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Facebook has created a powerful platform for reaching customers at
scale across the purchasing funnel, benefting both media buyers and
advertisers alike.
Facebook is often the most proftable for businesses across verticals since
it allows for in-depth targeting of many different demographics, allowing
organizations to serve relevant ads to potential and existing customers.
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INTRODUCTION:
Why Driving Conversions with Facebook Works
As an advertiser, your options, in terms of marketing channels, are widespread
and dependent on the goals you’re trying to achieve both online and offine.
Facebook has a billion total monthly active users, which is far more than any
other social platform can promise a business in search of such an expansive
audience.
This presents advertisers and media buyers with an opportunity to reach
more people than ever before by segmenting various demographics based
on interests, likes, friends, activity and intent.
Therefore, your ads on the Facebook platform can be targeted to users with
high purchasing power, which can help ensure a strong ROI for your campaigns.
Not to mention, as compared to the spend on TV, print, billboards and other
traditional advertising channels, advertising on Facebook is cost-effective
since you’re only paying for results.
Many traditional advertising channels can’t guarantee interaction with your
advertising like Facebook can, especially when it comes to its variety of ad
offerings on mobile devices.
By simply uploading the list of emails or telephone numbers your business
has built over time, you’re able to serve ads on Facebook directly using your
existing customer base.
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“There are a variety of different signals that we can
use as indicators to fnd people who already know
something about your brand who may not have
anything to do with your [Facebook] fan page.”
Advertising campaigns on Facebook often result in 49% of businesses
experiencing a 5x or greater return on ad spend and 35% lower cost
per conversion than other channels. Focusing your advertising spend on
Facebook is a worthwhile investment for generating demand down the
pipeline to lead to more quality conversions.
The success of Facebook, relative to the advertising revenue it generated
in 2013, is a testament to how effective that channel is at driving long-term
results for both advertisers and media buyers.
Gareth Smith,
Director of Ad Operations at AdParlor
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Demand Fulfilment:
How Advertisers and Media Buyers Can Drive Conversions
Here are ten strategies for building out an effective Facebook advertising
campaign that drive demand across the customer funnel, leading to
conversions for both advertisers and media buyers.
1. Target Personas, Not Segments.
It’s a misconception among advertisers and media buyers alike that they
should be targeting different audience segments when using the advanced
targeting features available from the Facebook platform.
In actuality, it’s important to target the various personas of your audience
online as opposed to generic segments. By targeting these personas, your
ads are more likely to convert since they are more aligned with the interests
of the Facebook user in the funnel.
Use data from your analytics to understand what types of personas are
typically active on your company’s website. By doing this research, your
team will be able to create ads to match the interests and behaviors of the
different personas active on your website.
For example, if shoppers on your website typically use coupons, promo
codes and discounts, this might mean they are bargain hunters and only
shop when there’s some sort of deal.
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Since your team has this data at your disposal from the past actions of
shoppers on your website, it’s important to cater to this persona by making
the Facebook ads focused on a discount, deal or promotion as seen below.
The copy used in this Facebook ad highlights one thing: if the user clicks the
ad, she’ll be able to make use of some type of deal. This deal-centric ad
above appeals to the bargain hunter, and therefore, increases the likelihood
that she’ll convert.
The same ad could exist with different copy and creative to match a different
persona as seen below.
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Mladen Raickovic,
GM of AdParlor
“With Facebook, you have the opportunity to truly
customize the ad experience for your customers.
This is a promise often made in many digital
channels, but rarely delivered upon.”
Then create ads that are catered to other personas of customers visiting
your website, whether these personas are those who often buy presents for
others, shop based on trends, have loyalty to specifc brands of products,
focus heavily on health products, etc.
Instead of re-targeting every visitor from your website with the same ads,
match the creative and copy used in each ad with different personas
based on what they did on your website previously. The ad above features
the same link and imagery as the previous ad, but the copy appeals to a
persona who focuses on shopping according to the major trends in fashion
as opposed to the latest deals.
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2. Incite Chain Reaction Purchases.
Facebook allows a media buyer or an advertiser to understand the
preferences and actions of its user base, which can then guide the types
of ads an organization serves to them. One approach to converting
customers near the bottom of the funnel with Facebook advertising is
serving ads that make use of chain reaction purchases.
