When it comes to many things in life there is a commonly known order to doing everyday things.
If it was breakfast time and you were wanting to have a bowl of cereal, would you start off by getting the milk out of the fridge and proceed to pour it all over the bench first, then go look for a bowl?
Most people get the bowl, then the cereal, tip some cereal into the bowl, then get the milk..then a spoon...If you have the cereal and the bowl, but no milk, you would quickly identify that you have an issue. You need to find a liquid to soften the cereal right.
Let's see how this works when it comes to marketing and what we see so often.
More Traffic Is Not The Answer
Someone might tell us that they just need more traffic and this will solve all their business growth problems.
You can easily increase traffic - just hand your credit card over to Facebook and Google and they will happily send you traffic for a cost.
But traffic (or visitors) are not all the same.
Not All Traffic Is The Same
There is cheap traffic and there is premium traffic
If you are going to pay a premium for your traffic you better know what you are doing, but if you are starting with premium traffic out the gate, this is a very strong indicator that you may not understand the order of marketing.
What is the goal of marketing? To make a sale right, or to make sales superfluous. So most people set up an advertising campaign to make a sale. This is the wrong order of doing things.
When you go to create a new campaign on Facebook, you have 3 sections depending on your marketing objective.
There is Awareness, Consideration and Conversion.
An Awareness campaign is used to get more visibility to your brand. If you use this objective, Facebook targets very low level traffic, which is the cheapest traffic. They are literally looking for anyone with a heart beat, and maybe a clicky finger!
Lots of advertisers skip this stage because they don't have a big enough budget to do this type of brand advertising, so they generally go straight for Conversion traffic because they just want to get a sale.
How many people in your target market would be in the Conversion stage, where they are very close to making a purchase decision?
The Numbers Matter
Most statistics say that only about 1 - 3% of your market are ready to buy right now, but this also depends on the price point and complexity of your products or services that you offer.
If you put up an ad saying 'buy my X' and used a Conversion objective, you will see super high cost per clicks/cost per impressions/cost per landing page views etc.
For example, you might see a cost per landing page view of $5.
If you have a conversion rate of 2% on your website, this would mean for every 100 landing page views you would get 2 sales on average.
100 landing page views = $500
If your average purchase was $50 then you are $400 in the hole since you only made 2 X $50 sales ($100) and you paid $500 to make those sales.
You could try and increase the conversion rate on your website in the range of 2.5% to 3%, but those numbers still fall short of making a profit in this example.
Back to the drawing board we go...
Remember, advertising dollars are never wasted IF you have a plan and see this as a testing phase.
In the above scenario would have learnt that you can not use the Conversion objective at the start of a new campaign.
You have to now use a different objective, in the Awareness or Consideration stage, and test again.
It's fine to start a new campaign using a Consideration objective like traffic, engagement or video views for example.
Let's continue with our brainstorming thoughts here...you want to get cheaper traffic, and you now want to be targeting people who are aware they have a problem, and they are actively researching different suppliers. They are Considering their options right now.
Your task now is to put together ads that help them in this Consideration stage and position yourself as the company who can help them.
This is not the stage to say 'Buy my X for X% off now' etc as they have no idea who you are.
This type of message can be used in the Conversion stage as the price could be what tips things in your favour, but you ideally don't want to be competing on price alone.
You want to educate them about your unique solution, your experience, your results.
What thoughts are going in their head at this stage? What questions are they thinking about?
If you were in their shoes what information would you like to be handed to you, to help you become more educated, to give you confidence in making a decision to make a purchase?
If someone has now watched a video, clicked on a post, spent some time on your website, you would want to continue to be in front of them because they are now a 'warm' prospect.
You don't want to continue sending the same ads to these people because the goal of your marketing is to move them further along in the buying process.
Once they are aware they have a problem, they have narrowed down their options based on certain criteria they have learnt, they feel empowered and confident to move closer towards making a purchase, you can now show this 'warm' group of prospects your pitch, testimonials from happy customers, abandon cart messages and after purchase ads to encourage repeat consumption.
You may be wondering how in the world can you get in front of these people? This is where the Facebook pixel does all the heavy lifting.
Note: Pixel Installation
You should not be spending any money on advertising until you have your Facebook pixel correctly installed. Pixel data is what you are purchasing. If you don't have a pixel installed correctly, this is like going to a store, paying for your goods, then walking out without taking your goods with you.
When you capture this data you can segment this data based on certain actions, then create custom audiences. These custom audiences are then used for targeting when setting up your adsets.
Please refer to the following article links below to learn more about Remarketing.