I recently began running a Facebook Ad test for a Christmas Decor franchise here in Maryland. Facebook has such a huge following which made me curious about advertising on it. What intrigued me the most about Facebook ads was the very targeted demographics you could select when creating an ad. I was about to target college graduates in select areas of Maryland, male or female and specific ages. Facebook demographics are pretty right on, because most Facebook users don’t lie about their profile (as they are trying to connect with old friends).
I started out with a very conservative dollar amount of only $3 a day back in September and have done almost 6 weeks of testing. The campaign is a pay per click ad, very similar to Google Adwords. I am only charged if someone clicks on my ad. The visitor, when they click on the ad lands on a Christmas Decor “landing page” that I created. (View Landing Page). The cool thing about Facebook ads is that I can change them anytime I want and always have a picture. The picture ads are perfect for a Christmas decorating franchise as the beautiful display homes speak for themselves! Most days I max out my number of clicks that range from 3-6 per day. As I write this blog, the company has received 3 quality/targeted leads for $107 invested. The average cost per job for this Christmas Decor company is $2,800. So to spend $107 to get 3 leads with a closing ratio of 50%+…that is a great ROI.
Finally, I expect the Facebook ads to do even better as we move into the Christmas season for 2009! Typically people do not start thinking of Christmas til the middle of November and even more after Thanksgiving. It is not on their radar screen. So, if my theory is correct, I believe Facebook advertising for a product/service business works: especially for Christmas lights! As for painters advertising on Facebook, I would love the challenge of testing an ad campaign for them. I would say it may not be as successful as Christmas lights, but if the ad is written well with a good landing page, who knows!