I am going to give away one of my secrets. In my previous article, titled “Social Media is a Cesspool,” I outlined some of my content marketing strategies. You may have caught a very brief reference in there to “targeted” Facebook audiences. Here’s one that’s often overlooked: Facebook Business Page admins. I advertise to admins regularly and they are far and away my best source for new business. There are 77,000 business page admins in New England.
Why do I get such a high response rate from these folks? It’s simple. A Facebook Business Page is a great way to get the word out about your new business, but it’s a delivery mechanism, not a website. This is a mistake that far too many small business owners make. Relying on only the Facebook Business Page to generate business for you is a failing proposition. No one buys directly off Facebook. The trust factor is simply not high enough.
Facebook Numbers for eCommerce
Just this afternoon, I spoke with a prospect who set up a Facebook page and connected it to her Shopify site. She also has a website, but’s it’s not very good, and it’s not connected to the Facebook Business Page. She’s not making any money and I’m not surprised. According to a recent article posted by Wordstream, the average conversion rate for a Facebook Business Page is 9.21%. That sounds like a good number, right? It’s not. Here’s why:
- You need 10,000 clicks to get 921 conversions
- The average cost per click (CPC) for Facebook is $1.86
- It will cost you $18,600 to get 921 potential prospects
- The cost per prospect is $20.19
These “prospects” haven’t bought anything yet, but you just paid $20 apiece for them. What’s the next step? Maybe you think sending them over to your slick new Shopify site will be profitable? Guess again. According to the Digital Marketing Institute, the average sales conversion rate for an eCommerce site is 1.6%. Let’s do the math again.
- 1.6% of 921 is 14.74 (Let’s call it 15 sales)
- $18,600 divided by 15 equals $1240 cost per sale
How much is each new client worth to you? Is their lifetime value over $1240? If you’re an eCommerce site selling products for less than $1240, and only 25-30% of customers come back with repeat business, you’re losing money. I won’t bore you with the rest of the math. I’m guessing you’ve already realized this model is simply not profitable.
Enhance your Facebook Business Page Experience
If you just read my article titles and the first few paragraphs, you might be under the impression that I don’t approve of Facebook for business advertising. That could not be further from the truth. Not only do I approve, I actually use Facebook as my primary source of lead generation, but I do it a little differently than most folks. I’m a WordPress Web Designer and a content marketer. My conversion rate for Facebook prospects is over 50%.
A Facebook business page is a vehicle to deliver content. I run ads to get likes on my business page, but I then consistently post content on my WordPress blog, which feeds to the page and shows up on the walls of all my company’s many fans. That’s the missing piece so many small business owners are unaware of. When someone likes your page, they are giving you permission to communicate with them. Write something. Facebook will deliver it for you.
Another tip I can offer is to utilize all the settings of your business page. Expand the “About Us” section and tell the world your story. Add an Aweber or Constant Contact form. Yes, you’ll have to pay for those services, but email marketing still has the highest conversion rates you’ll see, especially if you’re sending to “warm” leads who opted in on a contact form. I run all my Facebook ads through Constant Contact. Every conversion is an email and phone number for me.
If you’re administering a Facebook Business Page and not getting the results you want, contact me. There are a number of things you can do on your own to improve performance and I’m happy to share those with you. There are also some more advanced improvements Flynn Creations can make for you. Feel free to ask me about those when you call and don’t forget to subscribe to this blog so you can get all the updates I publish on this and other valuable business building topics.
Kevin D. Flynn is the founder and CEO of AdvisorScale Financial Writing. When he’s not writing or on the golf course, he spends his “free” time designing WordPress websites or creating business sales processes for start-ups. In addition to AdvisorScale, Mr. Flynn is also the Executive Director of H.E.L.P. for Young Readers and Managing Editor at October Golf Magazine. He lives in Leominster, Massachusetts, with his wife Evelyn. They have four adult children, two cats, and eight wonderful grandchildren.