Your guide to the basics of Facebook Ads, focussing on Marketplace units.

1. 1.
Facebook Advertising 101
Emily Knox
Social Media Strategist

2. 2.
DOCUMENT
OUTLINE.
1. Facebook Advertising – Ad Units Explained
2. Briefing Facebook Ad Campaigns
3. Budget Recommendations
4. ROI & Measures of Success

3. FACEBOOK AD
SOCIAL MEDIA. UNITS 3.
01.
FACEBOOK
AD UNITS

4. FACEBOOK AD UNITS 4.
Premium Ad
Placements
Premium &
Marketplace Ads
• Facebook Ads can be split into two separate types
depending on budget and booking mechanism.
• Premium Ads
• Appear on homepage: where users spend most time.
• Booked directly through Facebook, minimum spend
(POA but expect upwards of $15k), 1-3 day campaigns.
• Best if your objectives are impressions/awareness.
• Marketplace Ads
• Appear elsewhere within the site eg. Facebook Pages,
Event Pages, Profile Pages etc.
• Booked via an auction mechanic (eg. advertisers bid on
CPC or CPM, hence the term ‘Marketplace’), no
minimum spend, unlimited campaign duration.
• Great for maximising budget, increasing page likes and
encouraging engagement.
Marketplace • Ads.
This presentation will focus on Marketplace Ads.
Ad Placements

5. FACEBOOK AD UNITS 5.
What Are Ads &
Marketplace Ad Formats
Sponsored Stories?
• Marketplace units belong to one of two categories, Ads
& Sponsored stories.
• Ads - Voice of business
• The advertiser has full control of all elements of the ad,
including the title of the ad, the image and the copy.
• Sponsored stories - Voice of friend
• Advertisers don’t create the content of the ad: they are
based on organic content on Facebook, created by
Facebook users and not advertisers.
• Each time someone interacts (likes your page, comments
on a post) with one of your Facebook entities a story is
created.
• You can sponsor these stories – turning them into
Sponsored Stories.

6. FACEBOOK AD UNITS 6.
Ad & Sponsored Story
Placements
• Different Ad & Sponsored Story units are eligible to
appear in different areas of Facebook:
• Right-Hand Column
• Desktop News Feed
Mobile News
Right- Feed • Mobile News Feed
Right-Hand Ad Column
• Search Bar
Search Bar
Desktop News Feed

7. FACEBOOK AD UNITS 7.
Marketplace Ad Formats
Page Like Ad
Links to a page on Facebook.
Headline text must be name of
Page Post Ad Facebook page.
Page posts that have been Objective: increase page likes.
sponsored to increase reach. Placement: desktop/mobile
Objective: engagement with news feed, right-hand column.
content .
Placement: desktop/mobile
news feed, right-hand column.
App Ad
Links to an app (on a Facebook
page tab) rather than a page.
Objective: interaction with app.
Placement: desktop/mobile Domain Ad
news feed, right-hand column. Links to a website. Brand can
control headline text.
Event Ad Objective: website referrals.
Links to an native Facebook Placement: right-hand column.
Event than a page.
Objective: Event RSVPs.
Placement: desktop/mobile
news feed, right-hand column.

8. FACEBOOK AD UNITS 8.
Mobile App Install Ad
Marketplace Ad Formats Clicks on the ad takes the user
directly to the Apple App Store
or Google Play, depending on
which mobile operating system
the app is for.
Objective: mobile app installs.
Placement: mobile news feed.
Sponsored result
Sponsored results are sponsored search results, and appear in the
type ahead at the top of the Facebook interface. The image will be
pulled from the Facebook entity you are promoting (Page or App),
and you can point the ad to any tab on your Facebook page.
Objective: traffic to your Facebook page or app.
Placement: search bar.

9. FACEBOOK AD UNITS 9.
Page Like Sponsored Story
Marketplace Ad Formats These sponsor the Facebook action of a
page like.
Objective: increase page likes.
Placement: desktop/mobile news feed,
right-hand column.
Page Post Like Sponsored Story
These sponsor the action of liking, commenting or sharing content
from a Facebook page.
Objective: engagement with content.
Placement: desktop/mobile news feed, right-hand column.

10. FACEBOOK AD UNITS 10.
Marketplace Ad Formats
Open Graph Sponsored Story
Facebook has a set of built-in actions and objects. Some of the most
common actions are like, comment and share and some of the most
common objects are posts, photos and links.
With Open Graph however, you can build an app that integrates with
Facebook, giving you the opportunity to define your own actions and
objects.
As users use your app, they will generate stories - and these can be
sponsored just like any of the built-in story types.
Objective: engagement with Facebook app.
Placement: desktop/mobile news feed, right-hand column.

