Are Facebook Ads Worth It?

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Facebook advertising offers a great way to get more eyes on your business and to convert targeted web traffic into paying customers. It has a number of useful features and offers good value for money. But is it worth it?

That answer is of course going to depend on your business. Your niche, your business model and your target audience will all influence whether Facebook ads are a good option for your business read on then and we’ll help you to decide whether Facebook ads are ”worth it” in your particular case.

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The Power of Facebook Ads

In principle, Facebook ads are certainly very powerful and have a lot of big benefits over the competition.

Chief among the benefits of Facebook ads is the fact that they are PPC, which stands for ”Pay Per Click”. What it essentially means is that you only pay out when someone actually clicks your advert. In turn, this means that you can say something like:

“Attractive Hat for $30”

And add a picture of the hat to the advert. This way, only someone who is potentially interested in paying $30 for that hat is likely to click on the ad. And seeing as you’re getting a profit of $15 for each hat sale and the click only cost you 10cents… That’s a pretty excellent return on investment.

So good is this system in fact, that some affiliate marketers create Facebook ads for their landing pages and then generate passive income that way.

The next big benefit of Facebook ads is that they let you target specific viewers by filtering who gets to see the ads. You can decide who sees your ads based on their age, their sex, their location and their marital status. What’s more, you can also define this by their interests and hobbies – which is something few other platforms can do.

So now you have only young people who might wear that hat being shown the ad. Your ROI just went up even more.

The Limitations of Facebook Ads

But there are limitations to Facebook advertising as well.

For starters, Facebook isn’t used that much by some demographics. If your product is for an elderly customer for instance, then you’ll find there are fewer on Facebook to buy from. Facebook also tends to work best for slightly smaller ticket items – few people are going to buy their car through a Facebook ad.

And the big reason for this – the big reason that Facebook isn’t as good at making major sales – is receptivity. Receptivity describes how much your viewers are likely to want to buy from you at the point in time that they see your marketing message. This factor is almost just as important as how targeted the traffic is.

When you use Google Adwords, people are actively searching for products and services when they see your advert. That makes them highly receptive. On Facebook though, they’re on their mobile chatting to friends. Are they highly receptive?

The question you need to ask, is how much does receptiveness matter for your specific business model?

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