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How to Increase ROAS: Tapping into the Power of Facebook Ads

Scroll down to learn all of our tips and tricks to increase ROAS!

It’s an exciting time to be in digital marketing, especially when it comes to leveraging the power of Facebook Ads. 

The goal of this blog post is to unravel the secrets of increasing Return on Ad Spend (ROAS) – a metric that stands as a cornerstone in our industry.

Facebook isn’t just a social media platform; it’s a dynamic advertising powerhouse. 

Navigating this platform effectively requires more than just a basic understanding of digital marketing; it requires insight, strategy, and a bit of creativity.

This guide is crafted to be your roadmap in the ever-evolving landscape of Facebook advertising. 

We aim to transform complex metrics and strategies into practical, actionable knowledge. 

Think of it as a workshop in written form, where we break down the essentials of ROAS, share industry best practices, and explore the latest tools and trends.

Terms Every Paid Traffic Master Must Know

The Basics of ROAS in Facebook Advertising

ROAS, short for Return on Ad Spend, is a key metric in digital advertising, especially with Facebook Ads. It helps you understand how profitable your ads are. 

Let’s break it down into simpler terms:

  • What is ROAS?:
    • It’s a measure of how much money you make from your ads compared to how much you spend on them.
    • Think of it like a report card for your ad campaigns, showing if your money is well-spent.
  • Calculating ROAS:
    • First, find out how much money your Facebook ads are bringing in. You can use Facebook’s analytics or your e-commerce platform for this.
    • Next, add up all the money you’ve spent on these ads, including costs for creating and running them.
    • Do some simple math: Divide the revenue from ads by the total ad spend. For example, if you make $5,000 from ads that cost $1,000, your ROAS is 5. This means you earn $5 for every $1 spent.
  • Improving ROAS on Facebook Ads:
    • Targeting the Right Audience: Use Facebook’s tools to target your ads to people most likely to be interested.
    • Optimizing Ad Placement: Use Facebook’s Automatic Placements tool to show your ads in spots where they’ll perform best.
    • Managing Your Budget: Use Facebook’s Campaign Budget Optimization to ensure your money goes to the best-performing ads.
    • Tracking Your Ads: Use tools like the Facebook Pixel and Conversion API to see how well your ads are converting viewers into customers.
  • Why Facebook’s AI is Awesome:
    • It helps target your ads more effectively.
    • It optimizes how and where your ads are shown.
    • It learns from your ad performance to make future campaigns even better.

Understanding and using ROAS effectively, especially with Facebook’s tools and AI, can really boost the performance of your ad campaigns. It’s all about spending your ad budget wisely and making sure your ads reach the right people.

Strategies for Enhancing ROAS on Facebook Ads

Increasing ROAS (Return on Ad Spend) involves several key factors that can significantly enhance the effectiveness and profitability of your advertising campaigns. Here’s a breakdown of some crucial elements:

  • Targeting Precision:
    • Sharpen your targeting to reach the most relevant audience. Utilizing detailed demographic, geographic, psychographic, and behavioral data helps in targeting ads to users more likely to convert.
  • High-Quality Ad Creative:
    • Invest in creating compelling and high-quality ad content. This includes visually appealing images or videos, engaging and clear copywriting, and strong calls-to-action. Ads that resonate with the audience tend to have higher engagement and conversion rates.
  • Optimized Landing Pages:
    • Ensure that the landing pages your ads link to are optimized for conversions. This means they should be relevant to the ad content, load quickly, be easy to navigate, and have a clear call-to-action.
  • A/B Testing:
    • Regularly test different elements of your ads, such as headlines, images, and calls to action. A/B testing helps identify what works best with your audience, allowing for continuous improvement of ad performance.
  • Effective Budget Allocation:
    • Wisely allocate your ad spend. Analyze which campaigns or ad sets are performing well and allocate more budget to them. Conversely, reduce spending on underperforming ads.
  • Utilizing Analytics and Data:
    • Leverage data and analytics to make informed decisions. Regularly review your ad performance data to understand what’s driving success and where there’s room for improvement.
  • Ad Format and Placement Strategy:
    • Choose the right ad formats and placements that align with your campaign goals. Different formats and placements can yield varying results, so it’s essential to align them with your specific objectives.
  • Understanding the Customer Journey:
    • Tailor your ads according to the different stages of the customer journey. Different messages and calls-to-action might be needed for customers at the awareness stage compared to those ready to purchase.
  • Seasonality and Timing:
    • Consider the timing of your campaigns. Align your ad campaigns with seasonal events, holidays, or specific times of the day or week when your audience is most active.
  • Long-Term Customer Value:
    • Focus on acquiring customers who have the potential for high lifetime value. It’s not just about the initial conversion but also about fostering long-term relationships with customers.

