Blog > Facebook Ads The Expensive Mistakes To Avoid!

Facebook Ads The Expensive Mistakes To Avoid!

Facebook Ads The Expensive Mistakes To Avoid!

InBranding, Business, Social Media Posted onNov 11, 2022

When it comes to growing a business, Facebook ads are an attractive prospect.

Who doesn’t like the idea of creating an ad, sitting back and watching the hungry buyers roll in?

Until you create the ad, spend tons of money, only to find that no hungry buyers or maybe the odd 1 or 2 come trickling in, leaving you with an expensive deficit.

So why does this happen- where did it all go wrong?

It is usually because you have not been prepared for the ad journey.

So join me as I unlock the naked truth about ads.

[Limited time? Skip the video to 14:00 – where Jor’El gives you all the tips and tricks needed to build a successful ad campaign!]

Please note that the figures I am about to share with you are for high-ticket coaching programs, programs that retail at $2k+.

When running ads for a coaching business, first and foremost, you need to know the figures and your key performance indicators (KPI’s).

Cost per lead.

Cost per lead refers to how much it costs to encourage a spectator of your ad to take the next step.

This is usually signified by them registering for something either free or paid and giving you their name and email address in return.

When it comes to ads, on average, it costs between $15-$20 to acquire a lead.

However, it is essential to remember that just because someone becomes a lead, it does not mean they are ready to buy what you are selling.

Cost per call booked.

Cost per call booked refers to how much it costs, on average, to get someone to book an actual call with you.

Now you may be wondering why you want to work towards someone booking a call, can you not just provide a way for them to make payment online?

This is a great question, and here in lies the problem, if you are selling a high-ticket program, it is almost impossible to create the level of inner safety required to get a potential client to purchase a product for $2k or above without booking a call because it is considered a significant investment for most.

With that being said, the average cost per call booked is around $150-$200.

Cost per sale.

Cost per sale refers to how much it costs to acquire a sale. Depending on your close rate, it can be anywhere between $300 -$500+ to make a sale.

This is why the price point of your offer is so crucial if you are thinking about running ads, as you need to build your marketing costs into your service in order for advertising to be viable. And this is where so many coaches, course creators etc. make the mistake.

For example, if you are charging $2k and the cost per sale is $500, this leaves $1500 profit….Nice!
However, if you are charging $400 and the cost per call booked is $500, you end up making a loss.

There are other metrics to be aware of, but I will not go into those here for the purpose of time.

It is important to mention that you need to have enough money upfront to test and optimise your funnel/client journey before you can consider scaling, at least $3-5k+ set aside for this purpose. If you do not have this money to invest in doing ads properly, then I would suggest you start by generating leads and making sales using organic (cost-free methods) and progress to ads once you have enough capital to get started.

In addition to the figures, you must also understand the following to achieve a successful campaign:

  1. How to create eye-catching ads to get your clients to stop scrolling and take notice.
  2. How to create laser focussed copy to encourage them to take the next step.
  3. And the funnel progression/client journey best suited to selling your product.

For example, [lead magnet] to [free event/video sales letter/webinar/Facebook group] to [call booked]. Obviously, dependent on the client journey, the estimates given may vary slightly.

Remember, the further someone progresses through your funnel, the more likely they are to disengage, so all of this has to be considered to run a successful ad campaign.

Now, if you have read the above and want to use Facebook advertising to promote your business, however, you do not know where to start.

We have created the Brand You To Success Academy to help you achieve this: [Claim your 7-day FREE TRIAL here]. With the academy, you will get the essential step-by-step training & support you need to rapidly start or grow your online business and social media following & get more premium clients either organically or using the power of Facebook advertising.

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Branding & Business Jor'El Mitchell

Global Business & Branding Strategist

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