This action-packed episode is brought to you by the performance marketing experts at Voy Media.
8 Ways to Lower Your Advertising Costs
INTRO: It’s obvious if you’ve been on the Facebook platform for the last few months, the costs of advertising are rising. Some sources even report a 100% Year-Over-Year increase in ad costs.
1) Better creatives.
Lower your CPC. If more people are clicking your ads, for the same Cost per 1,000 Impressions, the cheaper each click will be.
Mentioned this in a previous episode.
2) Broader targeting
As audience size increases, CPMs generally decrease.
What is CPM? Cost per 1,000 Impressions?
As CPM decreases, CPA and all other costs decrease.
Lowers CPM because you’re targeting more people, less likelihood of a competitive audiences.
3) All placements, or “Auto Placements"
This broadens your audience sizes to all placements, which as we said increases audience size, therefore lowers CPMs.
All devices too.
Many accounts we see are on just Facebook feeds, or JUST Instagram feeds.
4) IG Stories
It’s not uncommon in our campaigns to see every ad set duplicated and given the IG Stores placement only.
We have dedicated creatives to this placement.
We see lower CPMs on this placement, on average.
5) International Targeting.
This is an easy way to increase your audience size.
This also is just a fresh group of people with likely similar interests/behaviors as your domestic audience, but you just haven’t reached them yet.
Make sure fulfillment is prepared for this. If you have an info product this is a no-brainer.
Make sure to only target in the language of your ad, English.
6) Manual Bidding
Cost Cap and Bid Cap are great ways to reduce costs. This simply prohibits Facebook from bidding on audience members who cost more than you want to convert.
One caveat here is delivery. Pay very close attention to your bid, and increase bids very gradually until delivery increases.
It’s common to bid higher than your CPA just to get delivery.
CPMs on Snapchat are a fraction of what they are on Facebook.
Super easy platform to set up and use.
90% of people in the US ages 13-24 are on Snapchat, which is more than FB & IG combined (according to Snapchat). If you have a strong audience in this date range you must be on this platform, aside from just the costs being much lower.
8 ) Increase Customer Lifetime Value
Utilizing unpaid media like email and organic to get repeat business from people you already won over.
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