August 23, 2018

Why aren't you using Facebook ads?

Hello,

I've noticed that very few people here seem to be using Facebook ads to promote their software products.

I was wondering why that is?


  1. 7

    Here's why:

    
    software products => software people => adblocker => don't see ads => ads target the wrong people => wasted money
    
    
    1. 3

      This is why you pay per click instead.

    2. 2

      Do adblockers work on sponsored posts in FB?

      1. 2

        Not by default. Also, regarding blockers, do understand that 90% of Internet audience is Not technical.

    3. 2

      That's a good point.

      There are a lot of software products that are not targeted at tech people, though.

      1. 6

        Facebook's ad system is set up as cost per click, so you aren't paying for people that aren't seeing the ad. OP is misinformed on this.

        1. 1

          Thank you for the clarification!

          1. 1

            No problem!

      2. 1

        sure thing, in those scenarios it might work! just like those kickstarter for games campaigns who are a prime example of software for non-techies

  2. 4

    I run FB Ads for a living. I'm more focused on E-commerce and B2C products, so I don't have a lot of experience in software or B2B advertising.

    However, also if you don't run ads, I suggest you to install the FB Pixel. It will get data anyway and you can create targeted audiences.

    So you could create an audience of people who visited your pricing page, or people who visited your blog, or also people who visited your thank-you page.

    This way when you'll feel ready to run some ads, you'll have better audiences to target and you'll be able to create lookalike audiences and be more effective with your ads.

    As for the creativity, consider recording some videos to show your product in action.

    A good example is Great Simple Studio (https://greatsimple.io/) [I'm not associated with this site]. Just browse this site and then open FB to watch some of their retargeting videos.

    If you have any questions, feel free to ping me ;)

    1. 2

      Thank you for the advice! :)

      1. 1

        you're welcome :)

  3. 3

    I think folks don't use it as much because they haven't seen much success with it. But I honestly think it's because they don't know how to use a proper marketing funnel.

    1. 1

      For my own project, I've tried advertising on Instagram and Facebook.. perhaps I'm setting something up wrong, but on Facebook I would spend $9 for one click, whereas Instagram ends up closer to $0.40/follow.

      1. 3

        Did you target users that already visited your site? Not sure your game plan. Did you have FB pixel up? If you have data already, I'd target the top 10% folks who've stayed on your site more than a minute. Don't waste money on leads that might not convert.

        1. 1

          I only installed the pixel directly before running my ad... I didn't realize I could target those who had visited previously. Maybe I'll leave that pixel on and try again after some time. Thanks!

          1. 1

            Running some traffic to your site via Ads to get a lot Pixel data is not a bad start either. Get as much data, and when youre running a campaign target a more specific audience

    2. 1

      This is my suspicion as well, I see a lot of e-commerce people doing great with Facebook ads, so it's bizarre that software folks that would get a much better ROI (software has much better margins than e-commerce) don't use paid advertising.

  4. 3

    I actually want to start now, but haven’t so far, because I think that ads in general aren’t as effective when you still don’t have product market fit, which most people here don’t.

    Create a great product first, grow second

    1. 2

      "ads in general aren’t as effective when you still don’t have product market fit"

      I agree.

  5. 2

    Facebook adv is a great way of getting leads but from recent experience We find that you might get fake or not useful signups..So mostly you would waste money. Better go for organic seo and get signups who actually want to buy your service or product

  6. 1

    Maybe one of the reaons is, that you have to build up a facebook page to run ads.

    It does not to have content, though. but then on the other side, you waste some of the side effects of running facebook ads on a facebook page.

    The targeting on the other side is incredible good. For example for one project I just targetet to "admins of sports pages", because I guessed, that hey are the one doing the purchase decisions for their teams.

    but it is right, that it is more like a lean back medium. Hard to "push" / sell something to people, when they do not have the imediate need.

    unlike google, which is "learn forward", because customers are "pulling" and have an urgent need.

    1. 1

      Currently I am trying to market a app where I can not come up with any specific search terms, because people are not searching for this specific functionality.

      Therefore I try to market it via facebook ads, where you can target on behaviour and interests and not on specific keywords.

  7. 1

    From my experience, you can't just throw money at it and hope it works. You still need to learn, research, devote time and energy...

    I already do that by trying to do marketing organically. Spending a few extra months and a few extra hundred/thousand $$$ is something I don't consider to be the right move for me now.

    Some people have great success with it apparently. I always wonder how big is the portion of people who haven't seen a cent of ROI from fb ads and just don't post anything online. The general opinion is that they are effective though, so anyone with some spare cash and time should learn about it and test that hypothesis on their own.

  8. 1

    FB ads only seem to make sense if you are selling a physical consumer product, or a product/service that shows budding entrepreneurs how to make money themselves.

    1. 1

      Can you expand on you reasoning behind this statement?

      1. 1

        Reasoning is that FB is a general consumer platform, so if you’re product is aimed at the general consumer, then it makes more sense to advertise there. But if your product is B2B, it makes less sense.

