Facebook Ads Strategy: TRAFFIC Ads or CONVERSION Ads?
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Facebook Ads Strategy: TRAFFIC Ads or CONVERSION Ads?


– Hi guys, it’s Ben Heath from Lead Guru and in this video I’m gonna talk to you about Facebook ads strategy and specifically the
Facebook advertising strategy of using traffic campaigns, versus using conversion campaigns. Now this is question I
get asked all the time from my Facebook ads mastermind group, my YouTube channel, is
people want to know, when they’re using a strategy
of directly advertising their products and services to their prospects on
Facebook, should they use the traffic objective
and send as many people to the website as possible
and hope that people either purchase or
inquire and become a lead, or should they use the
conversions objective, send less people to the website but hopefully people that are more likely to convert into customers or into leads. So what I did is I took a
company, I ran an experiment, I tested the exact same
campaign in traffic form, with the traffic objective
and the exact same campaign in conversion form, with
the conversion objective to see which performs best and the results are pretty interesting and I’m gonna go through those just now. Just before I get into that, I’m gonna provide you with
a little bit of context to the company that’s
being advertised here and what the offer is. So it’s an interior design company and the offer that
we’re using in these ads is a free interior design consultation. A lot of service providers will use a free consultation as
their introductory offer, obviously people will sign
up for the free consultation, they can then follow up with them and progress them on to becoming a client. Now, this company didn’t want to use Facebook lead generation ads cause they know that the company, the quality of leads that come through Facebook lead ads tend to not be as good as if you come through a website. Some business’ obviously want that volume, an interior design company
that’s looking to work with maybe 10, 15 clients a year, that are very, very high
value in the hundred’s of thousand’s of pounds client value, they want quality, quality
is really important to them. That’s also important to note when you’re looking at some of this data I’m gonna go through in a second, when you’re looking at
cost-per-lead information, thinking wow, they’re
paying a fortune per lead, this would be a lot per lead if it was a much lower value business, you know like window cleaning
or something like that, you have to pay out much less per lead because customers just aren’t
worth that much to you, when customers are worth
hundred’s of thousand’s of pounds you can afford
to pay a lot per lead. So we’ll look at these sort of numbers, 60, £90 per lead, that’s a fantastic cost for this company. Don’t wanna focus on
that, I wanna focus on the strategic decision between
traffic and conversions and what we’ve found running this test. Now I’ve talked about this before but I wanna go into a
little bit more detail. So, interior design company,
as I already mentioned, we’ve got two campaigns here, we haven’t spent a huge
amount on the campaigns but enough for it to
be a significant test. So almost £2,500 spent on each campaign, first thing before we
get into the lead data is you’ll notice that this is obviously the conversions objective here and this is website clicks. There might as well be traffic, you can see that they’re both called free consultation homepage
because that’s exactly how this campaign works. People click on the add, they go through to the companies homepage
and there they’re encouraged to sign up for
the free consultation. Their homepage is optimised
around that completely. Now you’ll see that the link clicks, so spend is very, very,
we’re £80 off on £2,500 so virtually identical. This campaign here, the website clicks, the traffic one, generated
2,300 link clicks versus 1,300. So a lot more people
were sent to the website with this strategy here and you can see that the cost per link click is just 77p, which is relatively cheap, very cheap for a company like this but relatively cheap for any direct campaign types, if you’re advertising a piece of content you can get that down to 20p in the UK, something like that, 25p. But for sending people
directly to website, when you’re looking to strategically generate leads there and then,
that’s a pretty good price. Also, huge amount more impressions, a lot more people, 325,000 impressions, well similar amount of people
cause you can see look, 58,000 reach, 59,000 reach there. But these people saw the ad
many more times on average, 325,000 where as that’s just 168,000 there so a lot more impressions, a lot more eye balls
seeing the ads themselves but if we get down to cost per lead which is the really important metric, so first thing we’ve got leads, even though the spend
is virtually identical, the conversions campaign
generated 40 leads, the traffic campaign generated 24 leads and look at the difference
in cost per lead. Here we’ve got £61.34,
is the cost per lead for this conversions campaign and we’ve this one we’ve got £98.76, so we’re talking, this one’s 60 percent
of the cost of that one. It’s a huge cost saving. And when you’re paying
between £60 to £100 per lead, which is still very good for this company but obviously that’s still
quite a lot to pay a lead. This sort of difference,
this 40 percent difference, can make or break the success and the profitability of a campaign. So if you’re advertising on Facebook and you want to generate
purchases on your website, you wanna generate leads on your website, hopefully this is definitive evidence that you should not be
running a traffic campaign, you should be running
a conversions campaign, you should optimise for what
it is that you want to do so obviously to run a conversions campaign you need the Facebook pixel
installed on your website, If you haven’t got that already, I will include a link
in the video description to a video that shows you
exactly how to set that up. And you want the event code,
lead event code set up, again, that will be included
in that other video. So make sure you take the time to do that, it just takes 10 minutes
when you know how to do it and it can make a big difference as you can see to these campaigns and we’ve run small
experiments in this in the past and we’ve always come up
with the same objective. If you want leads from your website, if you want purchases, if
you want people to take a specific action, don’t use traffic and go with Facebook’s default, use conversions instead. It’s a much better Facebook
advertising strategy, produces much better results and it only takes a few minutes
but makes a big difference. Now, just before you go, something I want to quickly mention about my five-part Facebook ad template which is something you can download right now, for free. Now this ad template includes some of the best performing ads we’ve created for a number of different clients, including ads from this business. So you want to see what
this interior designs ads look like, perhaps
you’re a service provider, you wanna see how they offer
their free consultation, what copy is used, what imagery is used, all that sort of stuff,
go ahead and download the five-part Facebook ad template, click on the link in the
video description below, that’ll take you through to our website and you will be able to download it there. As I said, you could model from those ads, if you’re looking to
get better results from your Facebook ads then I
think you’re gonna find it very, very valuable. So, hopefully this
Facebook ads strategy video has been useful, you now know
that conversion campaigns, if you want conversions, is
the way to go, not traffic. If you enjoyed it, please
give it a thumbs up, don’t forget to subscribe to my channel. If you’ve got any questions, of course, pop them in the comments below and I will be sure to get to them. Thanks a lot guys, bye bye.

