Conquering Chaos

Ep 9: Facebook Ads - Strategies for 2019 with Azriel Ratz

May 28, 2019 Season 1 Episode 9
Conquering Chaos
Ep 9: Facebook Ads - Strategies for 2019 with Azriel Ratz
Chapters
Conquering Chaos
Ep 9: Facebook Ads - Strategies for 2019 with Azriel Ratz
May 28, 2019 Season 1 Episode 9
Erin E Hooley
Show Notes Transcript

With the Facebook algorithm ever changing, it's easy for marketers to feel frustrated and at times defeated watching diminishing ROI's amidst increasing ad spend. The reality is, what worked yesterday isn't working today, but that doesn't mean Facebook advertising isn't working! It's still the #1 social media platform amongst brands and marketers. So rather than a last minute ditch effort, it's time for a fresh perspective as many of us reacquaint ourselves with this constantly evolving platform. 



Speaker 1:
0:01
Welcome to the conquering chaos podcast. I'm your host, Aaron [inaudible], president and founder of multimillion dollar ecommerce children's clothing line, Bailey's blossoms. So it turns out I'm pretty good at business, but what really lights my soul on fire? It's providing other entrepreneurs and mompreneurs with the tools they need to truly succeed. So if you have a business or have one on your heart, you're in good company. Pull up a chair or dropping some ear buds and let's conquer some chaos today.
Speaker 2:
0:29
Today I'm speaking with CEO of rats, pack media, Azo Rats, and he created Facebook ads mastery in 2017 and wrote, find, engage and optimize in 2018 with an average return of 500% on ad spend with the companies he's worked with. I am excited to have important to each of you guys and provide you with the steps to optimize your ads and get better results. Hello Israel. Thank you so much for having me. Thank you for being here. Oh, so you've been in the realm of Facebook advertising for about seven years now, so I've got right,
Speaker 3:
0:59
yeah, 2012 here for awhile.
Speaker 2:
1:01
So you've obviously seen a fair amount of changes and a lot of people I know are kind of shying away from the whole Facebook advertising out of fear. So what are, what would you say to those people that are a little Facebook skeptical right now?
Speaker 3:
1:15
So the first thing I would say is that, um, it's not as scary as you think it is. You don't have to come into Facebook and spend like thousands of dollars every day. You really don't have to spend so much money. So it's not like, well, if I can't spend $100,000, I might as well not spending anything at all. Uh, but on the other hand, Facebook makes it really easy to spend money. If anything, you should learn from how good Facebook it is as at, at monetizing businesses. Um, but they make it much more difficult to successfully run Facebook ads. It's really easy to run Facebook ads, but much more difficult to successfully run Facebook ads.
Speaker 2:
1:54
And I know a lot of people that have been doing Facebook ads for a while, myself included. It's really easy to look at what was working yesterday and get really frustrated that it's no longer working today and say, you know what, I want for work yesterday to continue working, so I'm just going to keep trying it over and over. Is that the definition of stupid that you try and same thing over and over and expecting a different result. What we're getting a different result just on the opposite end of the spectrum. So for those who are struggling with this, obviously it's get on the bus to change. Things are changing and adapting and what does that mean? I would say
Speaker 3:
2:29
I would say that the, the last six months have seen seen more change on Facebook than the last six years. Just more things like that. I never thought, I would say I always thought that that video would be images that might not be true anymore. I always thought that, you know, running link clicks to cold audiences and conversion ads to warm audiences was the right way to go. I don't think that anymore. There's, and there's just like so many things that were the, the everyone always did it. Taking one campaign and running a bunch of ad sets and having them each test to get you. That's not how it works anymore. Like the structure of your eds, the targeting of your ads, the creative of your ads are totally different than what they would have been and what would have been successful six months ago.
Speaker 3:
3:18
Okay, so let's break that down. What does this new process look like? So the first thing that I want to do is make the easy money that I call it the lowest hanging fruits, right? Everyone wants. So normally your warm audiences work better than people who've never heard of you. So I called these warm audiences the core six. It's six audiences that are the first people you should be running money too. If you are not spending every dollar of your budget. And for some companies that could be two, three, four, $5,000 a month on just these six audiences, you're likely losing a ton of money. Number one, your email list. People that have either joined your list from whatever sale you are having or you know, you, you, um, you were hitting some booklet away for free or a free shipping coupon or whatever it was.
