Facebook Ads: Are They Right For Your Business?

There have been many new studies that have been released that discuss the effect of Facebook Ads on people’s purchasing habits. One study by Reuters found that nearly 80% of those surveyed said that advertisements and comments by brands had no effect on their purchasing habits. Here are some of their major findings as to whether or not your business should spend money on Facebook ads:

Are Ads Worth it for Small Businesses?:  The experts say it can definitely go either way. The strongest uses of these ads are targeting specific demographics to like your page. Some businesses like restaurants or clothing stores can benefit greater than other types of businesses. By offering promotions and coupons directly linked to liking you Facebook page can incentivize people into liking your page and sharing with their friends. Studies found that if advertisers push too hard for a sale this tactic can backfire. They found that Facebook ads work much better for pushing soft promotions like giveaways, discounts and getting fans.

Benefits of Facebook Ads for Business Owners?:  Facebook builds lists for owners. These lists can be used at anytime. With Facebook ads, word of mouth can often build the network better than just the ads. The ads also offer so many different options for owners. The ads can very, very specific, or very broad. This is a great way for marketers to pick their specific audience. For example, you can target only the top executives at Panera, or people within a certain zip code who love ice cream and rock and roll. The options are endless.

Effectiveness of the Ads?:  Facebook ads can be very effective. You are reaching potential contacts when they are comfortable, they are sitting on their Facebook in their comfort zone. You already have more trust with them than a random link from a Google search.  One of the biggest benefits is the instant customer feedback. You can instantly link to the page of someone who has clicked on your ad and build trust through the reviews that are on your page.

What is the cost of Ads?:  There is a wide variety in the costs of Facebook ads. Facebook ads can cost as little as $10 per day and up to as much as you want to spend. By testing all the different layouts you can figure out which you like best and which your customers like best. One professional recommends starting with $500 to $1,000 to initially get your feet wet. From there, you can budget it so that you spend $10 or less a day.

Have you used Facebook Ads? Did you think they were effective? What did you like best about them? We want to know what you like best!

Written by: Alyssa Shyken