By focusing on these factors, you can increase the effectiveness of your ad campaigns, leading to a higher ROAS. The key is continuous testing, learning, and adapting to what works best for your target audience and business goals.

As we wrap up our exploration into maximizing ROAS with Facebook Ads, let’s recall the wise words of Philip Kotler:

“Marketing management is the art and science of choosing target markets and getting, keeping and growing customers through creating, delivering, and communicating superior customer value.” 

Philip Kotler

This quote beautifully encapsulates the essence of what we’ve discussed. 

Marketing, especially in the dynamic realm of Facebook Ads, is indeed a perfect amalgamation of creativity, data science, intuition, and meticulous research.

The journey to high ROAS is continuous and evolving, requiring us to adapt and learn with each campaign we launch.

Now, it’s your turn to apply these insights and strategies to your Facebook ad campaigns. Remember, every ad is an opportunity to connect with your audience and create value that resonates. 

We encourage you to experiment, analyze, and refine your approach to Facebook advertising. Use the tools and best practices discussed here to enhance your ROAS and contribute to the growth and success of your business.

If you’re ready to take your Facebook advertising to the next level, or if you have any questions, insights, or experiences you’d like to share, we’d love to hear from you!

2023 Video Trends: Staying Ahead in Digital Content

2023 Video Trends: Staying Ahead in Digital Content

In the ever-evolving landscape of digital content, staying ahead of the curve is essential for content creators, marketers, and businesses alike. One area that continues to witness rapid changes and innovations is video content. In this blog post, we’ll dive into the top five video trends shaping 2023.

1. Animated Captions for Engagement and Accessibility

Animated captions are revolutionizing video content in 2023. They serve multiple purposes: capturing viewers’ attention, enhancing engagement, and improving accessibility. Tools like CapCut and Opus Clip offer easy ways to incorporate animated captions into your videos, making them stand out in the digital landscape.

A great example of a creator who uses dynamic animated captions is Alex Hormozi.

2. Vertical and Square Videos Take Center Stage

Horizontal videos are a thing of the past. In 2023, vertical videos have emerged as the top choice for content creators. Their popularity is driven by their natural fit for mobile devices, the primary platform for video consumption. Square videos are also preferred for short-form content, seamlessly fitting various social media platforms.

3. Embrace the Organic and Casual Style

Audiences crave authenticity. In 2023, the trend leans towards organic and casual-style videos where creators speak directly to the camera. Authenticity resonates with viewers, building stronger connections and engagement.

4. Video Memes for Native Advertising

Video memes are a creative way to promote products or services in 2023. Using trending audio and templates from platforms like CapCut, you can create ads that blend seamlessly with native content, increasing the chances of your message being well-received and shared.

5. Shorter is Better: Keep It Under 1 Minute

Attention spans are shrinking in the fast-paced world of digital media. To ensure your content is consumed in its entirety, aim to keep videos under 1 minute. Shorter videos are more shareable and retain viewer attention from start to finish.

Honorable Mention: Going Live

Live streaming remains a powerful engagement tool. It fosters real-time interaction, community, and immediacy. Incorporate live sessions into your content strategy for a deeper connection with your audience.

Extra Tips and Tricks:

Posting Frequency

Consistency is key. Determine a posting schedule that aligns with your resources and audience expectations. Consider daily Story uploads, linking back to your website or sales page for maximum impact.

Content Focus

Deliver value to your audience, whether it’s entertainment, education, or inspiration. Ensure your video provides something meaningful to your viewers.

