Facebook recently announced the global launch (top advertisers have been able to do this for a while) of a new conversion measurement and optimization system for direct response marketers. This new system allows you to measure actions users take related to your ads, such as registrations and shopping cart checkouts.
Small business marketers can now also use optimized CPM (OCPM) to deliver ads to people who are most likely to convert on their websites. Beta tests have shown that when conversion measurement is used with optimized CPM, ads reduced the cost per conversion by 40 percent when compared to CPC ads using the same budget.
This means you can now measure how well your Facebook Ads and sponsored stories are driving specific actions on your website. This information will not only help you understand how your ads are performing but should also help you improve the performance of future campaigns.
- Click on the conversion tracking tab in power editor in Chrome (www.facebook.com/ads/manage/powereditor/) or on the conversion tracking link on the left hand nav in ads manager (www.facebook.com/ads/manage)
- Create your conversion tracking pixel(s) and implement it on your conversion page(s)
- Once the pixel has been placed on your website, create ads and select “track conversions on my website for this ad”
- Set a budget and choose optimized CPM to deliver the ad to people most likely to convert
When you create ads linking to your site, you will see an option called “Conversion Tracking” in the “Campaign, Pricing and Schedule” section of the ad tool. Clicking “Create Tracking Pixels” will take you to another page where you can create, name, and assign a category to a conversion pixel. Facebook then will generate a piece of code that you will need to put on the page of their site you wish to track.
You can review your conversion reports in the ads manager.
You can find more information about Facebook’s conversion tracking here.