Facebook Promotion and AdvertisingSenka Melisa
The Benefits of Using Facebook Promotion and Ads for Small to Medium Sized Businesses
If you are operating a small business, you’re probably on Facebook. There are currently more than 50 million small businesses leveraging Facebook Pages. And for good reason. It has literally become a household name all across the world, not to mention it gives savvy businesses the potential to reach more than 1.5 billion individuals.
Recently, Facebook announced that more than three million businesses advertise on its platform; many of which are small- to medium-sized businesses, or SMBs. And this number is growing rapidly. In February of 2015, Facebook only had two million advertisers. For those keeping score, that’s a 50 percent increase in a single year.
To give you perspective, Twitter caters to around 130,000 promoters leveraging its ads, and Instagram, which recently hopped into the ad business, has approximately 200,000. Facebook is keenly aware just how much small businesses rely on its offering. , Facebook chief operating officer Sheryl Sandberg has commented on the matter stating, “Our mission is to connect the world, and connecting people to small businesses that provide their local business services is really an important part of that mission.”
But why exactly are small businesses flocking to the omnipresent Facebook for their advertising needs, as opposed to the various other social platforms that legions of individuals use daily? Is it really better than Google AdWords, or the gazillion other ad outlets? Let’s find out.
Getting the Best Value for Your Dollar
Many small businesses are operating under extremely tight financial constraints which leaves little room for a marketing budget. The funds that are allocated for advertising are probably only large enough for more traditional promotional avenues like newspaper ads, late night television spots, radio ads, and so forth. The problem with these forms of advertising, however, is that the audience these materials reach is extremely limited, and dwindling by the day.
Today, SMBs are pouring their limited marketing dollars into digital properties rather than traditional media. Part of the motivation is obviously reach; these types of ads have a much more expansive and diverse demographic. More importantly, however, is that digital advertising is capable of targeting specific audiences and provides feedback on how effective the ads actually are. By contrast, old school advertising is incredibly difficult to measure.
When it comes to Facebook promotion, the social portal is providing small businesses with high-end tools that otherwise would simply be unafordable. As Sandberg said, “It’s prohibitively expensive for most small businesses to reach people digitally.”
With Facebook Promotion, small businesses can create a variety of different ads and experiment to see which convert the most for a selected audience. Additionally, individuals can be targeted based on age, location, interests, gender, and so much more. This allows for SMBs to really get down to the nitty-gritty of its target audience and reach those exact individuals while simultaneously eliminating unnecessary ad spending on those who will never convert. More than that, once an audience who converts highly has been identified, clone audiences can be created to do more of the same.
All of this feedback gives small businesses the capability of understanding exactly how far their dollars are going, and how to get them to stretch even further. This is part of Facebook’s goal; to create the ultimate ad platform for SMBs as these folks are the future and lifeblood of Facebook’s Promotion and ad revenue.
Revenue from Mobile
At this point, everyone understands that mobile plays a massive role in the future of digital media and advertising. More than 80 percent of Facebook’s total ad revenue comes from mobile devices. This figure is only set to increase as the company recently announced a new form of mobile ads dubbed Canvas Ads.