be a number of things, depending on your goals. You may be trying to increase sales or get people to sign up for your monthly email newsletter.
It’s important to remember that the more times a consumer interacts with your company, the more likely they are to eventually convert. Staying on top of your online marketing is necessary. If you start to forget about it, consumers will start to forget about your products and services.
This is where things get difficult to manage and why you should have your social media accounts managed by a professional agency.