Looking for the Best Facebook Advertising Strategies? Looking for proven ways to improve your ad results? 

Below, we'll provide a simple strategy to help you plan your Facebook ads. Why is an advertising strategy becoming more important than ever? 

The ability to reach many people, the scale of advertising, and launch targeting put Facebook ahead of other advertising platforms. The success of Facebook and Instagram marketing depends on the marketers themselves, and the role of advertising strategy is only growing. 

There is no one-size-fits-all way to set up effective Facebook ads. If your product is cheap, you need a strategy, and if you are delivering products for thousands of dollars, a completely different strategy. The customer acquisition process is very different. 

Below, we’ll take a look at four Facebook advertising strategies. You can choose two things that are suitable for your business. One is - the average customer price (CLV) and the other one is the level of competition in your niche on Facebook and Instagram. 

Why the competition? In order to successfully advertise on Facebook and Instagram, it is important to stand out from the competition. How easy it is will depend on the intensity of the competition. A number of strategies that work for a less competitive company will not work for a highly competitive company. 

So let's move on to advertising strategies.

 

1. Calculate the average customer price

The average consumer price among marketers is underestimated. Because a lot of people are not analytical but more focused on the creative side of marketing. But the higher the customer value, the more you can spend on advertising. 

It also affects the size of the ad. If the customer value is relatively low (meaning your customers are spending little on your brand), then you need to reach a lot more customers, which affects the advertising of your product. 

What time frame should be used when measuring customer value? Experts advise sticking to the "golden mean". The initial cost (value of the first transaction) does not account for repeated purchases and the lifetime value is very vague. We will use the average price of the customer in the last 12 months. 

If you have a dedicated tool for calculating this metric, great. But how do you calculate it manually based on the data you have? 

Let's say your business is on Digital Marketing and the average bill per client is 1,000 dollars. How often does the client visit your packages? On average every month, unless more accurate data are available. To get an average consumer value of 1000 dollars. multiply by 12 months and get 12,000 dollars. Of course, this is not the most accurate calculation method, but we will take an approximate figure as an example. 

It is also worth considering the company's profits. In calculations, it is important to pay attention to the client's profit. Keep this in mind if your products are expensive or your service system is expensive. 

Remember, you can influence the quality of your customers by increasing sales, referral programs, and word of mouth.

 

2. Mark the competition in your industry on Facebook

Now let's talk about the competition. 

Facebook and Instagram are growing very fast, which is driving competition. If you advertise locally offered products or services that cannot be represented in other cities and countries, you will face much less competition. This is the easiest way to draw the line between low and high competition on Facebook. 

Think about the competitors your customers are buying from. If you run a restaurant, think about how many more restaurants there are in your city with similar food? How many of these restaurants have Facebook and Instagram pages? How many ads are launched? This number will be smaller than companies that sell products online and compete with thousands of other companies. 

Let's look at companies that sell their own products online? There will be more competition here. Even if your activity takes place in a separate segment of the market, thousands of other companies compete with you for the audience. 

Of course, it is not always possible to track the competition explicitly, whether the business is local or international. If a lawyer only provides his services in Moscow, the competition will be even greater. But if you sell information products that are highly niche and only a few companies offer similar products, the competition will be less even if you work in several cities and even countries. 

If you know your competitors, this is the easiest way to learn how they advertise their products. This is done by a free tool, Facebook Ad Library. 

It is enough to add the name of the competing organization in the search bar and select its page. 

Facebook will then indicate if the page is running ads, how many ads are running, and what they look like. This is a very simple and useful tool.

 

3. Determine Which Facebook Advertising Strategy Is Best For Your Business

 

We've already made it clear that Facebook's average customer value and level of competition will determine your advertising strategy. There are four different strategies based on this metric.

 

Low competition / low average customer value

If your business has low competition and low customer value, for example, you run a restaurant, hairdresser, or local store, your ad should not stand out too much. Presenting your business, offer, product or service is often enough to get people interested. Generally, you don’t have to think too much about unique creativity or take a non-standard approach. 

Your goal is to build interest, attract customers and provide them with great service. It’s important that customers want to contact you again and recommend you to friends. 

Ads usually use Reach Target instead of brand awareness, but sometimes they give the same results. 

Instead of sending the same advertising budget every month for the next few years, it is recommended that you spend the majority (about 80%) of the budget over the next 3-6 months. This will give the best results. 

The first few months of advertising will allow you to attract more people. In addition, it's best to set ads to rejoin the offer, for example, a great discount or any other offer. This should be a very low-budget ad that will remind the target customers about your product or service. But this ad will be different from the first “aggressive” customer acquisition already. 

 

Low competition / high average customer value

Companies with high customer value and low competition are usually local, but their customers are much more expensive than in the previous scenario. High customer value changes a lot, as you can get enough value from your customers. 

In this case, the advertising strategy will be similar to “set and forget”, as much as possible in the case of ads on Facebook and Instagram. 

As a product for advertising, it is better to choose something that will allow potential customers to learn more about your offer and make it easier for them to enter the sales funnel. This can be a free consultation. 

You can advertise your offer directly by setting up a campaign for leads or conversions, attracting leads to the site. These campaigns are very effective, quite simple, and you can adjust your budget to fit your needs. 

 

High competition / low average customer value

E-commerce and grocery companies that have a physical location usually fall into this category. At least in terms of advertising spending, this is the largest category of Facebook advertising. Here, too, the most complex advertising strategy is working. 

Due to the high competition, it will take a lot of effort and money to get out of the competition. However, you can spend money on marketing because the customer value is lower. 

The best way for companies that create a physical product to grow their brand is to reach as many people as possible. They will use it, tell friends about it, post pictures, and create promotions around the product. 

This type of face-to-face campaign will give you more profit at a lower cost to gain a customer. This strategy has been made more effective with the latest privacy changes in iOS 14. 

Encourage audience action. Use CTA in your marketing, “like”, “take a selfie with the product”, “share with friends” and so on.

 

High competition / high average customer value

The last category is the high average customer price and high competition on Facebook. Typically, these are information retailers - courses, advice, etc. 

Such products are often supplied remotely and compete with a large number of companies but offer substantial profits. You don't have to incur losses or break the original trade because your client is expensive. 

In this national organization, the key is to get out of the crowd. The most important advertising strategy here is maximum advertising. At the same time, 8-12 different types of ads are shown to the audience. 

The goal is to find a target audience and lead them consistently through all stages of the sales funnel for weeks or months. At this point, through advertising, you will introduce the audience to the brand. Tell us about the offer, highlight the problem and give the solution and also the facility to purchase. 

Another effective advertising strategy is to use quality creatives. If you’ve spent thousands of dollars on a campaign, the return on investment, including the cost of designers and video editors who know how to create compelling visuals, is irresistible. 

Another issue to consider is the inclusion of influencers in marketing. It doesn’t have to be a mega-celebrity, it’s better if it’s just an industry expert. If they approve or present the product, it will give you a huge advantage. 

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