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facebook cpm ads

Published on: August 5 2023 by pipiads

In this article, we will discuss how to lower your Facebook ad CPM (cost per thousand impressions) in order to reduce the cost of your ads and improve your overall results. We will explore various strategies and techniques that can be implemented to achieve this goal.

1. Use different creative types and cover all placements:

- Utilize a mix of images and videos in your ad creatives.

- Ensure that your creatives are compatible with all placements on Facebook's platform.

- Different placements have different costs, so having a variety of creatives gives Facebook more flexibility to show your ads in cheaper placements.

2. Target larger audiences, especially when retargeting cold audiences:

- By targeting a larger audience, you reduce competition for specific segments.

- Facebook has more opportunities to enter auctions with lower demand, resulting in lower CPMs.

- For cold audiences, target audiences with several million people, while for retargeting, allocate a smaller percentage of your budget.

3. Create better ads:

- Ad quality is determined by user feedback and engagement rates.

- Negative feedback, such as hiding or marking ads as spam, increases CPMs, while positive feedback, like liking or clicking on ads, lowers CPMs.

- Use Facebook's ad relevance diagnostics to assess ad quality and make necessary changes.

4. Don't limit placements:

- Instead of manually selecting specific placements, allow Facebook to show your ads on all placements.

- This provides more opportunities for lower CPMs and better results overall.

5. Consider timing:

- Weekends and public holidays are generally more expensive for running ads due to increased competition.

- CPMS also rise leading up to big spending events like Black Friday and Cyber Monday.

- Christmas season sees a gradual increase in CPMS, while January is generally the cheapest time to run ads.

- Being aware of these cycles can help you choose the most cost-effective times to run your ads.

Lowering your Facebook ad CPM is crucial for reducing costs and improving results. By using different creative types, targeting larger audiences, creating better ads, not limiting placements, and considering timing, you can effectively lower your CPM and achieve better outcomes for your Facebook ads.

WHY Does Facebook CPM AFFECT Our Facebook Ad RESULTS?

Hey Facebook ads people, I'm Konstantinos and today let's talk about CPMs. How do they affect our ads? So what exactly are CPMs? They refer to the cost per 1000 impressions. Why is this important? Because Facebook works with impressions, not cost per click like Google does. CPMs help us determine if our ads are expensive or if we're paying a lot for them. The cost varies from country to country, with some countries being cheaper to advertise in while others, like the United States, are more expensive due to competition.

Over the years, CPMs have consistently risen. In the US, the average CPMs range from 18 to 30, depending on the niche and product. Even with fewer people advertising on Facebook due to iOS changes, CPMs remain high. This is because competition makes it more difficult to get sales. It's important to note that CPMs used to be much lower, causing some people to complain about the effectiveness of Facebook ads. However, it's crucial to understand advertising costs, as they determine if running ads on Facebook is sustainable.

Nobody invited you to advertise on Facebook, so you need to make it work for you. It's not like Mark Zuckerberg personally invited you with promises of low CPMs and high return on ad spend. The reality is that CPMs dictate the expensive nature of Facebook advertising. To be profitable, you need to adapt your business to be competitive in this advertising landscape. While marketing costs have increased over the years, many companies have adjusted and are making money. Monitoring your CPMs can help you identify periods of lower ROAS and combat them.

If your CPMs increase, it's not necessarily your fault. You can try different creatives to lower them, but if it's a general trend, there's not much you can do. You can't magically drop the CPMs with a strategy. You need to create good ads, test strategies, and adapt your business to work with the average CPMs. Monitoring your CPMs can also help you identify better and worse periods for advertising on Facebook.

It's worth mentioning that established companies with powerful pixels and multiple marketing platforms may have lower CPMs. However, for beginners or those struggling to see consistent results, the average CPM range is more relevant. Understanding this can help you navigate the Facebook advertising landscape and make informed decisions about your ads.

If you want to learn more about Facebook ads, don't forget to check out my free course and book. I hope this video has helped you. Don't forget to subscribe, and until next time, be creative and consistent.

Facebook CPM Too High? Here's How To Lower It...

Are you currently running Facebook ads and finding ways to lower your CPM? If that's the case, keep watching this video! What is up everybody, Fred Lam here, and welcome to my next video on my YouTube channel, where you get to learn everything from building a business online to learning how to generate traffic for your website.

Now, in today's topic, we are going to talk about the CPM of Facebook ads, how it works, how it's actually being determined, and what are the top five ways that you can actually reduce your CPM with your Facebook advertising.

But before we begin, make sure that you smash the like button, subscribe to my YouTube channel, and hit that notification bell so that each time I release a brand new video, you're gonna get notified right away.