Don’t Forget Stories

Stories are essential on social media platforms. Utilize this feature for behind-the-scenes glimpses, quick updates, and sharing user-generated content (UGC) to keep your audience engaged throughout the day.

Leverage User-Generated Content (UGC)

Encourage your audience to create content related to your brand or product. Reposting UGC builds community and showcases your product in real-life scenarios.

Recommended Tools: CapCut and Opus Clip

CapCut and Opus Clip are fantastic tools for adding creative elements to your videos, from animated captions to meme templates. They simplify the process of making your videos stand out.

Staying up-to-date with video trends is crucial for anyone involved in digital content creation. Whether you’re a seasoned creator or just starting, incorporating these trends into your video strategy can help you stay relevant, engage your audience, and make a lasting impact in the digital world of 2023. Embrace these trends to elevate your video content to the next level!

5 Ways to Promote Your Local Business Using Facebook Ads

Ways to promote your local business

Have a brick and mortar business but don’t want to miss out on the benefits of digital advertising? Are you interested in ways to promote your local business?

No problem.

This post is for the restaurants, dentists, chiropractors, home painters, hair salons, and local boutiques who want to run ads but aren’t always sure what to advertise.

Because once you know what to advertise, things can start to change for the better…

Local businesses can easily use Facebook ads to drive traffic (web and foot) to their business, get new customers, and stay front of mind in a crowded market (and there’s no sign of the potential slowing down anytime soon).

A local business might even have an advantage.

Unlike national or international companies who can target their audience in any location, a local business has an advantage in it can create hyper-specific targeting to find new and existing customers.

There are great ways to promote your local business and attract the perfect customers, because Facebook can target users based on a number of criteria that isn’t possible using traditional advertising (like radio, television, newspaper, or billboards).

The location targeting can get very specific.

Besides just selecting a country, state, or city, advertisers can even select a specific address and create a geo field. It looks like this:

Now, Facebook will only serve ads to users within a specific location. In this case, it’s a 15-mile radius around the business.

Think of it as a digital billboard positioned right where they’re paying attention the most. It pops up right onto your ideal customers’ screens while they’re sitting at home, scrolling their phone at work, or heading out of the movie theater across the street.

Beyond filtering for location, you can still set other criteria for who will see the ad and additional ways to promote your local business.

Narrow down by age, gender, language, interests, others they follow on Facebook, and more.

Now that we have our audience ready to go, it’s time to create some ads. Here is a list of 5 ways to promote your local business on Facebook that you can start using right away.

Ways to promote your local business:

  1. Likes Campaign

Lots of potential customers might see your ad, or see you in the neighborhood. But, they won’t always become customers right away (in fact, most won’t).

“Liking” a page is a way they can stay in touch without giving away any of their personal information and without making a purchase. It lets a customer feel out a business before making a buying decision.

How does that help you?

Typically, it’s much less expensive and much more effective to advertise to an existing audience than to convert a completely cold prospect. Asking for likes is an ongoing process. As people begin to interact more with your page, you’ll be able to monetize this audience and turn them into paying customers.

2. Video Views

Video is a great way to spread the message. Not only do users share video organically more often than text-only posts, but video is also a great way to build trust with potential customers.

There’s no need to feel intimidated. Simply set up a camera (or even a smartphone) and start talking! Videos can be short (even thirty seconds will do) and focus on just one topic.

[Side note: Digital Marketer offers a free comprehensive guide to video equipment that you can view and download here.]

Try offering relevant tips, giving a behind-the-scenes tour, speaking about a cause that your brand is passionate about, or telling customer stories.

3. Awareness Ads

Is there something about your business you wish the community knew? Maybe you’re open late on Fridays, or maybe all new customers get a complimentary bonus for coming in. Whatever it is, let the community know by getting the word out there in a Facebook ad.

This is a simple ad to do because it doesn’t require a lot of preparation. Just create text, choose an image, and link back to the homepage (or another page on your website if there is a better fit).

4. Events

If there’s a date or event coming up that is relevant to your business, it might be worth promoting.

Don’t have anything coming up? Look for events in the community and think how your business could fit in.

