Lesson 1: Walk Through Your Live Campaigns (Indiegogo)

After publishing your campaign, the ad becomes active some after and you need to wait at least a day or two to have an initial overview of your ad. Additionally, it largely depends on the budget you defined and the number of impressions you will receive. Please make sure to get at least 1000-2000 impressions before you do your first walkthrough of the campaign.

When your ad is first delivered, Facebook doesn’t yet have the necessary data so it passes to the learning phase showing your ad to different types of people. Usually the ad will exit the learning phase after it brings 50 purchases in a week.

Here you can see examples of ad sets that are still in the learning phase. As soon as they exit that phase, they will become “Active”.

CPM – This is what you pay for 1,000 impressions, so the lower this metric is, the better. Here’s how it’s calculated: It takes the total ad spend and divides it by the impressions received, then is multiplied by 1,000.There is nothing specific that  impacts this metric, the reasons for high CPM can vary from the wrong target audience, or bad optimization to bad creatives.

Here are the main reasons for high CPM:

  • Wrong targeting – your audience is not interested in this product.

  • Too narrow audience – in case of retargeting or targeting specific customer lists, it’s normal that the CPM is high. But maybe you’re using lookalikes or cold targeting and your audience is too narrow. This can result in high CPM. You need to modify your ads and broaden your audience.

  • Your ads’ relevance score is low – this means that your target audience and your visuals are not connected. For example let’s say you’re targeting people who are mainly interested in gaming/video games, but your visuals emphasize how durable and waterproof the SSD is. Maybe it’s important for people to know about the SSD’s durability, but it’s not the main customer pain point when targeting gamers.

  • Lack of engaging elements in your ads – this means that your ad isn’t creating any “wow” emotions after people see it. You need to add several emojis, or include urgency creating texts/headlines such as “This offer ends in 1 day”, “Only a few left”, “Prices go up in 24 hours”,…

  • Wrong creative format in your ads – let’s suppose you created an ad and used only 1 image in your ad, but most of your audience would have been more engaged if they had been shown a video. That’s why we highly recommend using at least three formats in your ads (Image, video, carousel).

Well, in our example the CPM is $9.32 which is almost average for this campaign.

CTR (Click through rate).This is a Facebook ads metric that measures the ratio of clicks (how often someone clicked on your ad) to impressions (how many times your ad was viewed on the platform) for individual ads.

For example, if 1,000 people saw your ad, and 100 people clicked on it, Facebook first divides 100 (number of clicks) by 1,000 (number of impressions). The result of that calculation is 0.1, which is then multiplied by 100 to get your CTR percentage: 10%.

Bad or good CTR varies from project to project so there’s no ideal CTR that we always refer to as our cut-off rate. For one well-performing project the average CTR can be 2% , for another one it can be 6%.

Based on our experience and studies an average/good CTR is 2-5%.

Tip: Please also pay attention to impressions and the number of clicks, as sometimes you will have let’s say 10 impressions and only 1 click, hence your CTR can be 10% but it’s never considered to be a reliable result. The CTR of retargeting campaigns is always high, so don’t include it in your average calculations as it can be misleading.

The main reasons for low CTR relate to targeting and visuals. So if you’re having issues, you need to first work on the visuals – change them, be more creative – then if that doesn’t work consider changing the targeting too.

As you can see from my example, the CTR is 0.9% which is not very good. We can assume that if we improve our CTR, we will also improve our results.

If you can’t see all these columns in your Ads Manager’s dashboard, don’t worry, you can add them manually.

Click on the blue + on the right side of the dashboard.

Click Add Other Columns

In this window you can search and select all the metrics you need, and they will appear on the right side.

To be able to see the website purchase conversion value, search for “purchases” and make sure to put a tick next to the value column.

After adding all the necessary metrics you can save it as a preset, give it a name and click Apply. So now you won’t have to add all these metrics every time you want to analyze them.

Now click on the Columns option, scroll down until you see Important metrics. Select it and all the metrics will appear on the dashboard.

In the same column you can see many other groupings, for example in the Performance and Clicks section you’ll find all the metrics you need for tracking the performance of the ads, such the CTR, CPC, CPM, clicks, frequency, etc. However, the most convenient ones are the ones you create yourself.