Speaker 3:
4:08
You have a bunch of people on our email list. They should be seeing your eds people. A lot of businesses here give like pushback. Both they're on my email list then they would have bought from me for my email except that you know, and I know and everyone knows that open rates, if you're really lucky, I know what company that gets 40% open rate. If you're like, that's just like you're killing it, you're getting 40, 40%. So that means that 60% of their email lists doesn't even know. They sent an email, like forget, like didn't open. They didn't even see the email in the list of things that came in. And then on top of that, if your click through rate is, is 5%, you're basically like an email wizard, right? So that means that 95% of the people that sign up to your email list never even got to your landing page.
Speaker 3:
4:56
So the first thing you want to do is hit these people on Facebook because they are there and they already know you and they likely would have bought whatever it was that was in your email, but they just didn't see a competitor. So that's the first one. Number two ways, website visitors, people that have been to your website before there 100,000 reasons why they could have come. They're an amazing blog. Someone shared it you, you were on a podcast, right? Whatever reason it was, they came to your website. Those are an amazing group of people that know you, but I've never bought from you before. Number three is anyone that likes your Facebook page, right? You have, if you have a hundred or you have a hundred thousand or a million, these people chose to like you on Facebook. They know you and they care enough about you that in theory they'd want to see more.
Speaker 3:
5:47
That's an amazing people. Number four is anyone that's engaged with your page. And Facebook defines that as a few things. One, they visited the page, they message the page, they see the posts from the page they engaged, which is like share or comment to the page. They message the page. Those are all, or they just watched the video. If they want it, a minimum of three seconds of any video that you ran on your page. I think there's also one click the button that's so seven different ways of targeting those people. Um, for post page engagement. And then number five is your Instagram. So for every light comment share or you have on your Instagram, that's also an audience you can target. And finally, if applicable, in some cases your Facebook friends. So there's our six core audiences that know you, trust you, care about you and want to hear from you. Yeah. And those are the first dollars you want to be spending on Facebook.
Speaker 2:
6:45
Amen. Oh Man. Preach. Okay. So when would you get those audiences down? How much does that audience size matter? Because that audience size for me and for somebody next door to me, it's going to be completely different. So how does that work? Right?
Speaker 3:
7:01
So, so obviously if you have a million, it's a lot more people to talk to you then if you have a thousand, right? So what you want to start with is figure out, this is going to get a little complicated, but figure out your CPM, which is your cost per thousand impressions. And then once you know how much you're paying to reach this audience, this email list is Facebook page, whatever that looks like. You could figure out how much it will cost to reach everyone on that list. If it costs you a dollar, would you want, let's just say it costs you a dollar to get in front of a thousand people and you want to get in front of 100,000 people, that would be $100 okay, so now, so that means that for every hundred dollars you spend, you will reach approximately every one one time. So that means we know that for every hundred dollars now obviously you have to do that math for yourself. Right? How much does it actually cost you and how large is your actual audience? Um, you know, for every hundred dollars you spend you're going to reach everyone. Well, how often do you want to reach everyone? So my guess is somewhere around five to seven days. So that means that you want to be spending in that ad set to that audience about 25, 20 to $25 a day. And that will allow you in every five days to reach everyone about one time.
Speaker 2:
8:28
Okay. And just to clarify, everybody that you blocked out, people who are on your email list, people who've commented, people, all these different groups, are these individual audiences or are you grouping them together in one hole? Cause I'm assuming there will be some overlap.
Speaker 3:
8:43
There will be some overlap and I'm fine with the overlap. Facebook reps tell you they're not fine with you over, I'm very fine with the overlap. First start off, day one, you want to separate each audience. So you could say, oh, emails work. Oh this interest works. Oh this, you know, friends of Facebook likes that. That's a successful targeting. Now once you know all those pieces and he'd been running and for two, three, four, five months, you can now say, I know these three lookalikes work, these six interests, work these for custom audiences work. Now I'm going to hand that information over to Facebook and let them do the testing all within one ad set.
Speaker 2:
9:21
Awesome. And you brought up a good point too because first we're talking about all those, that low hanging fruit, those people that are already engaged, they already know who you are. That's your, your warmest of your warm audiences. And then you've got your cooler audiences, the look. So let's tell, talk to everybody about what that is in case they don't know.
