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Why Meta ads are the best investment to grow your business.

May 12, 20244 min read

Why Meta ads are the best investment to grow your business.

It’s no surprise that Meta ads are awesome.

If you haven’t shared in the awesomeness. This article’s for you.

Even if you know they are awesome, it is worth the read to confirm your beliefs.

 

What makes Meta Ads Awesome?

You need to understand why it’s of utmost importance to join the Meta Ads train.

The numbers are astounding. You might not even believe them.

Facebook alone has 1.56 billion daily ACTIVE users. For comparison, that’s nearly 5x the population of the US. And 20% of the entire world’s population. Note, this number is still increasing year on year.

That’s a LOT of people. But how long are they on Facebook?

Worldwide the average user spends almost an hour a day on Facebook. Facebook has the attention of its users for approximately 7% of their waking day (presuming the average person sleeps 8 hours daily).

If you’re still not convinced of the power of Facebook. Consider that 160 million + businesses utilise Facebook to interact with their customers. With the average conversion rate for running ads being 9.21% - that means nearly every 1 in 10 people who show interest in your ad could become a paying customer.

Studies also show nearly 75% of high-income earners use Facebook. Making it a valuable place for businesses who offer premium products/services.

 

What about Google Ads?

There is no disputing the power of Google. It’s incredible at generating leads and sales for businesses.

However, the platform is more competitive. Local businesses can get drowned out and struggle to compete.

Unlike Meta Ads. All thanks to the tools they give you, such as custom audience targeting, multiple ad formats, and targeted placements. It’s a tailor-made experience for you to reach your ideal customer.

Additionally, Meta feeds into something known as ‘omnichannel’ marketing. This is where each marketing channel helps one another to form an overall marketing strategy.

Let’s say you’re scrolling on Instagram (part of Meta). An ad pops up. You click it and browse the company’s website. Then you leave the site.

Later that week, you go back onto their site and make a purchase because you remember the brand name.

You typed the company name directly into Google. Now Google takes credit for the sale. Yet, Meta Ads started the process of getting you interested in the company.

Without Meta Ads, you might not have known about that brand.

 

How to assess your ad spend budget.

You have two main Meta budget types:

  1. Daily budget – the average you will spend per day. If this is £10, in 3 days you’d spend a maximum of £30.

  2. Total budget – the maximum you spend on an ad until it stops. If this is £50, once the ad has spent £50, you won’t be charged anymore.

How do you calculate these budgets? Unfortunately, there is no one-size-fits-all answer for what local businesses should budget.

Good news. There are several factors that will help you figure it out. They are as follows:

  • Business goals

  • Do you want to drive conversions (larger investment) or brand awareness (smaller investment)?

  • Testing phase

  • Early on you want a modest budget to assess effectiveness and not commit substantial funds.

  • Audience size

  • The larger the audience, the greater the investment to reach them.

  • Ad quality

  • High quality ads (good photo/video etc.) can make a smaller budget go further.

  • Competition

  • Facebook ads work on an auction basis.

  • You compete against others in the industry.

  • The more competitive the industry, the larger budget you may require.

  • Frequency & duration

  • Running your ad at lower cost for longer, can be more effective than sporadically running ads at higher costs.

  • ROI tracking

  • You want to track your return on investment (ROI), and assess your ads past performance, to help guide your future investment.

 

What is the least I can spend on Meta Ads?

Be aware of one fact. You cannot expect results only spending £1/day.

We see it all the time. Businesses spend thousands on all sorts of things. Then become hesitant to spend even a fraction on ads.

They spend more on coffee every day then they do on ads. Yet they still want a good return on their measly investment amount. It doesn’t add up.

Remember that it’s an investment. It’s only a cost if you don’t know what you’re doing.

That’s why we have one goal with all our clients. Get to the point where every £1 you put in advertising, gets you at least £2 in return. We can do very well, but you need some form of budget to do so.

 

If you want me to look at your account and what I could do for your business, get in touch with me here:

Contact us today for a FREE Marketing Consultation

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