4 Ways To Reduce Your Facebook Ads Costs



If your Facebook Ads costs, specifically, your CPCs (Cost-Per-Clicks) are increasing and becoming unsustainable, then this morning, I have something that can help.

I'll be sharing 4 actionable ways to reduce your CPCs that you can implement today.

Without further ado, let's jump into it...

#1: Manual Placements

If you're following Facebook's advice of using the Advantage+ Placements option to tell them to show your Ads all over Facebook's ecosystem (i.e. Instagram, Messenger, Facebook, Audience Network, etc), unfortunately, your results are unlikely going to be anything to write home about.

Instead, choose the Manual Placements option and tell Facebook to only show your Ads on the Facebook News Feed.

From all my testing, none of the other placements, aside from the Facebook News Feed, works particularly well for authors.

This switch from Advantage+ Placements to Manual Placements should provide you with a quick way to reduce your CPCs.

#2: Review Your CTRs

CTR stands for Click-Through Rate and it's measuring the ratio between the people who see your Ad and the people who actually click on your Ad.

The higher the CTR, the better your Ad is resonating with your target audience and, because of that higher CTR, Facebook will generally reward you with lower CPCs.

If the CTR of your Ads is below 3%, there's just something about the Ad creative itself that isn't resonating with your target audience and it needs your attention.

CTR has a big impact on CPC and if you can improve your CTR to 3% or above, you should start to see your CPCs drop.

Clearly, you need to be sure you're targeting relevant audiences too, because there's little benefit to come out of showing a romance book to people who don't read romance books!

But if your audiences are relevant and your CTR is below 3%, then get to work on tweaking your ad creative, which, incidentally, brings me neatly onto #3...

#3: Regular Ad Creative Testing

Testing new ad creative regularly is going to have a huge impact on not only your insights into your audience and collecting data, but also, you're highly likely to find some ad creative that just works 100x better than any ad you've ever launched before!

Personally, I like to test new ad creative on a weekly basis, because that way, when I start to see an existing ad fatigue (which you'll identify by CPCs beginning to increase and CTRs starting to fall), I have new Ads that are proven to work and ready to roll.

Granted, a lot of your ideas won't work; the majority of them, in fact. But you don't need all of them to work; you just need a few winners that can be scaled up.

Ad fatigue is one of the leading causes of rising CPCs, and it happens when an audience is seeing an Ad too much. So, to get around this, you just need to show these folks something different, shake things up a bit!

Look at the Frequency metric in your Facebook Ads dashboard; if you see an Ad with a Frequency of 2.5 or above, that Ad is likely to be suffering from Ad fatigue and it's time to show this audience something new.

#4: Use a CTA Button in Your Ads

Facebook allows us to choose from a selection of pre-written Call-To-Action buttons on your Ads, such as Shop Now, Learn More and Download.

Personally, I see the best results from Shop Now and Learn More, so that's where I recommend you start.

You can choose not to have a Call-To-Action button in your Ad, but from all my testing, I have found that including a button actually helps reduce CPCs and increase CTRs.

In fact, I have read that telling people what to do on any Ads or web pages can increase CTR by around 80%, which is huge!

So, if you are currently not using a Call-To-Action button in your Facebook Ads, add one and see how much your CTRs rise and CPCs drop.

TL;DR (Too Long; Didn't Read)

#1: Show your ads on the Facebook News Feed only

#2: Review CTRs and change ad creative if CTR is below 3%

#3: Test new Ad Creative on a weekly basis

#4: Use a Call-To-Action button on your Facebook Ads

So, that's what I've got for you today! If your Facebook Ads costs are spiraling out of control, one or more of these tips I've shared should bring things back under control.

To Your Success

– Matt


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