Speaker 3:
9:39
Yeah. So, so Facebook, again, being insanely smart at everything. Um, they can look at everyone in your audience. So you can create lookalike audiences from every custom audience you have. Let's say you have 5,000 people on her email list. And you want to find more people like those people. So you'll upload the email list, Facebook, Facebook will match the email address to the Facebook app Id, the Facebook profile id of that person. And then they'll have data on these five that was say 4,400 of the 5,000 people they have, they've matched and now they can look at certain interests that these people have that you can never know. Right. Did you know that all of the people that love to buy from you also love moths? I Dunno, like they love butterflies would have thought that, you know, like totally something totally out of the box.
Speaker 3:
10:32
Um, you would have no idea. But Facebook knows because they own the data. You don't know which, you don't know anything about these people like you think you know about these people. But little did you know if there was a specific interest or an age group or a state or a platform that they use, like they use Instagram more than Facebook earth. They use their phone more than their tablet or things you can't possibly know. But Facebook does have all that data. So you're basically telling Facebook, I want people like my people, right? Here's my people, find them. And then his pool, look at any country that you're running ads to and they'll give you look alike audiences based on a percentage of, of the audio of the total audience on in that country. So for example, if you're in the U S which I assume most of your listeners are up in the u s or targeting to people in the u s so there's a total of 2.2 um, 220 million people in the us that are on either Facebook or Instagram or whatsapp, but we'll lock it, kept technical for a moment.
Speaker 3:
11:30
Um, so there's 220 million people in the whole us that fit, that are indeed, that are on Facebook. Now you want to create a 1% look alike, which means 2.2 million of the 220 million. So now you're basically telling Facebook, find a look alike audience of 1% the size of the country that look like my people. So you take your list of 5,000 people and they shoot at you a list of 2.2 million people they think are the most similar 1% to that entire country. But now think how that works in every other country, right? Like I live in a country in Israel with only 15 million people. So 1% of the audience is only 150,000 people. So now that's a much smaller audience than the 2.2 in the u s or Canada's 30 million people. 1% of 30 million people is only 300,000 people, right? Right. For every country you're targeting, you have to remember that's how these work.
Speaker 3:
12:28
But the great thing is people will let you go up to 10% of the country. So that means that they'll, that you could do, I want 2%, which comes out to 4.4 in the u s or whatever the number is. We don't have to do all the math for all the countries, but essentially based on the percentage you choose, they will find the closest one, two or 10%, uh, people in that country, like the people you're showing them. And this is an incredible tool because Facebook knows your people better than you. Yes, they can test against the people better than you can ever test the people and it's likely they will be way more successful at finding people that want to buy your thing then you ever will.
Speaker 2:
13:07
So Dang, good point too, because I think it's, it's really easy. We talk a lot about building your customer Avatar. Who is your, who is your ideal customer? And a lot of people, at least for us, um, when you create a business, oftentimes your ideal client is you, you're solving a problem that you wanted Saul. So you created a business but you wanted to, that you wanted to see. So oftentimes this Avatar we insert ourselves, we project ourselves into those avatars that we create for who we think our general audience is. But then we have to step back and step out of our ego and say, wait a second. While that's true, I am one, I am one of the however many million people that might be interested in my product. So I can't only solely judged my Avatar, my customer, my entire audience based off of my interest alone.
Speaker 3:
13:55
Yeah. Allowing Facebook to do a large amount of testing on their side with lookalikes is incredibly powerful and right. Again, leaving tons of money on the table every day. You're not testing different lookalike audiences.
Speaker 2:
14:09
Yes, I love it.
Speaker 3:
14:10
So we started off with our core six, right? Right. And how much money can you spend on that? Now obviously some with a million likes could spend a whole lot more than someone with a hundred likes or a million email subscribers or whatever that that is going to feel however much of your spend will, it will fill, right? The next move I want to do is what I call like later too. So layered two ways. The lookalike audiences and connections of the core six. So your friends or Facebook likes your, um, friends. If you have an APP, friends, people that have the APP is a targeting option. Um, and then geographical or behavioral targeting that's incredibly relevant for your business. And obviously you're selling to parents with kids that are between the age of three and five and are interested in the show shimmer and shine. So that's like a very specific targeting audience that you could run ads to.
Speaker 3:
15:07
So do you know what those interests, again, those are the first ones I want to target those behaviors that they have. Oh, I'm specifically trying to reach lawyers, but guess what? You could run ads to people with the job title of lawyers. So those behaviors. And then the last layer is the totally cold audiences interest based targeting. Maybe just like geographic targeting. Is it that that basically covers all of the target now how much of it should you do? You should start with the smallest, closest knit people and then slowly move out to more people as you're spending more and already seeing the results. So we have this rule in marketing called the rule of seven, which is that you want to tell, talk to people approximately seven times before they'll actually buy from you. Right? But I don't want all that to happen and within 10 minutes, right?
