FACEBOOK ADVERTISING
“PROFIT WITH FACEBOOK’S
NEW PROMOTIONAL TOOLS”

By Alex Beckis

Second edition May 2013
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Table of Contents
Facebook advertising
“Profit With Facebook’s New Promotional Tools”
Who Should Read This Book
What Is This Book All About?
Why Should You Read This Book?
Terminology Used in This Book
Perspectives of Facebook and Social Media Marketing
Facebook in Perspective
Social Media in Perspective

The Essence of Social Communication
How to Listen If Nobody Is Saying Anything?
My Takeaway
The EdgeRank Algorithm
What Is Edgerank?
How to Improve Your EdgeRank Score
Pages Feed (November, 2012 Update)
Facebook Advertising
Click-T hrough-Rates vs. Reach and Frequency
The New Facebook Advertising Features
Facebook Ad Creation
The Facebook Ads Manager
Tracking Ad Performance
The Power Editor
Guidelines for Facebook Advertising
Promoted Posts
Who Will See Promoted Posts
What Stories Should I Promote?
How to Promote Page Posts
Sponsored Stories
Types of Sponsored Stories
How to Order a Sponsored Story
The Facebook Ad Exchange (FBX)
Re-Targeting
Targeting Based On Consumer Insight Data
Definitions
References to FBX Ad Technologies
Triggit.com
Optimalsocial.com
Mobile Advertising

Mobile Ad Types
How to Create and Publish Mobile Ads
Mobile Ad Performance
Mobile Application Install Ads
Facebook Offers
Offer Components
Offer Redemption
Who Will See Your Offer?
How to Create an Offer
Custom Audience
How To Create a Custom Audience
How To Use Custom Audience in Ad Campaign
Keeping Your Custom Audience Up T o Date
Lookalike Audience
How To Create a Lookalike Audience
Audience Selection Using Partner Categories
What are Partner Categories?
How to Use Partner Categories
Understanding Facebook Reach
Facebook’s New Definition of Reach
Why You Need to Monitor Reach
How to Monitor Reach in Facebook
The Likes panel
The Reach panel
The “Talking About This” panel
Managing Posts
How to Schedule Posts
How to Pin Posts to the Top of the Timeline Display
How to Configure “Who Sees My Posts”
How to Structure Posts to Maximize Reach

Social Media Best Practices
Objectives and Branding
Integration and Syndication
Harnessing Referral T raffic
Content Creation
Summary
Recent Updates
Notifications from Specific Pages
Suggested Posts
Mobile Application Install Ads
Recommended Reading
Facebook Resources
Books I Have Published
Recommended Social Media Products
Contact
Follow Me
Book Updates
Finally…


Who Should Read This Book
This book targets people who are interested in promoting their brand, product or service on Facebook
and want to become familiar with and use the new promotional and advertising features that Facebook has
introduced.
Big brand companies successfully promote their brand with a Facebook brand page that usually features
a range of applications that encourage user engagement from millions of fans. If you want to see examples
of how this is done, I suggest you visit the brand pages of companies like CocaCola, Starbucks, Red Bull or
Mashable. However, judging by recent research data, small businesses are having a hard time in their pursuit
of social media marketing, whether they use Facebook or some other social media platform.
My target audience, then, is people who need to improve their pursuit of Facebook marketing and

