Hey guys. I am back. I am going to share some useful informations for facebook ads conversions rate. It varies, and its not exactly like what you have in mind. but to be fair, I dont know what you have in mind either. Pardon my english, here we go.
Facebook Ads Conversion Rate : We are going to separate this into two report. First, based on my research and Second, based on my past clients case studies.From My research.https://moz.com/blog/my-story-how-faceb ... le-adwords
Whatever I have to explain, she did well. and you should take a look at them.From My case studies
The conversion rates varies from one campaign to another depending on :
1. Product price
3. Novelty aspect
Higher price point leads to lower conversion rate. Hence, you need to spend more.
Better presentation leads to higher conversion rate. Hence, you get to spend less.
Unique idea leads to virality and audience will be more invested into your project. Hence, free exposure.
Hahahahahahahaha I know you got a bit frustrated now since you were expecting for some good facts and figures right? How bout this one : (based on my latest average numbers),Price point vs Conversion Rate
(for normal products)
$10 - 24 (21.56%)
$25 - 49 (5.11%)
$50 - 75 (2.17%)
$76 - $119 (0.98%)
Anything above $120 up to $699 (0.49%)
This will help you decide your price point. For example, lets go with the highest price point. $399. Unless you can increase conversion with Novelty aspects
, its best to decide your product as normal product to lower your expectations.
So lets say you need to spent $1 per customer to drive traffic to your campaign. with 2000 visitors, you already spent $2000 for ads. So with 0.49% conversion rate, you get around 9.8 new customers.
Thats $3,910 in revenue. which mean you spent half your revenue for advertising. that might not be good since I dont know whats your profit margin anyway. Unless you were aiming for exposure, which is good, 50% revenue margin for advertising is not good for business.
So according to these data, you should already know how to determine the pricing for your product. This varies from one campaign to another. Some of you know how to build a company, and decided to grow and get exposure first before you finally aim for profits. These company work down from the first campaign up to third by first building exposure and aim for profits on their third campaign.
Yes, it took you longer to get there (profitable) but hey 3rd campaign gonna be a breeze. So you dont mind to spend the money in the first place considering you know the money will be re invested into marketing.
Now, for those who aim to be profitable on the first campaign. Based on the data, you should know what is your price range. exactly the opposite of whatever i explained before.
What can help you? to mess the numbers up.
Novelty. Thats all. Even good presentation doesnt help when you have high price point. Do not imagine the numbers as sellers, but put yourself in their shoe (your clients) and you should know that pricing do represents the infamous "first impression" for your product.
Feel free to comment.