Speaker 3:
15:53
I want them to be able to like, Oh, you are, oh my friends like them. Oh, like it's not just like look at my ads every day. That's like not what you want here. Right? So, so that's why I try to keep it between five and seven days. But you obviously should be testing different creatives so that they're not seeing exactly the same thing every single day. So if you're spending in one specific ad set that $25 and you're spending the targeting the same audience with a different Ed, another $25 so they won't see exactly the same thing over and over again every five to seven days, right? You're going to see a slightly different message message with a slightly different creative, with a slightly different offer. And that's gonna. That's gonna be what allows you to know what is working best to those people.
Speaker 3:
16:46
And what return you're getting so you can know, oh, this one's working better, let's spend more. Okay, it might be that my frequency is going to go too high, but they're enjoying it. People are buying, people are clicking. I'm getting all of this engagement, I'm getting, you know, tons of comments and shares and stuff like that. So it's worth it to go above the five to seven, you know, one impression for every five to seven days. But it's a good benchmark to start at. Just try to go for five to seven because if you, if the, if you're reaching them every day, even if they wanted to buy from you by the 15 day, they're not interested in talking to you anymore. So like, you know, yeah, exactly.
Speaker 2:
17:24
Wait, the talks about finding those perfect audiences. Now what's next? Obviously we have to find the perfect APP. What does that look like?
Speaker 3:
17:31
Yes. So that is an everlasting gay and that you will never win because there, there will never be the perfect Ed. Facebook announced about let's say three months ago. Um, their standard ad sizes, now one 80 10, sorry, 10 by 10 80. So for all those old school Facebook advertisers, the normal size forever in a half was 1200 by six 28 which is likely the size of the screen you're looking at right now. 1200 by six 28. That was the size everyone always used. So the announced just about three months ago. Don't quote me on that date. Um, that standard size, both for Facebook and Instagram is now 10 80 by 10 80 and square images take up a whole lot more real estate then then correct. 12 1280 12 by six 28, 1200. By six 28, it takes up about like an extra third of the screen. So now if you are using square images, the people that see your eds are considerably more immersed in the ad than one that is a con, a much smaller image, right? So by using a w, it's not even larger. Using a square image fills up more screen space on Facebook. So that's what reason, one, I have seen a ton of times that a squared or image will outperform a lot of stuff. Now the next thing you want to do is use a creative that is, that stops them from scrolling. Yeah. Right? So I that
Speaker 2:
19:02
or, or um, coffee
Speaker 3:
19:04
image slash video is the first is the thing that makes you stop, right? You're not going to read the copy until you see the image, right? So the first thing I need is a, is a creative that gets you to stop. Now there's a lot of ways of doing this. I've heard people say make the picture black and white because they're like, oh, why is it black and white? And then you are like, you know, like one color. Like you see like everything's black and white and then like the pennies holding his blue or something. And that gets you to stop things that are weird. So one of the things that is weird is an image video where the words move but the picture doesn't. So what I've seen a lot is like person standing on stage presenting in front of an audience. And the picture is just what it is.
Speaker 3:
19:43
But then there's like words that come up on the screen that says like now presenting in Chicago by today. Like that's the Ed, right? So that type of Ed is, which is different than what you see on, like as you're scrolling through your Facebook feed, as you're scrolling through your Instagram feed, that's the thing that gets people to stop. You could take your pictures you're already using and then just make the picture into a video, right? It's just put some words on it like the dance a little bit and great. You got yourself a video. It's really bad, easy to start. And what I noticed is sometimes those things that are the easiest work, the best Facebook slideshows, which is literally a PowerPoint presentation with just images with like really generic audio. I Dunno if you've ever listened to the audio options on Facebook slideshows, but they're incredibly generic and these slide shows many times outperform high production value videos.
Speaker 2:
20:41
Facebook used to have that whole 20% text rule and yes, where was saying no more than 20% of your content in your visual can be texts and they removed that. But it only, they made it worse. They did. They hate it worse. They seem to have more regulations. They just don't tell you what those regulations are
Speaker 3:
21:04
explained the regulation first m and say what they did. So Facebook knows human psychology very well. Like probably one of the businesses in the world that understand human psychology better than almost anyone. So they know that their users, people will do things because they're people not because they like to do things. As an example, if you see yes, if you as a human see words on an image, you read the words, it's a thing they know. So if you use the Instagram, when Instagram first came out, the thing that did really well was just quotes, like just images with quotes. Like really like Abraham Lincoln said, don't believe everything you see on the Internet. Like literally that type of quote. Right? And, and that's what did well, why did it do well? Because people read words on images, right? That's what, that's what Facebook knows. People read words on images.