This advertising strategy is one of the most predictive means of knowing
what a customer will want next. It’s the process of predicting what ads
to serve next, based on past consumption patterns. Typically, an event
occurs in a person’s life that infuences him to make a string of purchases.
These chain reaction purchases are similar among large groups of people,
which is why these trends in purchasing behaviors can be quite proftable
to focus your advertising around.
Make use of chain reaction purchases from events like holidays to increase
your conversion rate. In this example, the company is serving ads the
month and weeks before Mother’s Day to capture the attention of anyone
giving a gift to someone during the specifc holiday.
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For example, if you book a fight on Orbitz, it’s assumed that you’re
traveling to another location where you might need a hotel, possibly
entertainment, or even a rental car. Companies will more likely be able to
convert you into a customer on Facebook serving ads that feature hotels at
the location, activities like snorkeling or by showing deals on a rental car.
By targeting ads to users who have just taken a specifc action, you are
more likely to convert them as they make a chain reaction purchase. If
you’re shoe company, partner to get the data from a gym because quite
often, people sign-up for a gym membership and then immediately
purchase running shoes.
Match your products or services with actions that most likely ensure chain
reaction purchases that your company can most likely gain traction from.
3. Optimize Your Landing Pages Per Campaign.
As an advertiser, one of your biggest
responsibilities while running Facebook
ad campaigns is to create and optimize
landing pages when your ads drive
traffc to your website. When traffc is
sent from your company’s Facebook
ads, it’s critical that users visit a landing
page that’s relevant to the context of
the ad that they clicked on.
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By providing a connected experience from your Facebook ad to your landing
page, the more likely a visitor will convert because your business is following
up on the promise offered in the ad. Every landing page needs to be
cohesively tied to the call-to-action, value proposition and creative featured
on the Facebook ad that a user originally clicked.
Alter the format of your landing pages based on the Facebook ad unit being
used and the type of offer being presented on the ad. For example, if you’re
using a link page post ad unit that’s highlighting your organization’s most
recent white paper, then the landing page on your website should feature the
benefts of downloading the white paper, creative featuring aspects of the
resource and a sign-up form to receive to download the white paper.
Creating a cohesive journey from Facebook ad to landing page is what it
takes to deliver a worthwhile experience for a user, more likely leading to a
conversion.
4. Choose Calls-To-Action That Match The Framework of Each Campaign.
It may seem like a simple strategy to use calls-to-action or CTA that match
the specifcs of your Facebook advertising campaigns, but you’d be
surprised at how often organizations mess up this vital part of the process.
Ads that use the right creative, ad unit and CTA button often perform better
on Facebook because these ad units offer clear guidance on what actions to
take post-click depending on the goal of the campaign.
The next steps a user is to follow are spelled out for them within the ad and
act as a map to follow once a person is off the Facebook platform. Include
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strong calls-to-action that encourage
conversions in your creative or through
a CTA button, whether that’s making a
purchase, signing up for an email list, etc.
This Facebook ad includes a CTA
directing users to book hotel
accommodations, instructing users on
what to do once they are sent off of
Facebook from this ad.
Facebook allows advertisers the option to choose from the following CTAs:
Book Travel, Shop Now, Learn More, Sign Up and Download. Choose the
CTA the best matches the parameters of your campaign—for example, the
goals, industry and audience you’re trying to reach.
According to AdParlor’s Mladen Raickovic, one of the most effective
methods for driving conversions with the CTA button is pairing it with
a landing page that features the same deal, Make this deal as easy as
possible to claim to ensure less drop off from your Facebook traffc. The
example above is a perfect example of a Facebook mobile user using the
app to book a hotel room, then visiting the third party’s website to book
the room directly from a mobile device.
