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Take a look at at our below Facebook ad glossary of what we believe to be the most important and frequently used Facebook ad terms.
Facebook Pixel tracks the number added to the shopping cart, which can be attributed to your ads;
A metric that measures the average dollar value of each order or sale on the website. It is calculated by dividing the total revenue by the total number of orders. In order to determine your pricing and advertising strategy, AOV is one of the important indicators you need to pay attention to;
BOFU is the final stage of the sales process. At this stage, customers are already interested in buying your product, but they may still need to make certain considerations before making a final decision;
CBO allows Facebook to automatically optimize the allocation of campaign budgets among ad groups. Its purpose is to help you get better marketing results with your existing budget;
CTR is an advertising metric of Facebook. It is the ratio of the click-through rate of a single ad (how often someone clicks on your ad) to the exposure (the number of times your ad is viewed on the platform). It is calculated by dividing the total number of hits by the total number of exposures. It can help you decide how to introduce traffic to your website through effective advertising;
Ad clicks that convert into sales. It is calculated by dividing the total number of hits by the total sales;
The process of optimizing advertising to increase conversion rates;
The average click cost of Facebook ads, and the fees you need to pay to the platform every time a consumer clicks on your ad. It is also one of the commonly used indicators to determine the efficiency of advertising campaigns;
The average cost of users participating in advertising. It is calculated by dividing the total advertising expenditure by the total advertising participation;
The average cost of showing an ad to a thousand people. CPM is used to determine the cost-effectiveness of advertising campaigns;
That is, the average cost of an operation performed by visitors on your advertisement, including transactions, registrations, or advertisement clicks. It is calculated by dividing your advertising expenditure by the total number of operations performed;
The average cost of a purchase driven by your advertising. It is calculated by dividing the total advertising expenditure by the total purchase quantity;
A sales technique used to encourage customers to buy products related to the products they have added to the shopping cart. Facebook allows you to use dynamic ads to establish cross-selling campaigns;
You can use customer data such as email addresses or phone numbers to create a type of audience for your Facebook ad campaigns. To create a custom audience, you need to upload the customer list to Facebook;
Customer lifetime value refers to the total amount that customers spend in your business. It is calculated by multiplying the number of customer purchases by the profit generated by each purchase. By tracking and comparing the data, it can help you determine how much it costs to acquire a customer is essential;
A sales technique in which when customers want to give up buying products that they are initially interested in, offering them cheaper products may prompt their purchase. The goal of price reduction sales is to ensure that customers are acquired, even if it means gaining in certain sales Less profit;
1. Low display cost CPM
2. Suitable for brand promotion
1. Low CTR
2. High CPC click cost
3. Smaller pictures and text displayed
Facebook desktop ads, one of the most used forms of advertising by Facebook, can use larger pictures, more text (compared to mobile ads), display in the most important position, and have a high participation rate.
1. High click rate (2-8%)
2. Low CPC
3. Large pictures and multiple texts
4. Can be shared
1. CPM is expensive
2. If used improperly, the cost will be high
3. Mobile News Feed Ads mobile newsfeed ads
1. High click rate CTR
2. Thousand impressions cost is much lower than computer end
The number of texts is limited, and there is no computer terminal to provide more information to customers.
Third-party websites that cooperate with Facebook generally have more built-in advertising spaces in the app, and the effect is not very good.
A type of Facebook ad that promotes products to people who have visited your website or application. You need to upload the product catalog to Facebook to use dynamic ads;
The number of payment actions tracked by Facebook Pixel can be attributed to your ads;
The landing page refers to the page that the user receives after clicking on the advertisement;
The number of times your landing page has been viewed through ad clicks;
By using an existing custom audience, you can create a type of audience for Facebook advertising campaigns. Similar audiences are made up of people who are similar to your audience;
The middle stage of the sales process. At this stage, customers will use the product or service you presented as a solution to their problem;
A form of up-selling, customers can add other products to the shopping cart with just one click;
A form of up-selling, customers can add additional items to their shopping cart, but only for a limited time;
A type of advertising on Facebook, interactive content including likes, analysis and comments, the purpose of which is to find products with higher interaction;
The practice of promoting products or content to users who have interacted with content in some way. In order to be able to run retargeting campaigns on Facebook, you need to place Facebook Pixel on your website;
The total return on funds, time and resources invested in Facebook advertising;
One of the important advertising indicators is used to measure the effectiveness of advertising campaigns. It is calculated by dividing the total revenue generated by the advertising campaign by the amount spent in the advertising campaign;
The first stage of the sales process, this stage usually refers to the process of obtaining more exposure and accumulating more user data;
A sales technique used to encourage customers to buy products that are more expensive than the products they are considering. Facebook allows you to use dynamic ads to build up-sell campaigns;
Refers to the number of times a Facebook video ad was viewed for three seconds or more;
A type of Facebook advertising campaign optimization designed to optimize ads to receive as much traffic as possible for a specific landing page;
An advertising goal. After selecting the goal, it tells Facebook to try to find people in the audience who are more likely to convert. You need to install Facebook Pixel on your website to use website conversions as a campaign goal.
Acronyms are confusing for entry-level marketers. I remember the overwhelming feeling of not comprehending words in tools I was using. To be honest, I still don't really understand marketers who speak like "what is the CVR to the CPC of the AOV at the BOFU" . But be sure to bookmark this Facebook ad glossary and study the Facebook ad terms frequently - after-all this contributes to our overall marketing knowledge.
It's why there isn't a single piece of jargon within the Stiddle dashboard.
Checkout Stiddle's Blog Article: Ultimate How-To Guide on Facebook Ads
A signup link will be provided to you on the demo call.
Learn how Stiddle can scale your business with a live demo!
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