Speaker 3:
22:07
So what they did was they started asking people, right, you engaged, you commented, you hovered, you watched, you shared this picture with words on it. Did you actually enjoy that experience? And what they found was that people did not enjoy that experience. That there were more enjoyable experiences on Facebook then reading a quote on your Instagram feed. But you do it because you're a human and humans are predictable and do the same things all the time. So essentially what Facebook said is they said that means that people can create an ad that is low quality but forces, so to speak, people to engage based on how humans act, right? So we want to level the playing field. We want to eliminate the possibility of people using tricks and you know, whatever it is to trick as basically trick people into engaging with their content, which will lead to them getting cheaper impressions and cheaper clicks and higher, you know, returns.
Speaker 3:
23:16
We want to level the playing field. We're just going to say don't put words on your images. Right? And then people figured out how to say the system because they had this 20% rule and it's a really weird thing where like a bunch of boxes and like, well does it fill in this box and does it fill that box? And like, oh, what kind of like font is it in? And there are all these ways of getting around it. So Facebook basically said, we're getting rid of the 20% rule. Here's our new rule. You can have texts and if it has too much text will penalize you. Now I'll tell you, I've spent a lot of money and I don't know what the word penalize you means. I've no idea. I have tested ads, the same ad to the same audience, to the Siem, everything.
Speaker 3:
23:53
And the only difference was one image had words on it and wanted me to do it, didn't have words on it. And the world with words did better on every metric. It got cheaper impressions, it got cheaper clicks, it Gotcha. And then they're like, you know, if you change it to a one without image, like without words on it, it would do cheaper. So I'm like, okay, it does way worse. So I don't know what penalize you means. I've never actually seen it, but that's what they claim happens. Now, if you have a crazy amount of texts, imagine like starting a word document, they won't approve the ad. So that's essentially the three levels, low level texts, medium, whatever that means, and high level of texts, right? Usually if your medium, your ads will run just fine and you'll have no issues. If it's on high, then they'll likely just disapprove your ad and you'll have to make something new. Impression wise, images and videos tend to be the cheapest impression, but we're not out there to get impressions. We're out there to get leads, conversions, add to carts, sales, Webinar, signups, whatever. We're there for. This is what we're really here to do. We're here to get a conversion. So what is going to be the best ad for a conversion? I have no idea.
Speaker 2:
25:08
Right? A professional photo versus a one taken on your iPhone, then half the time the iPhone one does better. It's being willing to test that. And even if it is, you know, it's a lead ad versus a a sales oriented ad or conversion driven ad or a brand awareness ad. At the end of the day you need to be uh, comparing apples to apples. So they use the same metric to see, okay, are those like if it's traffic or lead generation or conversions, which one has the Best Roi? Well then which one's the best ad?
Speaker 3:
25:38
So we spoke a ton. Like I would say 50% of this conversation was around the targeting, right? So you talked, we talked about like finding your lookalike audiences and the interests and the custom audiences. Now let's say an actual example, you have a million people on your Facebook page and you're running ads with the video with creative, with a landing page link to doesn't even matter with, to a product, right? Right. And you can run the same ad a dozen ways and get a dozen results. The reason is because the main change on Facebook when running in the Ed is which objective you choose. And there's a ton of objectives. There's a brand awareness, there's engagement, there's conversion, there's catalog view, a product catalog, there's um, link clicks, there's um, store visits. There's like, it just keeps going. I think there's a whole list of them. I don't need to read them all off to you.
Speaker 3:
26:37
So essentially if you run an ad now, a video within with the objective for video views and you run the exact same ad for link clicks and you're on the exact same ad for um, for conversions to the same audiences all at once, they will get you dramatically different results. Yeah, the video of you, one, we'll get you super cheap, cheap clicks, views, but no clicks. The click people would get you tons of clicks, but no views. The one with the conversions will get very little clicks that we really expensive. But in theory, get you lots of [inaudible] the most number of purchases. So what essentially is happening here is in your list of a million people, Facebook is saying, oh, you want video views? Well, here's the list of 150,000 people in your list that watch lots of videos. So we're going to do this amazing favor and show them that that ad and then, oh, you want link clicks?
