Introduction to Facebook Ads

Whilst it’s true that creating a Facebook advert is relatively easy, it does come with some difficulty. Particularly with regards to terminology. To create a successful Facebook ads campaign, you need to know your resources, targeting capabilities, campaign goals and, in particular, your terms. Why? Because if you don’t understand the correct speech, you’ll find it very hard to navigate Facebook Business Manager, let alone read useful guides on the subject. Also keep in mind that specific terms and expressions, whilst familiar to you from other platforms, could carry a different meaning in the Facebook world. So, without further ado, let’s take a look at the most commonly used words in the Facebook advertising arena.

Actions: This refers to the total number of users who “engage” with your Facebook Page within an advert, this could be in the form of a page like, event RSVP or link click. Keep in mind that this does not include clicks on the ad message or title.

Average CPC (cost per click): This is calculated by dividing the total number of clicks by the total amount of money spent on an ad. The resulting figure reflects the average amount of money spent every time someone clicks on your advertisement. To optimise your CPC it is best to work with a Facebook advertising agency.

Average CPM (cost per thousand): Very similar to Average CPC, only this figure calculates the average amount of money spent on every 1,000 impressions.

Call to action: This is typically a very strong offer or specific activity promoted within an ad, designed to elicit a very specific action from users. Examples include CALL NOW, CLICK HERE, BUY TODAY, VISIT WEBSITE, DOWNLOAD and so forth. 

Campaign: Campaigns allow marketers to group advertisements based on criteria within Facebook Ads Manager. Although these ads might have the same daily budget and schedule, you can vary their bid amounts, targeting and message (text/visual).

Conversion: A state in which the viewer interacts with the call to action (mentioned above) promoted in the ad, this could be in the form of buying a product, liking a page, joining a mailing list or downloading an app.

CPC (cost per click): This is a payment model that only chargers’ advertisers each time an advert receives a click, not merely for being shown in a user’s feed. 

CPM (cost per thousand): Exactly like CPC above, only for this one, the advertiser is only charged each time their ad receives 1,000 impressions (see below).

CTR (click–through rate): This is one of the most important numbers in the Facebook world. It’s calculated by dividing the total number of clicks an ad receives by its total number of impressions. The higher the CTR, the most successful the ad campaign.

Impression: This expression refers to the total number of times your content is displayed in the Facebook ecosystem, irrespective of whether or not it’s clicked on.

Landing page: This is the first web page a viewer sees after clicking on a Facebook ad. It can either be an external website or Facebook business page.

We hope this article has been helpful and you’re now well on your way to fully understanding the world of Facebook ads.