achieve an improved ROI from their efforts. Many authors describe this as the pursuit of rising above the
noise generated by Facebook’s 1 billion users.
Most of the features described in the first edition of this book were introduced in the latter part of 2012.
This is the 2
nd
edition and it includes updates introduced in 2013. The content assumes that the reader already
have a Facebook brand page but need to formulate a social media marketing campaign using Facebook. For
readers who do not have a Facebook brand page, The Resource section at the end of this book lists suitable
material for learning how to set up Facebook Timeline pages and Facebook apps as well as other Facebook
and social media references.
What Is This Book All About?
As the title suggests, this book describes how to use the new tools and features that Facebook has
introduced to encourage business to better connect and reach out to their target audience. To get started,
however, you need to understand the effects and the opportunities provided by the two significant features
that Facebook introduced in 2012 - the EdgeRank algorithm and the paid ad platform. EdgeRank, in
particular, created a lot of controversy amongst Facebook users. To see this issue in perspective, I
recommend you scroll forward to the next chapter and look at the statistics presented under the heading
Facebook in Perspective,
Facebook introduced EdgeRank in order to show users the most relevant and interesting posts in their
News Feed. The end result is that only 15% or less of status updates posted by fans and friends are shown
and herein lies the problem. While students want to see all the posts their school friends post, I very much
doubt that CocaCola would want to scroll through all the status updates posted by its 54 million fans. It
would expose them to an endless list of unfathomable clutter.
So, starting in November, 2012, Facebook caters for both camps. By default, the News Feed shows the
filtered list but a new menu addition allows you to see all posts.
As a marketer, you now face a slight dilemma. While your fans may select to see all status updates
posted by pages they have liked, will they? Again, I encourage you to look at the usage statistics shown in
the next chapter and then decide the likelihood of your campaign posts reaching their target audience.
The scenario outlined above is the central theme of this book, the problem of information overload and
clutter to which your audience may be exposed and the new tools and features you can now use to penetrate

the noise in order to reach your audience.
In sequence, the new tools and features described in this book include:
The Facebook EdgeRank Algorithm. This is not a marketing tool but you absolutely must understand
how this ranking formula works in preventing your posts from reaching your target audience unless you
structure your Facebook activities correctly and post content that encourages your fans to interact. All is
explained.
The New Advertising Tools. The new Ads Manager was introduced mid-2012 and updated in 2013. It
comes complete with Promoted Posts, Sponsored Stories, Offers, vastly improved ad targeting and, in its
latest version, comprehensive ad performance and goal tracking. The new Ads Manager is explained in detail.
It provides integrated ad creation with the following new features:
Promoted Posts, introduced in June 2012, is explained in detail in a separate chapter.
Sponsored Stories was introduced in 2011 and you will discover what it is and how to use it.
Promoted Posts and Sponsored Stories both enable you to offset the negative effects of the EdgeRank
algorithm.
The New Facebook Ad Exchange (FBX). Facebook launched FBX as late as September, 2012. In
association with participating ad exchanges, FBX opens Facebook ad space to the very latest technologies
available in real-time, direct-response and event-triggered marketing, including re-targeting and real-time
price bidding.
Mobile Ads. This feature, available since early 2012 in combination with desktop display ads, was
changed in June, 2012 and advertisers can now create four different types of mobile ads which are only
displayed on mobile devices. As will be shown, mobile ad performance is significantly superior to desktop
ads.
Facebook Offers. Again, this is a relatively new Facebook feature which enables you to advertise special
deals and discount offers which can be redeemed in-store with special barcodes, or on-site with redemption
codes.
Custom and Lookalike Audiences. You can create a custom audience based on a list of email
addresses, Facebook User Ids or telephone numbers that you possess. Once in place, you can then create a
lookalike audience of people who share the similar attributes to your custom audience.
Partner Categories. This is a new addition to Facebook’s ad targeting but is only available to U.S.
users. A separate chapter explains this ad targeting feature.

Facebook Reach. Facebook modified this metric in July, 2012 to more accurately show how many
people see your posts, promoted posts, sponsored stories and ads. Find out how to analyze your reach using
Facebook Insights. This is essential for measuring the success of both organic reach and advertising
campaigns.
Managing Posts. This chapter describes how to schedule posts, pin posts, manage who sees your posts
and how to structure posts for maximum reach.
Social Media Best Practices. This chapter is a summation of the strategies and methods industry
experts consider best practices for formulating successful social media campaigns. In themselves, their
success depends on your social media foundation strategy, integration with other social media platforms and
the creation and distribution of meaningful and engaging content.
Recent Updates. Facebook modifications and additions happen frequently and the six month leading up
to April, 2013 have seen a lot of changes. This chapter outlines recently introduced features that are related,
but not directly relevant to advertising, and features that are in beta or experimental stage of development as
of April, 2013.
Why Should You Read This Book?
The core concept with social media centers on communication, interaction and user engagement.
Facebook is now a massive networking platform of 1 billion users and climbing. It offers great
opportunities for social engagement and a base from which you can promote a brand, a business, a product
or a service.
However, if you want to gain maximum benefit, you have to do more than creating a page, linking this
page to your blog or website and acquiring an army of fans. Key elements for a successful Facebook
marketing campaign must include creativity in the way you design your page and interact with your fans.
Your success largely depends on the quality of engagement that your create with your fans. Engagement
needs to be casual and informal as this is the style that best fits with Facebook.
The new tools and features described in this book are all designed to aid your efforts in reaching your
audience and motivate them to like, share and comment on your content. This must be your ultimate goal as
engagement in various forms (all weighed and assigned a different score in EdgeRank) will ultimately enable
you to place your brand and your products in front of a targeted audience.
Terminology Used in This Book
The Facebook platform is evolving rapidly with new features introduced or modified on a weekly basis.