Speaker 3:
27:32
What? Forget those 100,000 people, these 300,000 people click on everything they see on Facebook. We're going to send them your ad and how you do conversions. Well, you know, out of the, out of the queue, the 1 million, here's you know, 30,000 that bought in the last seven days using a Facebook ad. We're going to show art your ads to them first because they're much likely, much more likely to buy then any of these other audiences. So what were, what actually is happening here is Facebook is pinpointing the right group within your eds, within your targeting to find the best people for the best price for that thing you're asking for it. So it's [inaudible]
Speaker 2:
28:07
within your audience. So it's almost segmenting within your audience, which is why a lot of times you'll see that peak and then the dip because after they've exhausted that the best of the best within your audience for the objective you've selected. Now they're giving it to the rest of the people and they're not so interested. So at peaks and it falls.
Speaker 3:
28:27
Yeah, exactly. That's exactly what happens and so essentially when you create ads for boost posts, it is doing all of the same stuff you're doing, but it's, it's objective is engagement. So if you took that very same ad and the very same video to the set, very same audience and did nothing else but shoes conversion, a purchase, it's likely impressions will be more engagement will be less cost per click will be higher, but the people seeing the ed are much, hi, have a much higher likelihood of actually purchasing from you, which is interesting is what you want. You could add a call to action button on your booth both, which means what? What this means now hold onto your seats. Yup. Yup. You post something on Facebook or on Instagram, and then you wait one minute and it's uploaded and then you go into the post and you say, I want to boost posts this post with a call to action button that says learn more with a link to some blog posts that I had, but it has to do with this product, right?
Speaker 3:
29:30
And you pay $1 or even $0 million, you don't pay anything. You literally click the button to boost you turn off the editor never runs every organic post impression that you with that, add that with that post has a call to action button on it with a button that sends them to the that, that, that um, blog page. I forgot what I was sending. Can I sent them to the blog page? Um, so that means that you can use organic posts, post the video on, on your Facebook feed, go into the post, boost it, turn off the boost and all of your posts can have call to action buttons on it. That's awesome. That's a cool use of boost posts that you've never, that you might have not done before. So essentially what is the main difference between a boost post and going into ed manager? The main difference is what is the objective of the ad?
Speaker 2:
30:20
Oh, it's so crazy. There are so many different things and they, and you're like you said there, there are so many changes that have happened to yeah, it was staying on top of those changes and constantly testing to make sure that you get the best results. So this is fantastic. We've talked about finding your audience, being able to really pinpoint your are in testing the different audiences tests in a different copies of different types of objectives, the different types of material. You know, one thing I have to throw out too was the text in which accompanies your photos or your videos. We spend a lot of money on this. One particular ad for for Peyton Brie was the company. The copy we did was so generic like can you believe how beautiful these girls are, Blah Blah Blah and nothing about the company. And there was a lake, but we didn't say click here to shop.
Speaker 2:
31:08
These looks are fine. Dresses like these at excellent. We didn't do that. And so what we were finding, but looking at the engagement and people are going, oh my gosh, they're so beautiful because we talked about, or are they so sweet? Oh they're so beautiful. Ps is anybody know where to get these clothes from? Oh my gosh, it's an APP for close. I mean we were so dumbfounded that you need to be that specific. You need to be that obvious and, and sometimes it pains me to be that obvious cause I want to, I want people to be intelligent enough for me not to have to smack them in the face. But you kind of do, you kind of need to be, so I'm not sure exactly.
Speaker 3:
31:47
Here's what I will say. People are not coming onto Facebook and Instagram to use their brain. People are very intelligent. Most people are relatively intelligent. Let's start there. Most people are relatively intelligent because again, most people are relatively intelligent. Like the, the joke, like the cat video was in the baby pictures. Like right. That's like what they're coming to do here. Like read about Donald Trump and you know, like who knows what. That's where the rats with the doing on Facebook, like see what food that person's eating and whatever. Um, I'll never, no one's going to ever be friends with me again all day. Um, now again, back to human psychology, people are much more likely to do something if you tell them to do that. There's this study with lifeguards that the first thing you do is like, you point to a persons that you call nine one one.
Speaker 3:
32:35
Because if you don't tell the who the person should be, everyone's like, oh, someone should really call one one. I'm sure someone else did it so that like that's what's going on on Facebook. Like if you don't say click here to learn, learn more, there'll be like, Huh, I wonder where I could learn more. I mean this is really great link, but I don't think it does anything that could be useful to me to like be like stating to them like, this is what I want you to do from here. Correct. And you're going to have a great time over there. You should check it out.