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This data, which is based on AdParlor clients, is 100% real. Over the
last week, three advertisers — we’ll call them A, B, and C — ran tests
to compare the new ad call-to-action buttons:
Advertiser A: Jan 31 to Feb 4
Total Reach: 460,000 users
Placement: News Feed
Vertical: Subscription Services
Objective: New User Registration
Advertiser B: Jan 31 to Feb 5
Total Reach: 100,000 users
Placement: News Feed
Vertical: Apparel & Fashion
Objective: New User Registration
Advertiser C: Jan 31 to Feb 5
Total Reach: 250,000 users
Placement: News Feed
Vertical: Apparel & Fashion
Objective: New User Registration
CLICK-THROUGH-RATE COST-PER-ACQUISITION CONVERSION RATE
0.34%
0.33%
10.79%
16.99%
$11.47
$8.14
CTA
( SHOP NOW )
CTA
( SIGN UP )
CLICK-THROUGH-RATE COST-PER-ACQUISITION CONVERSION RATE
0.460%
0.579%
4.18%
2.94%
$44.50
$48.54
CTA
( SIGN UP )
NO CTA
CLICK-THROUGH-RATE COST-PER-ACQUISITION CONVERSION RATE
0.783%
0.424%
13.00%
10.92%
$4.28
$8.60
CTA
( Sign up )
no CTA
A
B
C
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Make sure to experiment using different calls-to-action in your Facebook ads
on mobile as well, since they are extremely effective at driving conversions
due to fewer distractions present on the screen of a mobile device.
Fewer distractions help make your creative, CTA button and use of different
mobile ad units more effective. The link page post ad unit is one of the
best at driving off-site actions, which—when properly matched with a CTA
button—can help to drive stronger results from your campaign.
“If you’re down in the funnel and you’re trying to drive some kind of online
conversion, whether it be a shallow sign-up or a shallow customer acquisition,
your bread and butter is going to be the link paid post ad unit,” added
AdParlor’s Gareth Smith. “It’s the go-to for [driving] online conversions.”
5. Use oCPM Bidding to Deliver Relevant Ads.
To effectively convert customers from Facebook, often at a lower cost
per conversion, use Facebook’s newer bidding system optimized CPM
(oCPM). “It’s a tremendous way to choose an action, whether it be on
platform or off platform, and have Facebook’s model and algorithm
optimize to fnd people that are likely to do that action,” said Smith.
As an advertiser or a media buyer, choose a shallower event on your
website, like flling out a registration page or email signup form, added
Smith. The shallower the event within the conversion funnel, the faster
Facebook is going to be able to learn and help optimize your campaign
for you.
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oCPM allows media buyers and
advertisers to serve ads to users
who are most likely to convert, which
can help optimize your campaigns
to be more effective at driving
conversions, while costing less.
For instance, the Democratic
Governors Association used
conversion measurement with
oCPM to deliver ads to users who were most likely to sign up for its
mailing list. According to Mark Giangreco, Digital Director of the DGA, the
Association noticed a dramatic decrease in its cost per conversion--in fact,
it was 85% lower than any other campaign the DGA had run online.
For any business, the end goal is a conversion and to achieve this with
oCPM, your campaign must start shallow. To feed Facebook’s system with
conversion data, focus on an action at the top of the funnel that allows
the platform to learn over time. From there, you’ll be able to determine
the percentage of users who didn’t convert, your end-goal CPA and then
reduce your bid accordingly.
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6. Drive Ad Traffc to Premium Products & Resources.
To increase conversions, use Facebook ads to drive traffc to premium resources
offered by your organization. For instance, create Facebook ads to match your
most popular product offerings to ensure that users outside of your current
customer base learn about your best products.
Your current customer base is an excellent way to test which products
have the most mainstream appeal and value. When your products are well-
received, it’s more likely that they’ll continue to gain traction if promoted
across the Facebook platform.
Don’t allocate advertising spend to promoting products or product
categories that aren’t doing well based on sales, traffc and customer
feedback. Facebook ads should present your best products to help boost
both conversions and brand awareness all at once.
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In addition to showcasing your trending products, serve Facebook ads to
your very best content, like white papers, eBooks, blog posts and more.
Determine what your best content is, based on how it’s received from your
existing audience, and then begin promoting it to increase your distribution.
In this case, the conversion is the download of one of your content
resources, or simply the fact that it was clicked on and viewed. The
proliferation of your content over time can build long-term loyalty with
your audience and Facebook ads can help increase the viewership of this
engaging content.
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7. Follow Insights on Past Campaigns to Drive Results.
Similar to the strategy of segmenting based on personas and driving
conversions based on chain reaction purchases, viewing the data from
your past campaigns can be extremely effective for driving results for your
organization, or your clients, using Facebook advertising.
Each company’s data and customer base
is unique, so it’s diffcult to suggest what
your organization should do in broad terms
with the trends and patterns found from
your past campaigns. Each business will
obviously see different results.