11. BRIEFING FACEBOOK ADS
SOCIAL MEDIA. 11.
02.
BRIEFING
FACEBOOK
ADS

12. BRIEFING FACEBOOK ADS 12.
The Facebook Ad
Process
• A mix of Marketplace Ads & Sponsored Stories is the
most effective, efficient and targeted way to grow &
engage your Facebook fan-base.
• The Facebook Advertising Process
1. Targeting your audience based on demographic,
interests, location, and social connections.
2. Multivariate testing of multiple artwork and copy to
determine which messaging combinations resonate best
with your target.
3. Daily bid management, culling underperforming ads and
re-investing into more successful creative iterations.
4. Reporting on:
• Effectiveness eg. fans acquired vs target
• ROI eg. cost per fan
• Page Activity eg. contribution to engagement levels
• Fan-base demographic shifts and swings
• Insights into tastes and interests of fans of your brand.

13. BRIEFING FACEBOOK ADS 13.
Facebook Ad Briefing
Considerations
• Background eg: • Timeframe eg.:
• Details of the NPD, promotion, activation the media spend • The promotional period for a Facebook competition.
is supporting. • The in-store activation period.
• Key message, single-minded proposition or benefit.
• Target demographic eg:
• Objectives eg.: • Mums of kids 5-12.
• Grow the fan-base. • Women 25-34 in Australia who love snacking.
• Increase engagement on the page. • Busy/stressed working mums.
• Increase reach of an NPD product message.
• Encourage Facebook competition entries. • KPIs eg.:
• 10k new page likes.
• Budget eg.: • An Engagement Rate 50% above the Facebook average.
• The total amount allocated towards the Facebook Ad • Reach of 1M AU F18-34.
campaign. (Budget will needed to be allocated to creative • 5k competition entries.
and management (20% media spend) from this amount.)
• The amount of pure media spend required. (Additional
budget will be added on for creative/management.)

14. FACEBOOK AD
SOCIAL MEDIA. BUDGET RECOMMENDATIONS 14.
03.
FACEBOOK
AD
BUDGETS

15. FACEBOOK AD BUDGET RECOMMENDATIONS 15.
Facebook Ad Budget
Recommendations
• Campaign spend is dependent on objectives and
previous Facebook Advertising results.
• Objective: Boost Edgerank (Reach & Engagement)
• Facebook pages should run at least 4 Facebook Ad
campaigns annually to optimise their Edgerank* (their
likelihood of appearing in fans’ news feeds/reach).
• A good guide to a base budget (before any campaigns
are allocated for) for Facebook Advertising is 25% of
your total fan cost to date:
Formula
(Total Fans x Average CPA) x 0.25 = Base Annual
Media Spend
Example
(66.7k x $1 = $66,700.00) x 0.25 = $16,675.00
*Read more about Edgerank:
http://edgerankchecker.com/blog/2012/04/what-is-edgerank/

16. FACEBOOK AD BUDGET RECOMMENDATIONS 16.
Facebook Ad Budget
Recommendations
• Objective: Increase Page Likes
• Many Facebook Ad campaigns are designed to increase
page likes, thereby increasing your Facebook database
for all future messaging.
• Set the right budget by nominating how many fans you
require eg. +10k and your average CPA (Cost Per
Acquisition):
Formula
Goal New Page Likes x Av. CPA = Pure Media Spend
Example
10,000 New Page Likes x $1.00 = $10,000.00

17. FACEBOOK AD BUDGET RECOMMENDATIONS 17.
Facebook Ad Budget
Recommendations
• Objective: Competition Entries
• If you’re running a Facebook promotion your Facebook
Ad objective may be competition entries.
• Allocate the right budget by nominating the number of
desired entries eg. 5k and use the following formula::
Formula
Desired Entries
------------------- x Av. CPC = Pure Media Spend
Av. Conv. Rate
Example
5,000
-------- x $0.49 = $4,016.39
61%

18. FACEBOOK ADS:
SOCIAL MEDIA. ROI & MEASURES OF SUCCESS 18.
04.
ROI &
SUCCESS
MEASURES

19. FACEBOOK ADS: ROI & MEASURES OF SUCCESS 19.
ROI & Measures Of
Success
• Effectiveness
• % of target fans acquired.
• % of target competition entries.
• CTR above 0.15% = Good.
• Conversion Rate above 50% = Excellent.
• ROI
• CPA (Cost Per Acquisition):
• Based on past campaigns: (eg. average $1.00);
• Facebook average: $2.00.
• Page Activity
• ER (Socialbakers Engagement Rate) based on Page Size eg.
50k-100k fans = 0.19%.
• Demographic Shifts
• Fan-base demographic shifts and swings eg. AU F18-34
60% -> 75%.
• Fan Insights
• Insights into tastes and interests of fans of your brand eg.
‘Competitive’ & Friends of Fans more likely to Like page
than Mums & ‘Positive Outlook.’

20. 20.
THANK
YOU. For further information, please contact
us at the following details:
Emily Knox
Social Media Strategist
Emily.Knox@deepend.com.au
+61 2 8917 7900