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Facebook Advertisement Costs - How It Works
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Facebook Advertisement Costs  -  How It Works

Facebook Ads are a unique alternative to the various other Pay-Per-Click (PPC) providers such as Google, Yahoo and Bing. What makes Facebook ads different is it is not driven by keywords.

When using Google Adwords, for example, you know exactly how much you will PPC for each keyword you are listed under. However, since Facebook doesn’t use keywords, Facebook advertisement costs are much more fluid and different. Here’s why.

When you are using the Facebook Ads platform you are able to determine the exact demographic of persons you want to see your ad. This is much more powerful than only using keywords because you have no idea the TYPE of people that are searching under that term. The best you are doing is speculating at that point.

I have a good friend who has his own photography business. He specializes in Engagement and Wedding photography. Using his business, as an example, here is precisely how Facebook Ads can greatly impact his business.

After my friend creates his ad he can select the exact type of people that will view it. Here is what was selected…

People that live in Iowa

• Between the ages of 18 and 34

• That have been engaged for less than 1 year and

• Those that have been engaged for less than 6 months

There are 1.7 million people living in Iowa on Facebook. By using the above criteria he is now able to have his ad shown to only - 18,040 - people, but these are HIGHLY TARGETED and RELEVANT people who will be getting married soon and, more than likely, needing a photographer.

The above criteria can be changed at any time. Say he feels that the people that have been engaged less than 6 months are better candidates. This would be because they are early in the wedding planning process and are more likely to NOT have booked a photographer yet. He can certainly remove the "engaged for less than 1 year" option and just stick with those "engaged less than 6 months".

Thinking of it, by sticking with those only "engaged less than 6 months", he has the chance of also meeting many couples that still need engagement photos done as well. Now he has earned their business with an engagement session and can easily parlay that into booking their wedding later on.

If he decides to go with only those "engaged less than 6 months" the new number of people seeing the ad drops to - 10,480 - . It is smaller, but as mentioned above there is a greater chance of booking BOTH an engagement session and wedding.

If this ad were run today, with the above criteria, he would pay a MAXIMUM of $0.70 per click. Again this is the max. More than likely he will pay less than this, but at least now you can figure out a daily spend limit based on the maximum cost per click.

The PPC is generally based on the audience criteria you select. The more specific you are, generally, the higher the PPC.

Despite paying a slightly higher cost it comes at a good price. Since your audience is super specific you will not be worrying about unqualified people clicking your ad, wasting your time and money.

By running this ad my friend now has a chance to immensely increase business. Sure not every person that clicks will call him, but he will certainly be fielding more inquiries and be that much closer to booking a shoot.

I have barely skimmed the surface and the power of Facebook Ads. There are numerous Facebook Advertising Guides that go into even more detail about how to set up successful ad campaigns.

Facebook Ads really is one of the best Facebook marketing apps around. The ability to precisely pin point your audience makes it a game changer.

Finally, Facebook advertisement costs are, generally, cheaper than what you will find with Google Adwords and similar keyword based ad providers.

Street Talk

good one

  about 1 decade ago

that was really interesting. I think i'll look into advertising on facebook now :)

  about 1 decade ago

Glad to hear it! It is a great way to connect with your audience and having the ability to narrow that audience down to a very specific group does wonders.

  about 1 decade ago

Interesting points. I did not know that you could be that targeted with Facebook ads. Good, helpful info. I will certainly keep this in mind.

  about 1 decade ago

James this is one of the best Facebook articles I have read, I learned a lot from this, and it has given me some ideas on where to spend my next advertising dollars

  about 1 decade ago

Great! I am really glad it was helpful. I hope my photography friend gives this a shot. I have had decent success with FB Ads.

  about 1 decade ago
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