For example, a hair salon could run an updo special during prom season. Or a house painting company could offer a special before the summer BBQ season starts.

Get creative. There’s always something happening!

5. Holidays

Similar to events, holidays are great ways to get in front of an audience. Run a sale or simply wish your audience a happy holiday (and stay front of mind). Or, choose to make a more creative and relevant video to correspond with the day.

If you weren’t sure what to put in your ads before, you should have 5 ways to promote your local business to incorporate into your ad strategy now. But these are far from the only ideas. Look for an upcoming post with additional ways to promote your local business.

In the meantime, why not find out what the “7 biggest mistakes you’re making with your Facebook Ads are”, and how to fix them:



Despite Changes, We’re Still in a “Golden Era” of Facebook Advertising

Facebook advertising

If you’ve worked with Facebook advertising for any amount of time, you’ll come to know that there is one thing that is always certain: change is inevitable.

Changes come quickly and without warning.

It’s been a couple months since Facebook announced a major change to the algorithm that controls what users see in their feed.

An important component of that announcement was that users would see more posts from family and friends and fewer posts from businesses and brands.

Now that we have a few months of hindsight (and valuable data) to look back on, it’s a good time to reflect on those changes and look forward to what that means for businesses who utilize Facebook advertising.

Before we get started, I want to make something clear. Although some marketers have panicked, I still believe we’re in the Golden Era of Facebook advertising.

That is, there are still abundant opportunities to profit.

Although I believe it is the Golden Era, it is not the Wild West. Facebook advertising is young but it has evolved. In turn, the way advertisers interact with their prospects and customers must also evolve.

However, if you keep these 3 principles in mind, you’ll continue to thrive, despite these or any future algorithmic changes.

Facebook’s Goal Hasn’t Changed

Zuckerberg has been clear on his priorities from the beginning: to give the user a positive experience.

The changes to the newsfeed are consistent with that goal. He’d like to provide the user with more posts from friends and family that they’re likely to engage with and enjoy, and less mindless scrolling through the newsfeed.

What does that mean for businesses?

If you’ve consistently been adding value and have become a brand that your audience enjoys interacting with, your strategy should remain the same.

For brands who only push sales-driven content, they need to make a big change. If the content isn’t enjoyable, it simply won’t be shown.

Again, this isn’t anything new, it’s just more apparent after the early 2018 changes.

Facebook is About Community

“Community is the new brand.” - Ryan Deiss

The type of advertising that many of us have grown up hearing and seeing is much different than the type of advertising that is effective on social media.

Above all else, Facebook is a community. Brands who understand how to build a community are getting great results above those who push only conversion driven content.

Understandably, some business owners are not natural community builders and leaders, or they simply don’t have the time. That’s ok. If you’d like to build community, just ask for help.

Reach out to a super-fan and create a community manager role. If they’re already active on social media and speaking about your brand, it may be a natural fit.

Consider this a long-term strategy. A brand who is just starting to build community may not see results immediately. However, building a community will have long-term positive benefits for just about every business.

There’s Still Room To Stand Out

Facebook advertising is still evolving and this means there is still room to stand out.

New businesses begin advertising on Facebook every day, but many only push content that is sales-driven.

If you provide helpful content instead, you will stand out in the newsfeed among other advertisers.

As an example, in December of 2017, most users of Facebook advertising saw an increase in costs because there was a lot of competition for sales.

Our clients didn’t experience that spike. The reason is that we continued to provide value in a world where everyone else was selling.

Not only did costs remain low, but these clients were now poised for successful launches in early 2018 because they had very warm audiences to sell to.

The key is understanding how to monetize likes, comments, views, Facebook fans, and website visitors.

Final Thoughts

Compared to other advertising media, Facebook is still young. There will be more changes, but there’s no reason to panic.

Continue to remember what Facebook’s top priority is (user experience), and work with them on that priority by building community and adding value. If you continue to do that, your brand will remain strong through these and all future changes.

In the meantime, why not find out what the “7 biggest mistakes you’re making with your Facebook Ads are”, and how to fix them:


Marigold Marketing Group | Facebook Advertising