It should also be obvious to people who follow development that the terminology used when referring to
various program and features follow suit.
Regrettably, a great deal of online information refers to Facebook features using different terminology.
For this reason, I will use the terminology that most commonly appears in Facebook documentation.
Brand page. These are the pages that are frequently referred to as business pages, fan pages or custom
pages. You now access these pages via a Custom Tab displayed below the cover photo on your
mandatory, personal Timeline page.
Composer. This is the dialog box for entering status updates. It is also known as the page updater,
update field and sharing tool.
Username. Previously referred to as a “Vanity URL”. It is the access URL to your Facebook Timeline
page.


Perspectives of Facebook and Social Media Marketing
If you look at the statistics shown below, you will better appreciate the challenge you face in reaching
your chosen target audience on Facebook.
The vast majority of Facebook users are individuals who use Facebook to share personal information
with their friends. Millions of users produce an enormous amount of clutter and your chances of penetrating
the noise in order to reach your target audience have diminished dramatically.
You may currently promote your products or services on your own brand page but you need to realize
that the status updates you publish will be shown in the News Feed of your fans. This means on their
personal account in amongst all the clutter published by other fans and their friends.
With the introduction of the EdgeRank algorithm, Facebook has taken action to reduce the amount of
clutter by filtering and prioritizing the status updates that get posted onto a user’s News Feed.
While the main purpose of this book is to describe new features that you can use to better reach your
target audience, it is necessary to first explain EdgeRank which, by its very nature, does the very opposite by
filtering out status updates that do not engage other users. However, I will describe the actions you need to
take to overcome and reduce the effects of EdgeRank.
Facebook in Perspective
In the final quarter of 2012, Facebook has acquired 1 billion users.

A Jan 2012 report claims that users post an average of 17.5 million status updates per hour. This equals
420 million updates per day.
Facebook users enter and average of 2.7 billion “likes” per day.
Facebook publishes some 37 million pages.
250 million photos are uploaded to Facebook every day.
54% of users, currently a user base of 543 million users, access Facebook via mobile devices.
What scenario do these statistics paint about Facebook? I think I could offer an opinion using one single
word. This level of activity produces clutter. Facebook users post billions of updates every single day. The
vast majority of these status updates are personal and very trivial in nature.
Here’s what you need to consider:
After the introduction of EdgeRank, Facebook claims that only 15% of status updates a brand page
publishes are shown on the News Feed of fans. Other sources claim the figure is lower.
Research by Napkin Labs reveal that only 6% of your fans will interact with your content.
Social Media in Perspective
The Vertical Response email marketing company recently surveyd 500 small businesses and received the
following responses:
90% of small businesses are on Facebook.
70% are on Twitter.
More than half have a blog.
1/3 of business owners wished they could spend less on social media.
But, but, but… here comes the real cruncher.
A Forrester research report concluded that social tactics are not meaningful sales drivers because less
than 1% were driven by social media, I will show research results that show how people respond to
online advertising in a following chapter. The news is not a great deal more encouraging.
Herein lies the naked truth why most small business fails with social media. More to the point, it presents
a substantial challenge for us who engage in Facebook marketing. Keep reading please.
The Essence of Social Communication
Every good book start with a story so let me share mine as it very much relates to social media
interaction and I will draw its parallels with social media marketing.
I had (past tense) a friend who was passionate about what he called “the new social order”. This passion

