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Facebook ad CPC vs CPM case study!!!

by dummycpa
27 replies
So I started 3 campaigns on Facebook with CPC and targeted around 500k users. Each campaign only ran for around 3-4k impressions and I got around 0.4%-0.5% CTR. Immediately I switched to CPM bidding because it'd be cheaper and I received no clicks since for another 10k impressions for each campaign.
I will test more but can you guys think of a decent explanation for this? Thanks!
#case #cpc #cpm #facebook #study
  • Profile picture of the author williamrs
    When we switch to CPM FB increases our frequency (our ads are displayed more times to the same users), which lowers the CTR.


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  • Profile picture of the author badboy_Nick
    Rule of thumb in marketing: DON'T pay for impressions i.e. CPM ... ALWAYS stick to PPC or CPL. It just works out better in the long-run. I had an agency offer me a CPM deal last week and I turned it down. Reason? Zero accountability and risk on their part.

    PPC works just fine for me

    Best,
    Nick
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    • Profile picture of the author rafix
      Originally Posted by badboy_Nick View Post

      Rule of thumb in marketing: DON'T pay for impressions i.e. CPM ... ALWAYS stick to PPC or CPL. It just works out better in the long-run. I had an agency offer me a CPM deal last week and I turned it down. Reason? Zero accountability and risk on their part.

      PPC works just fine for me

      Best,
      Nick
      so nick, you also use fb ads beside google for your cpa offer?
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  • Profile picture of the author ChrisBa
    Cpm on facebook isn't what it uses to be. My understanding is facebook has chamged the cpm model to be more of a branding method opposed to a way of getting clicks.
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  • Profile picture of the author dummycpa
    Thank you, guys. I understand much clearer now.
    I ran more tests and it's true that my Unique CTR is on par with the CPC CTR. So I guess there are no ways to limit ad frequency on Facebook, are there?
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  • Profile picture of the author ignmmulia
    CPM is good if you have known the target and it's usually used to get likes. But CPC is usually used if you haven't known the target so that only people who like your offer will click the ads
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  • Profile picture of the author Jennifer1987
    Banned
    Great information thanks.
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  • Profile picture of the author kamalgoyal
    CPC can be a better option as per my experience
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  • Profile picture of the author ignmmulia
    The target is too wide and I think the audience you chose is not targeted so that you get a little CTR. I usually get more than more than 5% CTR
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    • Profile picture of the author jcss
      Originally Posted by ignmmulia View Post

      The target is too wide and I think the audience you chose is not targeted so that you get a little CTR. I usually get more than more than 5% CTR
      Are you kidding me! %5 CTR on FB Ads?!
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  • Profile picture of the author Greedy
    I always wait to split test CPM after a campaign becomes profitable.
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  • Profile picture of the author tkminh
    I tried with CPC but my bid is too low to get more click. But it's great because i will not lose my money.
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  • Profile picture of the author jcss
    With that demo (500K) it is near impossible to aim 0.5%!
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  • Profile picture of the author zack10
    think about it, Facebook is not interested in you,he only interested in your money,so when you use cpc then facebook will place your ads on places that will more likely generate more clicks in order for them to take you $$$ but when you use CPM fb then will only place your ads on places that don't generate a lot of clicks

    so when you try to run a CPM campaign always stick to the News Feed because that will likely get your ads to be noticed by users.
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    • Profile picture of the author jml777
      I tried an Optimize Campaign for a week. It ended March 12. In one week, I received 499 likes from 9,900 views. Before March 13, I was gaining almost 1,000 likes per day and my page posts were receiving hundreds of likes each. My page reach was 4,000,000 per week. As of March 13, the reach on posts that include links to my website are dozens, and post reach is under 10,000 each. My guess is by advertising, Facebook "noticed" my page and destroyed organic reach. Which sucks, since I own a true health page that my followers love, facebook.com/glutenfreework.

      I'm going to try a cpm campaign to see if anything changes. My guess is they have a certain target number, and if you bid too low, they won't show your ad, if you bid at a level where they make a certain $ per click throughs/impressions, they will.

      Ready for the next social media project....
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  • Profile picture of the author Mirza Asad Baig
    How much should i bid for get Clicks from Facebook?
    Which campaign is most beneficial and best in Facebook?
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  • Profile picture of the author Greedy
    It's possible with the right targeting and ad images! I got 26% CTR the other day targeting doctors. Here's my campaign:
    But was 89 impressions over 2 months even worth it for you? I like going after bigger fish.
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  • Profile picture of the author JensSteyaert
    If you don't have traffic yet, then ppc might be the best solution.

    But if you have traffic already, then build your own audience you can retarget and buy cpm, this will be much cheaper and not cold traffic who never heard of you...
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  • Profile picture of the author AdsWorkshop
    When testing a new campaign or even new ads you should always start with CPC ads to reduce your risk of losing money because if your ads are shit(low CTR or no clicks) at least you wont be paying for them.

    If you have a profitable campaign it might be worth testing but they usually bring poor results.
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  • Profile picture of the author JCorp
    OCPM has been working great for us, depending on the promotion.

    Sometimes, we'll try all 3 (OCPM, CPC, CPM) of course, at different times to measure them out... but OCPM has been winning so far. It gets a bit crazy when you're ready to double your budget and scale up, that's when it's time to really look at your conversion data and make some tweaks.
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  • Profile picture of the author himanuzo
    For me, I prefer the CPM method on FB because I can lower the cost for getting the same amount of clicks.
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  • Profile picture of the author globalexperts
    I'm always using OCPM and I usually get between 10% to 30% CTR. Make sure that you have the right targeting, eye-catching ad image, and effective ad copy.
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