Speaker 2:
33:01
Yeah. And there's some interesting things too when it comes to testing where Facebook, Facebook frowns upon putting links and the copy they want it in the little buttons, right? But if you test it, sometimes it's better. So it's just being willing [inaudible] I know am I put the link in? All the places do that. And it really does. You can, you can beat the rules and you can beat the algorithm if you're willing to test it and just see, see for yourself what works. Because the reality is what's working for you and your company may not be the same as what's working for me in mind. And so we all need to test within our own rights. Take all of your audiences, take all of your copy, take all of your adsets and test them against each other and then increase in scale the ones that are working for you and for your company. That's it. Awesome. Awesome. What does it look like to run all of these together? How long are we running them against each other? And then what do you do after you figure out who the winner is?
Speaker 3:
34:02
There's a lot of stages. Shots. We have questions. Yes. The actual campaign. Yep. Like we have like another 35 minutes of the speech. I hope. Um, we have the actual campaign. We have the targeting, we have the ED, right? So Facebook has a new thing called [inaudible], which stands for campaign budget optimization. So if you ever knew how to run Facebook ads, you don't have to do it anymore. It's different. Um, it's just different than it ever has been until now. You would say, I have one campaign, here's my 10 audiences. I'm running ads to give each of them 10, $10, come back in a week. They each spent $70 and these three did the best. Let's run the ads. Now that's not at all how it works. Now you take your same 10 audiences and you tell Facebook, I want to spend $100 a day total in each of these ad sets.
Speaker 3:
34:54
You can bend it back in a week three then spent $100 and the other one spent 37 cents. So now the question is like, is that the best way to do this? So remember back to about eight minutes ago when we spoke about how Facebook chooses who sees the ED, right? Right. So this is something that had with the client. We're running ads for a big sale that we're running and we want people to buy stuff. So we run ads for purchases like conversion ads for purchases, and we take all of our warm audiences, the email subscribers, website visitors, you know, Facebook page, like Facebook engagement, Instagram stuff, all that great stuff. Then we take our lookalike audiences lookalike to purchase, lookalike to LTV, lookalike website visitors, all those other things. Then we take our interest groups and we take our look local audiences and we put them all into their own ads sets, all of them pointing to one single Ed.
Speaker 3:
35:49
We then run the ads and we walk away and come back three days later and it spent the let's say $300 and it got okay results. But what I noticed was that it spent a ton of money in the lookalike audiences and very little money in the email subscribers and website visitors. Why? The reason is because it's exactly how Facebook works. They're looking for people that are most likely going to do the action you are asking for. Well, they have a ton of data on the lookalike audience with 2 million people in it and they know that 300,000 of those people have purchased or click the shop now button in the last seven days. So they're going to run ads to those people. But you know that your email subscribers had been on your email list for the last seven months. They're always, every time it gets purchasers, they're the ones that give you the largest return.
Speaker 3:
36:42
You have a 37% open rate, you make $100,000 every month from your email list and you know these people by but face the kind of things that they're not as good as this lookalike audience. So what does it mean to me? What it means seems to me is that I'm to take this email list and move it out of this one ad campaign with all of the great targeting that is doing and doing the job it's supposed to do. But I know as a business that this email list is the best performing lists I have and that will get me return and Facebook better spend my money cause it's going to give me a good return. And what we did was exactly that. And at the end of the campaign, the original campaign ended up with a nine and a half times return on the money.
Speaker 3:
37:25
Great. The email list, they had a 25.52 times return on the money. So this is exactly what happens. Facebook knows a lot of really great stuff, but you also know a lot of really great stuff and it should happen that your email list buys more often than a lookalike audience has never met you before. Right? Right. So it should happen that these people that like your Facebook page should sign up to your email list for a lower price than some random lookalike audience. This is what should it happen. So if you expect that to happen, you better test that hypothesis. Do whatever you need to do. Set a minimum set of minimum, you know, increase the bid cap, all these fun words that don't mean anything to anyone because they're really complicated. No one uses them. And you want to do that testing to us to prove it, even if you're wrong, just to prove that you think this thing and you should learn that.