        Unless the second ‘B’ is a consumer who wants advice/help on becoming a business - e.g. your service is aimed at budding affiliate marketers

  9. 1

    I used FBs to announce information for a non-profit to raise awareness. The response was meh. I used it ONCE of business purposes and the first comment I got was a comment with foul language. It's just me and I don't have time to moderate comments. I'll take a look at FB ads again when I can afford a professional social media manager.

  10. 1

    Getting Facebook ads to be ROI-positive can be a serious challenge even with a great product. You have to get 1) targeting, 2) your ad copy, and 3) your landing page all to work well enough that your CAC is acceptable. This can be way harder than it seems, especially with competition for ad inventory pushing prices higher than they were in Facebook's early days.

    This means that some business models and products simply can't be marketed on Facebook, just as how some keywords on google are so expensive that it doesn't make sense to use that.

    1. 1

      Yeah, I tried running an e-commerce store, but couldn't figure out Facebook ads.

      It should be easier with software products, since the margins are so much better.

  11. 1

    In my experience, social media ads don't drive sales. I also can't find any data that suggests otherwise - despite looking.

    I won't spend money on ads if I don't think they will drive sales.

    A lot of what I've seen suggests that it's valuable for building brand awareness, but people are plenty aware of a brand when they spend money on it.

    I've never bought a product I found through Facebook, don't have any friends who have either.

    1. 1

      It must drive sales otherwise dropshipping people wouldn't be using it.

      1. 1

        Maybe, but I don't know that any of those companies are making any profits on their ads. Plenty of companies do things that lose money all the time. Just because people are doing it doesn't mean it works.

        They could just be throwing money down the drain. It seems like they don't stay around with their ads for very long. For personal experience it could just be because they no longer target me, but I suspect they fail at a high rate.

        A study on how long these companies last would be a pretty interesting read. I'm willing to bet the attrition rate is pretty intense.

        Separate to that idea, social media clicks don't show very high purchase intent. Think of the way people you know use social media - they click on the picture that interests them, get their visual fill, then go back to scrolling their feed. You are competing against a pretty strong impulse to just ignore whatever it is that they click on.

        I think it's a whole other ballgame if you use influencers. Ogilvy believes that celebrities don't increase sales, but I don't think they really fall into the same category. There may be some drop off point where the size of your following starts giving you diminishing returns.

        Again, as for the social stuff, I don't know for sure because no one has published a study on it that I can get my hands on. Do they drive sales

  12. 1

    I believe that until Facebook figures out how to make their platform safer for their users I won't pay them money. They just recently removed the ability for advertisers to discriminate their customers. Honestly, why was that ability their in the first place?

    I've also come across about 3 different scams being advertised to me and other people. Facebook needs to do a better job at vetting the companies that pay for ads on their network 🤷‍♂️

  13. 1

    With Google Ads you can target high intent searches, e.g. "buy green sneakers". The person already wants to buy and tells you what they want to buy. However, bidding causes high ad costs. I think it's only for higher priced products with enough margin, else you'll need deep pockets (in the short term the advertising doesn't pay for itself). You can get away with paying less if your ad/site combo has a high quality score, but that is another topic.

    With FB ads you can advertise to large groups of people more inexpensively, but you have to create a catchy ad because the users are not actively searching for what you are selling. You can build brand awareness even if you are not converting.

    If you try to narrow down the demographics and interests in the audience then the ad cost goes up. I tried a narrow audience of people in EU countries where English is spoken by more than 38% of the people, who are university graduates, interested in personal finance - investment, and interested in various stocks related things. The audience size was 260,000 people. My FB ad was costing 1 cent per impression. Again, if you product has a high enough price and has enough margin, you can try this.

  14. 1

    I think it has to do with the mindframe switch when targeting people on Facebook, and the change in funnel it requires.

    It requires a a much different type of ad to appeal to someone scrolling past dog pictures of their friends VS. something like adwords where you can specifically target people actively looking for your product. Sure FB gives a good way to drill down to specific demographics, but that means nothing if your funnel/ad isn't setup to convert the people looking at it.

    I think this mindset shift is hard to get around, and in turn leads to poor results with the channel and less people using it.

    1. 1

      That's an interesting perspective, thank you!

  15. 1

    Never had a stable FB account, tried to Create a Campaign today and it prompted me to create an account. The moment you do tons of friends request pour in, probably from phone contacts, email or some algorithm they have..in any case sounds like too much hassle.

  16. 1

    People spend a lot of time on Facebook these days. It's a good way to promote your product to a vast audience and it's easy to target.

  17. 1

    Probably a good way to build traffic for a blog. Find a group of people and keep advertising to them with new blog articles around an interest. might filter by geography(as well) so your hitting the same people over and over again and you start to get name recognition.

    1. 1

      Why would you use paid advertising to direct traffic to your blog instead of your product?

      1. 1

        you need to build up a reputation with them. so you can get an email and/or login so you can message them. also, people are on facebook to unwind.