20 thoughts on “Facebook Ads Strategy: TRAFFIC Ads or CONVERSION Ads?

  1. Great video Ben, Im learning a lot from your youtube channel and mastermind group. Could you make a video explaining Facebook analytics? Would appriciate that!

  2. Good stuff. Agreed, conversions always performs better than link clicks. If you are selling a lower priced item like $35-40. What is a good cost per lead you thing. Sometimes it's like $ 3-4 per conversions, Ouch!

  3. Hi Ben, how can I start conversion without product website? I'm running engagement for my products ads to get sales.

  4. Great video! Ben, a client of mine who installs new countertops (similar service) typically runs Google Ads to his landing page to book the free estimate. To get him more booked appointments, would you drive these conversion ads to the same landing page (with a UTM)? or do you drive these leads to the basic website?

  5. How can we expect new audience to purchase after 1st interaction using Conversion campaign? It take time for audience to warm up & see result as Conversion campaign costs higher.
    Thanks

  6. Hi Ben, because this lead cost is probably higher than what you would get from simple Fb lead ads(usually 20$ and under) does that mean for this case we should set our overall ad budget? Rather than something like 20$ a day?

  7. Hi Ben, very informative video Thanks. When using conversion objective over traffic is the assumption that you already have a substantial number of customers? If I have not yet established customers is it better off to go for a traffic objective?

  8. This is interesting. When I spoke to Facebook last week, they told me to run traffic campaigns for cold audiences to introduce them to the product on our e-commerce website and then re-target them later with a conversion campaign when they are warmer. Traffic ads are meant to be cheaper, but with this data in mind, I am more confused than ever.. 😜

  9. I am sending people to an article on my website where I write a review about a product is an affiliate product review can I create a conversion ad objective telling Facebook I want people to only click the call to action on my page to generate traffic to the affiliate link only?

  10. Enjoying your content!! At 1:24 you mention the quality of FB Lead Gen Ads tend to not be as good as if you come through a website. I'm finding half of my FB Lead Gen Ads are fake user info to get a lead magnet, but I don't understand why are the FB Lead Gen Ads are not as good. I thought FB rewarded you for keeping people on their platform with LeadForms.

  11. Hi Ben, great comparison. Did you know that Facebook officially recommends reaching 50 conversions per week before switching from Traffic to Conversions as a campaign type ? What you think about this statement from Facebook.

  12. Hi Ben I've been getting more into Facebook ads for the last 2 months after doing consistently for a year. I sell wedding video and photo my base pricing is 2800 video /2200 photo

    How should I go about Facebook ads. Can I really sell to a cold audience? My luck hasn't been the greatest with this. In the past I would run $5 traffic ads for 3 days. I now know that's not enough. I have a pixel install now with thank you page event for conversion.
    Being the product amount is so high, should I do traffic campaign and then retarget for conversion or just go straight for the conversion on a cold audience?

  13. Hey Ben , long time follower here. I found you a year ago when i started facebook ads and i just watched this video and im totally stumped why your channel hasnt taken off yet and gotten 50k plus subs. You have the best fb ad content on YouTube by far

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