largely rested on his perception of world-wide conspiracy theories concocted by an elite segment of bankers,
financiers and backroom power brokers spread around various parts of the world but loosely interconnected
by breed, associations and secret societies.
He traced these conspiracies back to the ancient histories of Egypt and Mesopotamia and vaxed lyrical about
its manifestation in town design, architecture, symbolic icons placed on public buildings as well as covert
expressions in public and private media channels.
Here comes my point. While, in theory, his theories could and should have produced engaging and interesting
conversations with a focus on exploring its origins and future implications, he was completely incapable of
engaging me. He simply felt obliged to “shove his theories down my throat”. Unable or unwilling to passively
accept theories that span the entire history of mankind my one and only reaction was resentment and
unwillingness to continue listening, because, there was no exchange and no conversational interaction.
Sensing my resentment but being unable to understand its cause - an overwhelming feeling of being preached
to and lectured - he ended up accusing me of suffering an inferior intellect, a compliment that abruptly ended
our friendship.
So, what’s the moral of this story, other than to recognize that we were born with one mouth and two
ears and should use them in that proportion? The fact is that social media comes with a more complex
problem that is not so obvious when you produce content for publication. It is a bit of a paradox best
expressed with the following question.
How to Listen If Nobody Is Saying Anything?
I’ll let another person answer this paradox as he does it so much better than I could.
Here it is, courtesy Nick Westergaard, in his article titled “Brand Driven Social Updated”
Social media is different from every other form of media in one unique way. If done properly, it focuses
more on listening than talking.
When you consider virtually every other marketing channel such as TV, radio, online ads, even email, all
of them focus more on the brand’s uni-directional message rather than the thoughts and needs of the
community.
And yet many marketers jump in cavalierly, treating social media like a 30-second TV spot. “What thing
are we trying to sell this week? Let’s talk about that a ton on social media!”
Great story but how does a brand start listening more on social media? Better yet, how do you listen if no
one is saying anything?

Valid questions. How does a brand start listening more? If your community of fans and followers isn’t
directly engaging with you already and telling you things you could listen to, consider asking a few questions
first to draw them out.
It could be as simple as, “How was your Monday?” or as complex and probing as, “Be honest. What
could we do better to meet your needs?”
Another media built around the other person — but also includes an audience — is a talk show. How is a
talk show formatted?
Are you listening to your community or talking at an audience?
My Takeaway
As a good start, I suggest you become familiar with what is called the “Facebook Engagement
Formula”:
[Comments + Shares + Likes] divided by Page Likes = Engagement
The EdgeRank Algorithm
A major development on the Facebook platform is the introduction of EdgeRank, a ranking formula that
determines which posts are displayed on the News Feed of fans and friends. This algorithm filters and
prioritizes the posts your fans will see and the order in which they are shown on their News Feed.
This chapter describes Edgerank and how it affects your Facebook activities? To understand Edgerank,
you need to look at the Facebook statistics shown in the previous chapter. Facebook had to introduce a
ranking algorithm to reduce the amount of clutter displayed on people’s News Feed. We also need to clarify
the meaning of the term edge as the ranking formulae itself is based on this rather esoteric term.
To overcome the effects of Edgerank, you need to understand how to create and manage the updates
you post on Facebook, how to time these updates and how to engage with fans and friends using Facebook
features like Likes, Share and Comments. Unless you fully embrace the concept of engagement, your status
updates will simply not show up on the News Feed of your fans.
What Is Edgerank?
Edgerank is a Facebook algorithm that controls which status updates are displayed in each user’s News
Feed. Edgerank not only filters what posts are displayed, it also sorts and prioritizes the order in which they
are shown.
To start, let’s clarify the term edge. Looking at the image shown below may put YOU on edge, but do
not fear. We shall clarify its meaning in an easy-to-understand manner.

