Hello, So I setup a campaign to rent a desk at my web agency. No one's using the desk, so we figured we could rent it out to someone in the area. So I setup a Facebook CPC campaign to a very specific target audience: • Location: Within 25 miles radius of my location • Behaviours: Small business owners • Age: 24 - 65+ • Desktop: News Feed or Right Column Results Day 1: Max Bid: $0.70 (suggested was between $0.56 - 0.86) Clicks: 2 Frequency: 3.48 Reach: 601 Results Day 2: Max Bid: $0.70 (suggested was between $0.56 - 0.86) Clicks: 4 Frequency: 2.95 Reach: 632 Results Day 3: Max Bid: $0.70 (suggested was between $0.56 - 0.86) Clicks: 0 Frequency: 2.51 Reach: 336 (decline begins) Results Day 4: Max Bid: $0.70 (suggested was between $0.56 - 0.86) Clicks: 0 Frequency: 2.36 Reach: 55 (huge decline) Results Day 5 (today): Max Bid: $0.70 (suggested was between $0.86–$1.77) ---> They doubled Clicks: 0 Frequency: 0 Reach: 0 So looking at this, Facebook's ad platform essentially said this to me: "Look buddy, you don't want to spend on a CPM model, so we'll force you to start to pay more for your CPC because your offer is so niche, that you'll waste our impression inventory and not even make us a penny -- pay up or we don't help you." It seems like no matter how you try to setup your offer to be advantageous for yourself, Facebook's ad platform forces you to pay up to get a chance to sell what you want to sell. In this case, would it be worth keeping the CPC model if they'll just keep on raising the price for me? Or should I switch to CPM and hope that I'll find a buyer before I run out of budget? The same problem is happening with Twitter. I setup a Lead Generation campaign, and due to the niche-like offer, we're not getting many signups. Twitter dropped our impression count from 347/day to less than 50 a day now. I wasn't interested to take a CPM model for this campaign, because I found that running it through a CPC model guarantees you a better chance that you'll spend only on individuals somewhat interested in the offer (and I'm building my retargeting lists in the same time as tracking pixels have been setup). In a CPM model, you technically just assign a budget for XYZ impressions, and hope for the best. P.S. I also have a Google AdWords + Search network campaign running which is hyper segmented (single keyword ad groups), so that's been taken care of. I wanted to give Facebook and Twitter a shot for this offer given that we can target quite nicely in those networks -- but it seems like they're not really keen on helping offers like ours flourish in their inventory just yet... Any thoughts from other professionals?
Your interpretation of Facebook's ad platform is pretty accurate and it may not be the best fit for your purposes. This may not be the answer you're looking for, but I don't feel that traditional FB and Twitter ads offer the quality or quantity of leads you are looking for.
Given that you are hyper focused on location, you want to target groups / events / organizations in your area. You are targeting small business owners so you may want to target professional networks like LinkedIn. Posting into local groups or running ads should be more successful than FB and Twitter. You are targeting business minded people while they are on a business minded network.
I'm sure you are targeting ad networks because they are automated and light touch. But you may want to look at listing on websites like https://www.sharedesk.net/.
Lastly, there's always a good old fashioned Craigslist post! :)
If you would like to talk more about your options, feel free to give me a call. Best of luck!
Yes-- Facebook's main goal is to make money using their real estate. Your ad is so niche that you are going to have trouble with "cheap" ads either way.
My question is why bother with "cheap ads"?
If someone is interested in your ad and if your ad is WRITTEN WELL ENOUGH to get targeted leads, then even two dollars per click should be an INSANE ROI once you lease out that desk.
Either your offer is bad, you ad is bad, or something is going wrong.
A buck per lead to sell a desk for 12 months is insanely profitable. I would sell desks every minute of the day at those rates.
Look at the ad itself. Is it native for the platform? Does the copy fit for your audience? Is there a photo included? Does it make the target market want to say "yes" immediately to your offer? Perhaps, if you try a few different ads with the target market on the offers that the space provides that people want in the space (coffee in the morning, etc)? Just a few thoughts. Hope it helps!
"Look buddy, you don't want to spend on a CPM model, so we'll force you to start to pay more for your CPC because your offer is so niche, that you'll waste our impression inventory and not even make us a penny" - love it!
As you probably know, Facebook advertising is based on the auction principle - every single minute Facebook holds thousands, even millions of mini auctions for the limited advertising space on the platform. The same way your ads get a 'quality score' on Google Adwords, Facebook will also use plenty of algorithms to give some kind of a quality score to your ads - if they're good, you might pay less, if they're worse, you'll need to pay more to get your ad shown, otherwise you'll loose the auctions and your ads won't be shown at all.
The reason your ads stopped being displayed, is, quite obviously, that something changed and you started losing the auctions. A) Maybe the competition for the same target audience increased tremendously during those days - if there are 100 more advertisers that want to reach those people, it will naturally increase the minimum bid. B) or, the quality of your ad campaign decreased. One of the big factors of the ad quality score is the click-through rates - and I'm assuming it is the main reason your ads weren't showing up anymore.
Meet Facebook Ad Fatigue. The problem/challenge with Facebook ads is that they're very short-lived. Just by looking at the results that you shared, the campaign peaked on the 2nd day - and that happens for 90% of ad campaigns. If you're reaching the same small audience, which doesn't engage with your ad during the first few days, there are very high chances they won't engage with it at all. After a few days people get tired of ads, the click-through rates decline, your ad quality score declines accordingly, and you either stop winning the auctions or you need to increase the bids to keep them going.
I generally go with the oCPM bidding type and find it very effective. If the local audience is very small though, maybe you can try out CPM instead of CPC. However, the most important thing is to deal with the ad fatigue - by always rotating the ads, changing the visuals, the ad copy, even the campaign objectives - so that the audience doesn't get bored and continue to engage with the ads.
Hope that helps, and if you'd like to discuss it further, feel free to get in touch.
I don't think facebook or twitter are appropriate for what you are trying to do. You would be better served with a Backpage or Craigslist ad for the space. You really are looking for an insurance agent, or a someone probably in sales that works primarily by telephone and in the field but may occasionally need an office to meet clients . Facebook and twitter just do not have the target market for this. Backpage or craigslist is where your target market goes to look. In my opinion your just wasting money with facebook and twitter ads. You might even try running an as in your local newspaper for a few weeks .