A few months ago i was sitting in the Dallas Airport, flipping through the pages of my Entrepreneur magazine when an article caught my eye. Michelin Tires Pulls out of Facebook. I was definitely intrigued. Why would such a smart company do such a stupid thing? I mean everybody knows that advertising On Facebook Ads is like putting up a billboard in the middle of Times Square. Right? Wrong 😦 Michelin Tires had done research to find out that only 12% of business was being generated through thousands and thousands of dollars for Facebook Ads.
I experience the same issue, on a smaller level. I probably spent about $10,000.00 on facebook ads, for my small business, in the last year to see little to no return. It breaks down to these simple facts. Facebook is a social site, so treat it like that. People need to get to know you and your product. So start a product page and if people are interested in it they will ‘like’ it. From there you have a targeted audience that is willing to get to know you and your product. If they like and trust you, they will buy. A general rule of thumb is chat and get to know your customers 80% of the time and sell 20% of the time. Also keep in mind that people need to be exposed to a product at least 7 times before they decide to buy it. So facebook is a good place to get your product in front of their face. So in conclusion check your friends, pass along some funny pictures, blog and brag but i would not recommend spending your money on something that has a high end of 12% return.
P.s. I just tried to close my ads manager on Facebook and remove my credit card (that is still getting charged) and it is not possible. The Cancel button does not click and there is no way to get in touch with ‘customer service’. Have we all been scammed? Please let me know if you have had any success with facebook advertising? As always i would love to hear your thoughts.
LeLa Becker has been an entrepreneur all her life and is currently the Marketing Director for VitalityScience.com