What can be done with this data varies from
providing insights on what types of ads work,
which CTAs drive the most conversions,
how certain audience personas behave
between devices, which Facebook content
resonates the most with personas, what
time of day your ads perform the best, what
visual elements resonate the most with your
advertising, and more.
The volume of insightful data Facebook is able to collect about its users,
like where a cursor hovers over a particular page on the site, is constantly
growing and helping advertisers get more valuable insights about their existing
customer base and potential customers.
Source: CMS Wire
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To help boost the data available from Facebook users, Facebook partnered
with data vendors like Datalogix, Acxiom and Alliance Data Systems in
an attempt to create more complete profles of its users. As a result,
organizations are better equipped to precisely target existing and potential
customers on Facebook using the data from these partners, in conjunction
with insights from past campaigns.
8. Focus on Using Quality Images, Relevant to Your Messaging.
The images used in your Facebook ads will make all the difference
between a successful ad and one that gets ignored. The creative used in
Facebook ads can help drive up the click-through rate and conversion rate
concurrently. It’s important to focus on selecting an image for your ad that’s
relevant to the offer and the destination that ad takes users to to ensure
both high click-through rates and conversions from the ad.
Follow these fve best practices for images used in your Facebook
ads to help increase conversions:
• Use colors in your images that stand out against the blue and white color
scheme of Facebook. This will help prevent your ads from getting lost
in the Facebook feed. Make sure that the background or border of the
creative contrasts with the image used.
• Select an image that is either funny or odd to help your Facebook ads
stand out from all the other content being shared and advertised on the
platform. It’s important that this image is related to your offerings of your
business and the ad, but there are many ways to be creative and help
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your content stand out. This approach will help drive more conversions
and establish your brand’s reputation at the same time.
• Highlight the value your Facebook ad will provide a user within the
image by highlighting the value proposition. This could be in the form
of words highlighting the best aspects of your offer, whether it’s free,
discounted or running for a limited time for select customers. If you’re
promoting content, include an engaging line from the resource to be
included in the image.
• Images of happy women are one of the best type of visual assets to
use in your Facebook advertising campaigns, which is helpful since
most businesses can apply the use of a woman’s image to their
offerings. Photos of happy people tend to work well, but photos of
women specifcally tend to drive the most conversions with Facebook ads.
• A/B test the images used in your ads by experimenting with seven to
ten variations per campaign. This will give your organization insight into
what is really working when it comes the the visual elements of your
Facebook ads. Using Power Editor, create multiple versions of each ad
being sent to your different customer personas to begin testing what
drives the most conversions.
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9. Go Mobile First.
Mobile ad revenue will more than double to $24.5 billion by 2016, due
to the growing user base mobile devices command and the undeniable
effectiveness of Facebook mobile advertising. With consumers twice as
likely to click and share content on social channels through mobile devices
as opposed to desktop, now’s the time to focus a signifcant portion of your
budget on Facebook mobile ad units.
The fact that Facebook and AdParlor made more than 50% of their
respective revenue from mobile advertising in Q4 is a telling sign that many
brands are fnding success transforming prospects into frst-time customers
and frst-time customers into repeat buyers with Facebook mobile ads.
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AdParlor’s Gareth Smith suggests every business ask themselves—What is
your business more focused on? Are you more focused on the mobile web
experience or are you more focused on the native mobile experience?
Often your goal as an advertiser or media buyer on the Facebook platform
is an off site conversion, but your business must understand what
experience you’re looking to provide for mobile visitors frst. If your website
is mobile friendly, then it’s best to use link page post ads to drive traffc from
Facebook to your website viewed via a browser.
If your business has a mobile app for your customer base, then it’s best to
use a mobile app install ad unit to drive traffc from Facebook to the app.
The choice of ad unit all depends on the destination experience a Facebook
user is going to have when driven from the platform to one of your mobile
properties.
Most advertisers today should be thinking mobile frst when it comes to
their campaigns, especially since Facebook is heavily focusing its new ad
products on mobile when they frst launch, then later adapting them to
desktop.
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10. No More Anonymous Targeting. Use FBX, Custom Audiences & WCA.
It’s not viable to anonymously target a user’s profle that’s generic because
targeting these users is very ineffective at driving the same results as compared
to applying a highly targeted approach.
Therefore, using data collected across display, email and the Facebook
Exchange (FBX), your team can better direct how your organization is targeting
potential customers. Facebook Exchange is designed to focus on demand
fulflment, converting customers brought into the pipeline from standard
Facebook ads, and other channels.