So, first things first, what is CPM after all? When you are advertising on Facebook or Google, or any other advertising platform, ultimately, you are paying for every 1,000 times your ads have been shown. That's why it's called CPM, cost per thousand.

So, at the end of the day, you have to understand that Facebook is all about an auction-based platform. So, how your CPM is really determined is based on how many other advertisers are actually bidding on the same targeting as you are.

So, when there are more advertisers that are bidding on the same targeting, then the cost will go up. And this is why in the last several years, you have seen that Facebook ad costs have been skyrocketing because there are more advertisers that are advertising on Facebook, more competitors going into our space, and that really results in the rising cost and higher CPM.

But at the end of the day, it's not because whoever pays the highest will ultimately get all the impressions. There are other metrics involved that are going to really affect the CPM and also how much you are paying for advertising.

Now, at the end of the day, there are not many things that we can actually do to lower the CPM, but we can actually do something to actually lower the CPM for our advertising costs on Facebook. And I'm going to share with you exactly what they are.

Number one is simply running automatic placement. So, when you are setting up your Facebook ads, you are simply asked to run automatic placement or manual placements. On Facebook, there are actually multiple places that you can advertise. It's not just the Facebook News Feed. There are the desktop right column, there are simply rewarded videos, there are marketplace ads, there are simply audience network, instant articles, Instagram, there are obviously a lot of places that you are advertising on.

Now, at the end of the day, when you start to narrow down with manual placement, you're basically making Facebook's job harder. And that's the case, your CPM will be a little bit more expensive than running automatic placement. And as a matter of fact, when it comes to really scaling a Facebook ad, it is very important that you actually run automatic placement. Even when you run automatic placement versus a manual placement of just the Facebook News Feed, you will actually see that the CPM is actually cheaper when you are running automatic placement, although you are running into multiple placements. But overall, you are going to be paying a much lower CPM.

The second is to have a larger audience size. At the end of the day, when you have a smaller audience size, once again, you are making Facebook's job harder to actually go find your audience. And in fact, if you use flex targeting or narrowing down your audience with their specific feature, your CPM will be more expensive as well.

So, at the end of the day, when you have a larger audience size, the CPM oftentimes will be a lot cheaper because you can actually reach to a wider variety of people within your targeting. Whereas if you have a smaller audience size, and the smaller it is, the more expensive it actually gets. So, especially when you are scaling, it is very important that you absolutely have large audience sizes so that you can actually scale up and at the day, you're still getting a better CPM.

Now, number three is simply your ad rank. Like I said earlier, yes, at the end of the day, it is an auction-based platform where whoever pays higher gets obviously more impressions. But it's not always the case where whoever pays the most money is gonna actually have all the impressions. After all, Facebook is a platform where they really protect their users and ensuring that there is more spend time on their platform so that they can actually serve more ads. And in order for that to happen, Facebook actually ranks every single ad to actually see exactly even when they're running ads, is it really affecting their audience or not? And is it ads that their audience actually wants to actually see? Because if they serve ads that people want, that means that people are going to spend more time on Facebook, Facebook can serve more ads. But then, at the same time, if people are not liking the ads people are seeing, that Facebook is not relevant to what they actually want to consume in terms of content, they will spend less time on Facebook. So, at the end of the day, for every single ad, there is something called the ad relevancy. And with the ad relevancy, you can actually go into your ad reporting to actually see if it is below average, average, or above average. What these metrics are basically telling you is the fact that if you have above average, that means that despite your ad is simply an ad, people are actually liking the ad and they're really engaging with the ad at the same time. So, when you have everything as above average, then your CPM will be actually a lot less than those ads in comparison that are below average where people actually don't want to actually see your ad. So, at the end of the day, you have to make sure that you have a good offer and a good ad that is really relevant to the audience. And if you have all these three in place, your relevancy score will simply be average or above average. And your goal is to try to have at least two above average and one average so that at the end of the day, you are paying a much more better CPM than below average. So, remember that. And at the end of the day, if people are not even engaging with your ad, then ultimately, it really means that you need to really rework on your offer and the ad at the same time.

Number four is simply having an active Facebook page. Yes, ever since a couple of years ago, Facebook completely destroyed the reach of Facebook pages. So, when you're posting stuff on your Facebook page to actually share to your followers or your subscribers, they don't really see it often. However, it doesn't mean that you should not be posting on your Facebook page. And in fact, it's actually superbly important because if you think about it, Facebook is simply a platform for people to consume content. And that's why they actually named their platform the newsfeed because people want to actually consume the latest news, latest updates, and what is happening. And if you play within the ecosystem as a Facebook page, truly share value, share posts, share things that your followers absolutely engage with, that means that you are helping Facebook's ecosystem as a business. And if you do that, pages that have great posts that are engaging with their followers, you will actually get a much lower CPM than a Facebook page that absolutely has nothing on it and rarely anyone interacts with your Facebook page. So, it's very important that yes, we are using Facebook to advertise, but we still have to help the ecosystem by providing content. And the more content that you have that is engaging to the Facebook users, you are gonna get rewarded.

