Which Is Better for Driving Sales: Facebook Ads vs. Facebook Boosted Posts

Almost every prospect we talk to asks us which channel is most effective. We looked through our data and found some interesting insights as it relates to Facebook Ads vs Facebook Boosted posts. The skinny is that Facebook Ads are likely better for driving in-store sales.

clixfuel.com

clixfuel.com

We looked across a handful of ad buys and found some interesting trends:

The Facebook Funnel

By using Privy, brands are able to see performance of their campaign at each step of the way...from impressions, to clicks, to sign up for promotion, to in-store redemption. Funnels from these Facebook campaigns look like this:

  • Click Through Rate (impression -> click) = 1.55%
  • Conversion Rate (click -> sign up) = 24.40%
  • Redemption Rate (sign up -> in-store redemption) = 14.32%

Interestingly, Facebook Ads were better at the bottom of the funnel (redemption Rate), and Facebook Boosted Posts were better at the middle of the funnel (conversion rate).

Facebook AdsBoosted PostsOverall Average
Click Through Rate1.54%1.56%1.55%
Conversion Rate21.78%26.36%24.40%
Redemption Rate18.81%10.96%14.32%

The logical conclusion of this data is that Facebook Ads are better for driving sales and Facebook Boosted Posts are better for growing your database. Of course, this isn't a big enough sample to say that definitively, but it is interesting to see such different results.

We sat down to think about why this could be and we believe it has to do with targeting:

Facebook Ad Targeting

When you run a Facebook Ad, there are a number of targeting options, many of which have to do with demographic or geographic information. Thus, the people who are targeted to see your ad likely don't have anything to do with your brand. So, when they click they are genuinely interested in what is being offered. The higher redemption rate supports this theory, as does the lower conversion rate - people will only enter their email address if they are actually interested and are more likely to follow through with that action if they are interested.

Boosted Post Targeting

The default targeting option on a Boosted Post is to distribute to a brands fanbase and the friends of that fanbase. This means that the post is reaching people who have previously expressed interest in the brand or are people who are seeing a post that their friend likes. We believe that makes people willing to click and enter their information and do it largely because they have an emotional connection to something other than the promotion being offered, such as their friends or your brand. In other words, they are more likely being supportive, not acting purely out of their own interest. You can, of course target differently on boosted post, though most posts are targeted this way.

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