Speaker 3:
38:14
So what does it actually look like? So the first three days is letting Facebook do the testing. It needs to do a Facebook announced recently, this thing called learning phase. So essentially what Facebook is doing is they're trying to optimize for whatever objective you have, right? But when running ads for conversions, Facebook wants to find at least 50 conversions within that single ad set. So by the first 50 it's learning and then after 50 it's learnt and that was able to optimize, right? So that means you need to give Facebook some amount of time to learn, right? And how that period, that period is around between a day and a half and three days. And during that period of Facebook might test a whole bunch of dumb stuff. But over the course of those three days, they will figure out what's working. And that's when you really say like this ad set is not working this as it is working.
Speaker 3:
39:13
But if you only let it spend $2 then you can't say anything. So you first need a 36 to 72 hour period of just letting it spend the money to figure it out. That's stage one. Now you want to let every ad set run against each other for about five to seven days. Let all of them reach every one once and see what happens, right? So if you let it go through that five to seven day period, you can say, well, I expect my average CPM across the board is $3 and 67 cents but this one campaigns costing me $11 sorry, this ad set is caused me $11 I should turn it off for it. If you could decrease the ad spend of that ad set. So that's what happens in the five to seven day period. Now after 14 days, you now know these are working and these are not working.
Speaker 3:
40:07
I better start turning off some ad sets at that point. You know, have a campaign and only the best ad sets running. Now you can go into the ad level and do the same thing. So the first seven days after, which would be day a 2121 days in, you can now go in and say, you know this Ed works fine for this audience but not so good for this audience. I'm going to turn this ad off and you're basically gonna go in and just find the as the don't work, turn them off. So just turn off the ones that aren't good. And now you have the three best ones. Now what I'd like to do, which is an added bonus, is to say I ran 10 ad sets. Each of those assets had three ads of the 30 Ed's Ed 16 did the best. What if I took add 16 and read?
Speaker 3:
40:55
Just add 16 to all of my 10 audiences? What would happen? Usually it would make you lots of money. That's usually what would happen. So you take this post that already got engagement and already got purchases and already got you know, comments and likes and you take that one post id like you literally go to the post, you grab the ID from the, from the URL and you create a new campaign with your five audiences, like audiences that work that you did that testing for and you run all of the ad spend to a single ed. That's usually around day 25 let's say day 25 to 35 something like that and you know, have the best performing ad with the best performing audience all running to the best thing you could do for the most optimized price. Fantastic. Awesome. Now you start again.
Speaker 2:
41:44
That's awesome. Adrian, this has been fantastic. I think that there are so many key takeaways here. If you could sell that for everybody who is a beginning advertiser on Facebook, what are the three things they need to do right now?
Speaker 3:
42:01
Number one, find your core audiences that you already had. Take your email list, your Facebook page likes and your website visitors to make one ed one Ed with whatever was the best performing image or video you put up in the last three months. Take whatever that was, use it that as the Ed and spend $10 a day for a week. That's it. Spend $10 those are the three things. Take your six audiences, find the best PR posts you had in the last three months. Run it for a week for $10 a day and just start. Awesome,
Speaker 2:
42:42
awesome. Just start to step into it and just test it out guys. I mean then there is so much truth in there because you will never know until you just start to try and I know with all of the fear and the algorithm changes and everything else, put the worry aside. Put the fear aside because you're never accomplishes anything. Just get out there and test and you will become so much greater for us. The Adrian, thank you so much for those who have the many listeners I know are going to be wanting to see more of you, where can they find you?
Speaker 3:
43:09
So the best place to follow me is actually my personal Facebook page, my personal profile. Unfortunately I can't have more friends but you could still follow me. You can comment. I'm Kat. I'm met like 4,996 or something like it's very frustrating. I got to talk to mark about this. Um, but the other places, my Facebook page, which I do try to keep it as up to date as possible posting there pretty often and I already have like several thousand. I'm up to like 1500 video videos on there, all about Facebook and intropreneurship and marketing and really great stuff on there. Rats pack media is the best place to find me.
Speaker 2:
43:46
Awesome. Awesome. Thank you so much. It's been a pleasure to speak with you again about Facebook ads. I'm mad, I'm like keep you on my speed dial. I'll tell you what, you're fantastic. Thank you so much. I appreciate it.
Speaker 1:
43:59
Thank you for taking the time to connect with me here on the conquering chaos podcast. If you enjoyed this episode, will you please take a moment to leave a review? It's the fuel for my fire and lets me know that my efforts to enact change and broaden your perspective of what's possible matter. Thank you so much for your support. If you want more content like this, don't forget to subscribe and connect with me on social media at Aaron eighth week or at Aaron, easily.com have APN tastic day. Get out there and congress and chaos.
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