The Basic Way to Track ROI on Facebook Ads
Facebook has become the most powerful and effective social media platform that businesses can use to advertise on. This is because of how specifically advertisers can target potential customers and potential leads, as well as the information that Facebook ads can collect from them. But a lot of business owners are not sure how to track the ROI of Facebook Ads.
To help you with that question, here are some trackable ways to measure the ROI of your Facebook ads!
Set Up Custom Tracking URLs
Before you even start with a Facebook ad campaign, you have to make sure that you have created a custom URL for your website. A good one to use is Google’s URL creator.
When creating an ad in Facebook Manager, you choose a marketing objective, traffic, target audience, the placement of your ads, the budget and a schedule. After, you are to choose a page that you want to promote this ad under, the format, and the custom URL that you have made. This URL will incorporate all the parts of your campaign. When you have put in your URL, put in “Facebook” for Facebook ads.
This is where you enter in what metric you want to use for the ads: Clicks or impressions. Clicks are where you only get charged if someone clicks on your ad. Impressions are the number of views that your ad has had, and you pay for each person that has viewed it.
Set Up Facebook Conversion Pixels
If you use Wix, you can use Integration or Tag Manager, but if you’re comfortable copy and pasting the code, do it.
To paste the code, make sure that is is placed before the end of your end </head> tag. Once you have the code placed, Facebook will let you know if it has been put in properly or not.
Next, click “Create Conversion” to allow Facebook traffic to connect with a certain action on your website (view website, sales, download etc.).
Tracking the RIO of Facebook Ads
Now that you have created the custom URLs to track visits from potential leads to your page, and a conversion pixel to track the actions made on that page, measuring ROI for your Facebook ads is easy!
Look at what it costs for your ads for the last 30 days. Then compare it to the sales/leads that were generated from the conversion action in the same 30 days. Compare these numbers. Are you making a ROI on your Facebook ads?
You need to make sure that you set a goal ROI that you want to generate, even if the outcomes are not positive, using Facebook ads is NOT a waste of your time!