Now, the last piece, number five, it's a little bit advanced. It works for some people, it doesn't work for others. But I want to actually share this with you at the same time because we have tested it. Sometimes it works, sometimes it doesn't. You can actually test it out. So, number five is simply running a post engagement ad of the same ad you are advertising to really boost up the ad rank. Let me actually explain this. Let's say that you have a physical product that you want to sell for dropshipping or e-commerce. So obviously, you want to create a conversion campaign that is optimizing up of purchases. Now, with that, that is your actual main campaign you're trying to get sales. But at the same time, you want to create a new campaign that is a post engagement campaign and use the same post ID as your conversion ad so that you are basically really pushing the system of engagement on the same post ID. Because after all, when you're running your Facebook ad and whatever ad you create, those are basically a post. And what you're doing is that yes, you are running a conversion ad, but in parallel, you're running a post engagement ad to actually get more comments, get more emojis, etc., etc. It's gonna actually help the ad rank of your conversion ad as well. So, again, you can run simply a five dollar or even a one dollar post engagement campaign on the same ad that you're using for your conversion ad, and it's gonna actually reduce the CPM of the actual conversion ad as well.

So, at the end of the day, like I said, there's not many things that we can do, but there are some things that we can do. And these are the top five things that you can simply implement to actually see a drop in your CPM, which means you're going to pay a lower ad cost, lower cost per lead, lower cost per sale, and lower cost per click. I hope that this video helps you out. And if you enjoyed this video, make sure that you smash the like button, subscribe to my YouTube channel, and hit that notification bell so that each

Paano Tumataas Ang CPM Sa Facebook Ads #facebookads #facebookmarketing #askjingo

Hi everyone, this is Jingle and today we're going to talk about why we're getting high CPMS on Facebook ads. This video is specifically for business owners and advertisers who want to learn about the shortcomings of their Facebook pages and the overall performance of their Facebook ads. So let's dive in!

- Hi everyone, this is Jingle and today we're going to discuss the high CPMS on Facebook ads.

- This video is tailored for business owners and advertisers who want to improve the performance of their Facebook ads.

Why are we getting high CPMS?

- Facebook acronyms: CPM and messaging.

- CPM: Cost per thousand impressions - how many times Facebook shows your ad.

- Messaging: Cost per messaging - not CPM.

Factors affecting high CPMS:

1. Targeting:

- Targeting more engagement quality.

- Engaging with the audience.

- More advertisers targeting the same demographic.

- High competition among advertisers.

2. Global brands:

- Global brands targeting multiple countries.

- Accessing specific demographics becomes expensive.

- Competition increases, leading to higher CPMS.

3. Ad quality and engagement:

- Importance of creating engaging ads.

- User experience and feedback.

- Facebook algorithm favors ads with positive feedback and engagement.

- Good reactions, comments, and shares lead to lower CPMS.

- Facebook's algorithm plays a significant role in ad performance.

- Advertisers should focus on creating engaging and high-quality ads.

- Positive feedback and user engagement are crucial in reducing CPMS.

- Facebook's goal is to provide users with the best experience.

In summary, understanding the factors behind high CPMS on Facebook ads can help business owners and advertisers improve their ad performance and achieve better results.

How Has IOS14.15 Impacted My CPM On Facebook Ads ($27,785 Analyzed)

Ever since iOS 14.5 was released about six months ago, Facebook advertisers have been complaining about rising costs and problems. Many posts in Facebook groups and online forums discuss the increasing CPM (cost per thousand impressions) and attribute it to iOS 14.5 issues. To analyze the situation, I looked at my own advertising performance and examined ad sets that remained unchanged since before the iOS update.

Finding ad sets that fit the criteria was a challenge since I frequently target specific zip codes and change my audience targeting. However, I managed to find two ad sets targeting different offers that met the requirements. I collected data on impressions and CPM for each ad set from March 1st to the end of October.

For Offer A, which ran consistently from March to October with the same audience, the CPM increased slightly in April, remained stable in May, dropped in July, and gradually increased from there. Offer B, on the other hand, was only run in March, April, and May, with a lower CPM in March due to its freshness. The CPM for Offer B increased steadily from August to September and remained stable in October.

