WARNING: This is NOT your typical “Facebook Ad Hack” blog post.
But it is some expert insight for what you need to know about Facebook ads so you will have the best chance for success.
My long-term experience of working with hundreds of eComm clients has helped my team and I recognize some critical mistakes and misunderstandings among eComm business owners regarding Facebook ads. And our expertise confirms there are four things critical to the success of any paid ad campaign.
Facebook ads are an incredible marketing tool for eComm business owners. Whether you’re a small online hobby shop or a multi-million dollar corporation, they can be a very cost-effective way to reach your target audience.
I have more good news… and a little bad news about this marketing tool.
Good news: Running Facebook ads is necessary for profitable success.
Bad news: If you don’t understand the essentials for running effective ads, it could end up costing you a lot of money.
Facebook ads are just one of the marketing aspects my agency, Digital Dawn, specializes in, so I could talk all day about this topic.
But I’m gonna keep it short, sweet and to the point for the sake of your time and the purpose of this blog. You’re welcome.
Whether you’ve been running paid ads for a while or just now adding them to your marketing toolbox, here’s what you need to know.
4 Things eComm Brands Need to Know About Running Facebook Ads
KNOW that your product will sell.
Does your product solve a specific problem for your audience? Is there a place for it in the market? Have you sold at least one hundred units of this product? Do consumers come back for more? If you can answer these questions with a hardy eComm “YES” to all the above, then you’re ready for the next step.
KNOW what BEROAS means and what yours is.
BEROAS stands for “Break Even Return on Ad Spend”. You must know what this number is before running ads. Most eComm store owners think knowing their ROAS (Return on Ad Spend – every dollar of revenue earned for every dollar spent) is enough. But the challenge with eCommerce is there are so many other factors to consider in addition to ad spend.
You need to take into account your cost of goods sold (how much it costs to produce the product) – materials and labor, packaging, distribution, fees, returns, exchanges, lost packages, etc.
All costs need to be considered as you calculate how much you can spend on your ads and still break even on the return. I have a BEROAS calculator I use with our agency clients. Reach out to me on Instagram, Facebook, or via the Digital Dawn website, and we can talk about getting that calculator for you.
KNOW that your website is ready for the amount of traffic you’ll be driving to it.
I’ve audited hundreds, maybe even thousands of Shopify and website stores. I come across the same common problems over and over. And although many of them are minor tweaks, they’re creating conversion havoc.
Before running ads to your store, puhhhhleeeaaase, for the love of all things eComm, optimize your website. It does no good to run paid ads to a site that can’t handle the traffic.
Like I said, most of the time they’re small things that need to be adjusted – like fonts, buttons, colors, etc.
Currently, the average conversion rate for an eComm store is between 2 and 3 percent. That means for every one hundred people that visit your store, only two to three of them will convert into a buyer.
So the moral to that story? You’ve got to direct a lot of traffic to your store if you want to keep that “Buy Now” button in active cha-ching mode.
Check out my audit checklist. It contains high-level tips and tricks for optimizing your eComm store and is available to you for FREE.
KNOW your fulfillment process from start to finish is glitch free.
“So Dawn, what in the world does that have to do with running paid ads?” Good question! It’s actually more important than you think. I’ve had many clients come to me with great products, reasonable ad strategy, a good grasp on their BEROAS, optimal conversion rates… but their process? Well… it sucks. Or, they run out of product, don’t have enough supplies on hand, etc.
Being aware of these things is crucial because, just like your mama, Facebook has eyes in the back of its head. Those creepers know when people go to your website and your product is “out of stock”. As a result, they may (or may not) move your ads up and down in the auction because of it. Yeah, they’re cruel that way.
Whew! That’s good stuff right there.
I hope you found this article helpful.
Maybe it got you excited about your eComm brand’s potential with Facebook ads, but your head is spinning in a sea of overwhelm, don’t worry. I got you.
Schedule your FREE discovery call with me and I’ll point you in the right direction. No strings attached… because that’s not how we roll.
Dawn Sinkule, the Founder of Digital Dawn, is an MBA graduate, Strategy and Business Growth Consultant as well as a Certified Online Business Manager with more than 16 years of corporate experience working for a Fortune 50 company. Dawn and her team work with passionate six figure business owners who want to grow, expand, and explode their businesses. Dawn and the DD team provide your choice of self-implementation or fully done for you solutions, and both include detailed business strategies, automation, systems, and most importantly the satisfaction of knowing your business is heading the right direction. Her clients get not only the experience of a Fortune 50 leader, but also a personalized and customized strategy as well as an implementation team: AKA your secret weapon for success.