Begin experimenting with targeting your customers with Facebook
Exchange, especially since the click-through rate on Facebook’s retargeted
ads is 21x higher than traditional web retargeted ads.
The data gathered from the various
paths a consumer takes across these
marketing channels can give your
organization interesting insights into
their behavior. This data can alert your
organization to when a customer is
showing signs of purchase intent,
which may mean it’s time to serve
another Facebook ad, display ad
or email message to help move the
customer down the pipeline to convert.
Source: Responsys
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An added beneft of using one coordinated approach to reach customers
across these channels is that your organization is less likely to oversaturate a
consumer with excessive messaging.
If a customer sees multiple Facebook ads from your company about one
campaign or receives multiple emails about the same campaign, it’s more
likely that you’ll annoy them. When advertising the same campaign across
channels, it’s helpful to spread your messaging and avoid over saturating any
one platform.
Another important focus for advertisers to reach an incredibly relevant
audience at scale is using Facebook Custom Audiences, which are audiences
who have visited your websites or mobile apps.
Custom Audiences can also be combined with frst-party data like customer
emails, purchasing history and more to accurately target these audiences
interacting with your business in various capacities with relevant ads. This is
a powerful technique for breaking your web traffc into different personas to
more effectively target them with relevant ads, while excluding others.
The ability to target certain audiences, while excluding others ensures more
effective ads being served to your customer base and less spend wasted
on users not interested in particular Facebook ads. Excluding certain users
from your campaigns is often just as important as the users you’re specifcally
trying to reach.
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Cross-selling between platforms like desktop to mobile is possible with
custom audiences as long as the tracking pixels are in place on your
properties, as well as product-level retargeting.
These features help make your campaigns more relevant to the users
being served the ads and therefore, more likely to convert them. Custom
audiences often help drive more conversions, since you’re using existing
data about your customer base to help inform the content of your ads
being shown to specifc groups of users.
Also, be sure to utilize Website Custom Audiences (WCA) to target users
with Facebook ads that have previously visited your website, but in a
different way than through Facebook Exchange. FBX requires running the
ads through a third party like AdParlor, while WCA does not. You’re also
limited to creating only certain kinds of ads with FBX, while with WCA
allows your organization to create any ad unit that best matches the goals
of your campaigns.
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In the end, the fve major components of Facebook advertising heavily
infuencing whether a campaign will convert: are including effective creative,
focusing on strategic targeting, the use of the various Facebook bid types,
accurate measurement practices and that optimized landing pages are in place.
It’s clear that Facebook is a powerful platform for driving demand fulflment
across many verticals. It’s only in its infancy and has many more iterations to
come to help advertisers and media buyers reach their target audiences with
relevant messaging.
Facebook is tracking conversions across the web every minute of every day,
which gives it access to the data so many advertisers that place conversion
pixels on their websites. “Facebook provides advertisers with unprecedented
access to the combination of scale of users and precise targeting against
them,” said AdParlor’s Mladen Raickovic. “That is virtually unmatched in
digital advertising ecosystem,”
This is what makes the platform valuable for advertisers: the fact that
Facebook has access to so much data from more than a billion users and
the many websites from its advertisers.
Facebook can help predict which users are most likely to convert, and therefore,
can likely help your business drive conversions on the site. There’s no other
marketing platform that offers this functionality and user base. It’s time to
start advertising on Facebook to make use of the valuable connections and
interactions happening across the network.
Conclusion:
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Looking for help with your Facebook
advertising campaigns?
AdParlor, an Adknowledge platform, is one of Facebook’s Strategic Preferred
Marketing Developers and is a leader in handling large Facebook campaigns.
Currently managing more than one billion impressions per day utilizing
proprietary technologies, AdParlor creates customized Facebook campaigns
for its partners, including dynamic ad creation and real time bid optimization.
AdParlor provides both full and self-service platforms, providing Facebook
advertising on a large scale for hundreds of clients including Groupon,
L’Oreal, American Express, Coca Cola, LG, OMD, Mindshare and Starcom.
About the author
Brian Honigman is a marketing consultant, speaker and Adknowledge blog contributor.
He has written for Forbes, The Huffngton Post, Mashable, Entrepreneur and others.
Follow him @BrianHonigman.
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