Graphing the data shows that both Offer A and Offer B experienced an increase in CPM, with Offer B showing a steeper rate of increase. Offer A, which had been running for a longer period of time, had a smaller percentage increase compared to Offer B.

Based on these observations, it can be concluded that CPMs are indeed rising for Facebook advertisers since the release of iOS 14.5. The increase in costs is estimated to be around 15 to 20 percent. It is possible that some of the increase is due to audience fatigue and seasonality, although a longer time frame would be needed to analyze seasonality accurately.

In addition, a new offer that targets a nationwide audience is currently reaching 4,000 zip codes with a CPM of 24, which suggests that there are still opportunities for advertisers to reach their target audience at a lower cost.

Overall, the data indicates that Facebook advertisers are facing challenges with rising costs since the release of iOS 14.5. Adapting strategies and targeting specific audiences may help mitigate the impact of these changes.

Giảm CPM Facebook 2022: Yếu Tố Nào Tác Động & Cách Giảm CPM Quảng Cáo Thế Nào

Give me some tips on how to reduce my advertising costs on Facebook. I know that reducing costs is important, but how much can I actually save and how can I improve the quality of my campaigns? Specifically, I want to know how to lower the cost per thousand impressions (CPM) and the cost per click (CPC) for my ads. Can you explain the factors that affect these metrics and how I can decrease them?

Firstly, you need to understand the CPM in Facebook advertising. This refers to the cost of your ads shown to 1,000 people. So, if you spend 200,000 on your ads and they are shown 1,000 times, your CPM is 200,000 divided by 1,000, which is 200. This means that your ads will be shown 1,000 times for a cost of 50,000. It is important to note that Facebook charges you based on the number of impressions your ads receive, not the number of clicks they get.

To reduce your CPM, you need to focus on two main factors: the relevance score and the quality of your ads. Firstly, the relevance score is a measure of how well your ad resonates with your target audience on Facebook. If your ad receives more positive feedback, such as likes, comments, and shares, your relevance score will increase and your CPM will decrease. So, it is important to create ads that are engaging and appealing to your target audience.

Secondly, the quality of your ads also plays a significant role in the CPM. Facebook wants to provide its users with a positive experience, so it rewards ads that are high-quality and relevant. This means that if your ads have a high click-through rate (CTR) and low negative feedback, your CPM will be lower. So, it is important to create ads that are visually appealing and have compelling copy to encourage users to click on them.

Additionally, targeting is another important factor in reducing your CPM. If your ads reach a large number of people who are not interested in your product or service, your CPM will be higher. So, it is crucial to target your ads to the right audience on Facebook. You can use Facebook's targeting tools to narrow down your audience based on demographics, interests, and behaviors. This will ensure that your ads are shown to people who are most likely to be interested in what you have to offer.

In conclusion, to reduce your advertising costs on Facebook, focus on improving the relevance score and quality of your ads, as well as targeting the right audience. By doing so, you can decrease your CPM and increase the effectiveness of your campaigns. Remember to constantly monitor and optimize your ads to achieve the best results.

Facebook Ads: oCPM vs CPM - BEST EXPLANATION EVER!

In this article, we will explore the strategies of using AA CPM or CPM in advertising campaigns on platforms like Google and Facebook. We will explain what these terms mean, how they are leveraged, and in which situations they should be optimized for. Additionally, we will compare these strategies to the search and display functions on Google Ads and highlight the differences between Google and Facebook advertising options.

- Google Ads options: search, display, and retargeting

- Google search: targeting people in the consideration phase of the marketing funnel

- Google display: blanket marketing to create demand and trigger people into the funnel

- Facebook advertising: similar to Google but with automatic switching between display and search

- OC PM and CPM: comparing the two strategies

- Facebook's expected action: leveraging rich data to optimize for specific actions

- OCPM: optimizing cost per thousand impressions for a specific action

- CPM: cost per thousand impressions for blanket marketing

- Setting CPM or OCPM rates at the ad set level

- Choosing between CPM and OCPM based on campaign objectives

- Troubleshooting campaigns and improving bidding strategy

- Reviewing funnel, landing pages, targeting, and creative to improve performance

- Switching between CPM and OCPM based on click-through rate and conversion rate

- Best practices for optimizing campaigns and event triggers per week

- Importance of optimizing campaigns in relation to the auction process

Understanding the differences between CPM and OCPM is crucial for advertisers looking to optimize their campaigns on platforms like Google and Facebook. By leveraging these strategies based on specific campaign objectives and performance metrics, advertisers can effectively reach their target audience and drive desired actions. It is important to continuously monitor and optimize campaigns to stay competitive in the ever-changing digital advertising landscape.

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