In 2012, Facebook reported a user base of over a billion. The sheer size of this massive and active social network makes it a great place for businesses to have a presence. In addition to the Facebook pages that a company can create, they can also create ads to further their reach.
Facebook ads allow you to advertise external URLs as well as Facebook pages, apps and events. You can choose your own 25 character headline and 90 character message. You can also upload a photo, though all images will be resized to 100 pixels wide by 72 pixels tall. Although other advertising networks may have more options, Facebook makes it easy to customize an ad with only a few clicks.
Perhaps one of the biggest benefits of using Facebook advertising is its targeting capabilities. Facebook gathers personal information and uses that information to tailor ads to each individual user. That means that you can show your ad to narrowly targeted groups of people who are most likely to be interested in your product, saving money in the long run. In the ad creator, you can limit your target audience by country, state and city as well as age and gender. You can also enter potential interests or categories of interest for your customers. As you customize this information, a number on the right will tell you how many people you could reach with a campaign set to that particular target information.
Facebook fosters active participation on the network, so its ads tend to encourage more interaction than if they were placed on another advertising service. As a company or individual with a Facebook page, if you want more interaction, you can make specific ads to get more “likes” or to promote specific posts from your page. If someone clicks to like something on your page, that information will show up in their friends’ News Feeds, which can gain you even more likes.
When creating an ad, you have total control over your budget. You can enter a per day or lifetime budget for the ad that will stop the campaign when the money runs out so you don’t have to worry about overages. You also have control over the schedule of a campaign and can choose a specific start and end time. Facebook also offers a choice between CPC and CPM, which determines how you spend your money. CPM, the default, means cost per 1000 impressions. With this option, Facebook charges by how many people see your ad. CPC stands for cost per click and this option charges you whenever someone clicks on your ad. Generally, CPM reaches a wider audience for less money, as the clicks cost more than impressions.