You’ve setup your Facebook adverts and a few hours later you’re looking at the statistics. Spending money on adverts is still within your budget, but you haven’t started selling shirts from your campaign. You wonder…
“Should I stop it or keep on going?”
“What metrics should I be looking at to know if this is a winner?”
Well, there are several possible answers. Still, it would be a shame to drop a potentially successful campaign, especially since people actually seem to be interacting with it a lot, right?
The first thing we need to look at is the Relevance Score. This metric exists for every type of advert and can be found at the Advert level on Ads Manager.
Relevance Score is a measure of all the expected feedback people provided on your advert. For example, if someone sees your Ad and decides to hide it, Facebook lowers your relevance score based on both the negative feedback itself and on the assumption it’s going to generate similar reactions going forward. This has a direct impact on delivery and cost.
Information about your Relevance Score appears after your ad is shown to 500 people, and it is ranked from 1-10. As a general rule, anything below 7 shows a noticeable impact on delivery and cost of adverts, it doesn’t matter if you’re using Clicks to Website or Page Post Engagement. If you relevance score is low and you're not selling shirts, it might be best to go back to the drawing board to think about who you’re targeting and then relaunch your Facebook adverts.
More about the relevance score can be found here: https://www.facebook.com/business/news/relevance-score
For PPE, your default results are provided as Cost per Engagement. This is how much it costs you to get any of the following actions:
While keeping an eye on the cost is a good idea on PPE, there is a much more important metric to look at - the Result Rate. This is normally displayed on the overview above your Campaigns:
This gives you the percentage of people that are interacting with your post. A minimum reference value will be around 4.5 to 5%. Obviously, the higher this value is, the better. If that value is low, this probably means that your targeting has some room for improvement.
Also, don’t forget to keep an eye out for how many clicks you’re getting on the URL. To do this, simply click “Columns” and select “Performance and Clicks”, as per the image below:
After this, by scrolling to the right you will have a column with the number of Link Clicks. If people are engaging with the ad but not clicking the link, it might be best to try a different campaign objective like Clicks to Website.
When it comes to Clicks to Website, we usually look at the Cost per Website Click. The goal is to have as many clicks as possible, thus making the results cheaper. This appears on the same screen as the Result Rate, labelled Cost per Result, as shown below:
We normally look at a €0.40 as the best average cost, any value below this is a positive result. Higher values will only be worth it if you’re already selling shirts. We have seen very successful campaigns with up to €1 Cost per Click, but it’s rare, which brings us to our final conclusion:
These metrics are important in providing you with a feel for how your campaigns are performing, but the most important metric you should be looking at, above any others, is Return on Investment (ROI).
What this means is that even if you have a low Relevance Score, a low Click-through Rate or a high Website Click cost but you are selling shirts online and turning a profit, don’t shut your Adverts down. At Moteefe we look at it from this perspective: you have a golden opportunity right here to improve on your results, ready for the relaunch that’s sure to follow!
If you have any questions, join us at the Moteefe Hangout on Facebook. Time to get those sales going!