1. says

    To be honest why you are paying so much for your ads, I mean you put up to $1.1 per click ?
    I know you are telling that conversions are great (and I agree) but isn’t that a very big cpc compared with others such as adwords ?

    • Massimo Chieruzzi says

      We’re bidding oCPM so there’s not much control over the CPC .. it’s high but for a b2b service could make sense (The campaign was not super-optimized … good targeting but that’s it, it was a quick and dirty experiment).

      Also influencing the cpc, the data set shown is a segment, the campaign had started 1 month before and at that point already had a pretty high frequency and performances were getting worst … the first month would have been a much better example but unluckily I didn’t have the web server log to show for the first period :)

  2. says

    I tested the referrer when you click on a live preview of your ad and it was Don’t know though, whether the preview differs in that respect from the actual ad display. If not part of your traffic from this referrer may well be ads click too.

    • Massimo Chieruzzi says

      It could be ! We sniffed the web traffic when clicking on a live ads and we saw that it was redirected through but there was lot’s of javascript involved. I’m pretty sure some of the referrer included Ads as well, otherwise the number of organic clicks would be really too high!

      Btw: Just checked out your website, love those data visualization projects you’ve done!

    • Massimo Chieruzzi says

      Lol, thanks for pointing that out Jim, It’s a standard Tahoma font but you’re right, we’ll soon release our new website and we’ve made it more readable :)

  3. Jason Biddle says

    Great post, Massimo. The biggest takeaway is a breath of fresh air. Test, test, test!

    It seems as though there are only more and more articles on “How to Get More Likes” or “How to Get More Followers.” While there’s nothing inherently wrong with these metrics, I think too many assumptions are being made concerning their value. Last I checked, there isn’t a business model that earns revenue directly from Facebook Likes or Twitter Followers.

    I think we’d all be much more empowered if we learned to focus on theory rather than modeling. Reading how one company got certain results, copying its methods, and expecting the same results is ridiculous. The insights to glean from a case study is the theory and reasoning behind the results, not the method itself.

    Here’s an oldie but a goodie from Eric Ries on vanity metrics that says it better than me:

  4. Neeshu S says

    People who are complaining here are unaware of the power of facebook I recon because, facebook is about branding its about brand recognition.
    It is not just about hey click and visit my site. If you really want people to engage you have to try facebook ads, its good CPC and CPM wise, I had used it in the past about 4-5 years ago and spent 50 dollars which had led my company to gain 300 visitors as reported by statcounter. With just 1 lead in travel niche, for a website which was just a month old I think the numbers were quite good. Stop complaining guys don’t let Adwords dominate the market.

    • Massimo Chieruzzi says

      That’s a good point Mike, however I guess the impact on a large data set should be pretty small … < 1% I’d say. Just guessing of course!

  5. says

    Sorry, I’m still not convinced. We started running Newsfeed Ads in January and were shocked when we got 2%+ CTRs. So we built a sophisticated test recently to determine which images, headlines, text, and landing pages would convert best. We’re very familiar with FB Ads, landing pages, and how to drive a clicker to take our ‘conversion’ action.

    What we found is that we’re still getting around 2% CTR. What we aren’t getting is anyone to click on our learn more or check availability buttons. These ads ($500+ per week) are very targeted towards engaged women in our target market. The exact same landing pages are getting 5%+ conversions from AdWords.

    I’m pretty convinced that almost all of the activity in FB revolving around likes and ads is bogus. It’s been shown that there are massive operations with people clicking on all kinds of stuff to appear to be legitimate accounts.

    I really wish FB ads worked, it would be great for our business. I just don’t see the results.

    • Massimo Chieruzzi says

      Thanks for sharing Mike, too bad to hear Facebook Ads didn’t work for you! Honestly it can happen, there are some businesses and markets where they simply don’t work.

      I think you’re selling services/products related to wedding. I have no specific expertise in this market but overall if you’re selling something that is only useful in a very specific timeframe (holidays could be another example), Facebook tends to perform worst than Google. That does make sense. On Google you’re advertising to people actively looking for information related to their wedding, you’re reaching them exactly when they need. On Facebook you’re more vaguely targeting people engaged ( … or that Facebook think are engaged).

      There are for sure large like farms that randomly click ads and everything to look legitimate. I have no idea how massive they can be but with a good niche targeting like yours and 1.2Bn people on Facebook I can hardly believe they may have an impact bigger than 10% (this is a random guess … I have no data to support it and I think/hope it’s actually much lower than that).

      Again, thanks for sharing, this is really an hot topic and any additional data/experience is really helpful!

  6. says

    Great post, Massimo! I think people like to generalize things, which is not a good idea in any aspect of life. Saying Facebook works or doesn’t because of the 20% fake clicks isn’t a legit argument. First, advertiser needs to determine what “works” means for them. Do you try to increase the number of likes, buy high retention customers for $15/piece, get visitors that will be retargeted later by more effective ads? Define the goals first and then see if it’s accomplished. Counting clicks has no value without a well defined strategy on what to do with those clicks. Then, you should consider whether it works or not based on the audience and human factor. I would imagine that Facebook Ads may fail for many industries. By fail I mean they loose comparing to other ad platforms. It would be interesting to see your analysis what industries produce better results on Facebook in particular. Selling cat hats next to a viral kitty video could be more effective than selling apartments in Hawaii to someone looking for a quick vacation.

  7. says

    I disagree. Let me explain my situation. I setup two campaigns and let them both run for 2 weeks. One for clicks and one for impressions. The ads both clicked to my website. I targeted a specific interest group. In a nutshell, what I got was 90% or higher bounce rate on both ads. So, thinking that it was one of my sites I tried again with another site and 2 ads. A completely different type of site and guess what? I got 85% bounce rate. What I determined was that for the two types of sites that I promoted, neither of them worked. People were clicking and leaving and I have a pretty good landing page for the interest.

    Do the ads work? I suppose they do for some. The end result for me was that advertising on FB should be for branding only.


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