Value of Running a Facebook Ad for a Small Business

Placing a Facebook Ad to advertise your Facebook (Fan) Page or Facebook Event is quite cost effective when compared to some other PPC solutions.

I just ran an ad for a client who runs a Pilates Studio. They are on a rather tight budget and so I suggested we go with a Facebook Ad. The largest increase in Facebook users of late has been those who are over 30 (I forget the exact stat) so this is the perfect target audience for my client to get in front of. Since Facebook knows all the details of its users (age, sex, geographic region) as well as their general interests (choices of groups, keywords used in Wall posts, etc.) a small business is able to tailor their ad to their exact target audience.

The results thus far have been pretty good. The ad has been running for roughly a month (April 14 start date) and thus far has accounted for over 25% of traffic to the client’s website! Granted, the daily traffic to the site is rather low (roughly 7.5 visitors per day) but 2 of those come from the Facebook Ad, for a whopping $1.00 per day (the client’s desired limit)

So, in total, for those of you keeping score, that’s 256,561 impressions (meaning it shows up in the right hand column in Facebook) 59 clicks and a total ad spend of $27.31 !! Quite a value I say.

Please see the embedded image for a screen shot of the Ad admin area, which shows what the actual ad looks like. You can also see some of the targeting going on with the ad near the bottom.

Facebook Ad for local Pilates Studio

Facebook Ad for local Pilates Studio - click to enlarge

Update June 17, 2009
I recently learned there is a much lower bounce rate for the ad if you link to a Facebook Page rather than linking to a website. Anyone else tested for this?

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3 Comments

  1. Posted May 22, 2009 at 12:54 am | Permalink

    Thanks for the detailed analysis, Mike. Very helpful.

  2. Posted August 4, 2009 at 1:57 am | Permalink

    Ok Mike, I am convinced! Thanks for the tweeking you did to my website!

    Marge

  3. Posted September 22, 2010 at 4:45 pm | Permalink

    I’m finally setting up a Facebook account and will use this feature. Thanks

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