A lot of users get confused when setting a budget for their Ads. To save F&B owners from budgeting worries, we came up with a Guide on all you need to know about setting a budget for your Ads.
Starting out, you need to select the type of budget that you want to set for your Ads. Facebook Ads allows for two types of budgets:
#1 Daily Budget
This is the maximum amount of money that you are willing to spend on keeping your Ads running every day. Daily minimum budget is at least USD 1.00, or two times your Cost Per Click (CPC). CPC is calculated by the amount spent on the Ads, divided by all the clicks garnered by the Ads.
#2 Lifetime Budget
This is the maximum amount of money that you are willing to spend on keeping your Ads running throughout the course of your Ad set. Once a certain value is set, Facebook will evenly spread the monetary value across the period of time selected.
The higher your budget is, the more Facebook users will be reached via the Ads. For instance, a $10 Ad will reach 2,100-5,600 people, while a $100 Ad will reach 21,000 to 56,000 people.
Determine when the Ads should start running. Either start it as soon as it has been reviewed and approved by Facebook, or set a specific start and end date for it.
To set more advance settings, click Show Advanced Options button.
#4 Optimise For...
(a) Link Clicks to Website / Pay Per Impressions
If your Ads are optimised for this function, it will require you to pay every time the Ad appears on users’ page, regardless of whether the link in the Ad is clicked. Only use this optimisation if you are confident that your Ads will generate a high click-through rate. With a high click-through rate, selecting Pay Per Impressions will cost you lesser than Pay Per Click.
(b) Link Clicks to Website / Pay Per Click
Optimising your Ads for Pay Per Click will require you to pay every time a link on your Ad is clicked. This form of optimisation will be a good choice If you want to accurately track the number of clicks that your Ad is getting.
(c) Daily Unique Reach
With the daily unique reach function, your Ads will only reach every user once per day. Although Facebook shows your Ads to as many people as possible in a day, it will not show it more than once, unlike Ads that are optimised for linking clicks to website. This form of optimisation focuses on your selected target audience instead of users who click through the link.
This Ad optimisation is catered purely to display your Ads as many times as possible to your target group, without taking into account the clicks to websites.
In this section, you can choose whether to let Facebook help you decide the price per click without any limit to get more clicks, or set a maximum price that you are willing to pay for every link clicked.
#6 Ad Scheduling
Decide if you prefer to run the Ads all the time or on schedule. For better results, run your Ads on schedule an hour before breakfast, lunch or dinner time because it is the time when customers get bored at work and start browsing for places to order their meals from. In addition, scheduled Ads allow you to set a different timing for weekends – hence targeting those potential customers who wake up late on weekends.
#7 Delivery Type
Decide how your Facebook Ads are going to be delivered to the potential customers. Choose Standard if you want it to be distributed across a day, or Accelerated if you want it to be delivered all at once to your potential customers.
#8 Ad Set Name
Set the name of your Ads so that you can identify this Ad easier in the future.
Want to find out more about setting up Facebook Ads? See the Ultimate Guide to Facebook Ads for F&B Businesses