As it applies to Facebook, every interaction a user performs that produces a piece of content is known as
an edge.
For example, the following user actions are in themselves known as edges:
1. Posting a status update.
2. Uploading a photo or video.
3. Clicking, liking, tagging, sharing, commenting and befriending people.
4. Listening to a song.
5. Changing the classification of a fan or friend.
Every one of these actions generates an edge which, depending on its EdgeRank score, may be displayed
in a user’s News Feed. Looking at the actions shown in the above list, you can already see that Edgerank
monitors your engagement and this, to a large extent, determines if your status updates will be shown on the
News Feed of your fans and friends.
Now, let’s examine a more scientific definition of EdgeRank. The algorithm is defined by the formula
shown in the following image:
Edgerank is measured by the aggregation of three separate factors which, on account of the terminology
used, may seem a little difficult to grasp.
Affinity (u). This entity essentially tracks your interaction with fans. Each action produces a different
weight that measures the effort involved which, by itself, demonstrates the level of interest a user has in the
content posted. Posting and commenting produces a higher score than clicking or liking. Using Facebook
parlance, the affinity score is also based on how connected a user is with an action. The more you interact
with a particular person, the more connected you become.
Edge Weight (w). Each edge category has a different weight (score) which determines what type of
content Facebook considers valuable for posting onto the News Feed of fans and friends. Highest on their
ranking is videos, photos and links. The more comments, likes or shares a post update accumulates, the
higher its edge weight.
Recency (d). This factor relates to the “time decay” of status updates. As a post ages, it loses points. It
is assumed that Facebook adjusts the recency score based on the time elapsed since the user last logged into
Facebook and also how frequently the user is active on Facebook.
Like the Google algorithm that determines page rank, the precise equations contained in the Edgerank
algorithm are not publicly known and you can assume that the algorithm will change and evolve over time.

However, the above explanations should give you a reasonable insight into the factors that determine whether
particular posts will show up in your News Feed as well as those of your fans.
Finally, do not assume that you can check, measure or calculate EdgeRank because there is no general
score. You can, however, measure the effects of EdgeRank by using the Facebook analytics tools to see
how much engagement from other users your posts accumulate. A separate chapter later in this book
describes the Insights analytics feature.
How to Improve Your EdgeRank Score
If you market your brand, product or service on Facebook, you need to consider how you can best
improve your EdgeRank score. The reason is simple. Unless you pay attention to EdgeRank, the majority of
your fans and friends may never see your status updates.
According to the latest available research, only 6% of your fans will interact with your content (Napkin
Labs)
Facebook recently claimed that only 15% on your fans will see your status updates on their newsfeed.
Acquiring Likes has, in itself, become a fairly meaningless activity although your need to reach 400 likes
in order to see certain data in Insights. “The more the better” approach is not the target you want to chase.
Fostering engagement with your fans should be your principal goal as this is the only way to improve your
EdgeRank score.
Here’s the mindset you need to adopt when you post updates, photos or videos in Facebook:
Don’t try to trick the EdgeRank formula to rank your content higher. Instead, create content that
motivates your fans and friends to like, comment and share the content.
Aim to create a community of followers.
As is the case with the Calls-To-Action items you embed in sales letters and/or squeeze pages, you must
TELL people what to do or they won’t do it. Clearly state what you want your fans to do. “Leave a
comment below”, “Click Like if you agree”, “Click the Share button now”. Every action your fans take
will improve the Affinity score of the EdgeRank algorithm and this will increase the number fans that
see your post in their News Feed.
You will find a summary of the actions you need to take in order to offset the effects of the EdgeRank
algorithm in the final chapter, titled Social Media Best Practices.
Pages Feed (November, 2012 Update)
Facebook has responded to mounting criticism from users who want to see all status updates posted by

pages the have liked.
Commencing mid-November, 2012, a new menu item labelled Pages Feed was added to the left-hand
column of the News Feed page.
When you click this link, a new stream is displayed that shows recent updates from pages you have
liked.
Facebook Advertising
In this brief chapter, let’s look at some new research that focuses on the core issues of creating an
advertising campaign. I will then outline the many new advertising features that Facebook now provides.
Click-Through-Rates vs. Reach and Frequency
People traditionally view ad performance by the click-through-rate (CTR) achieved. Later research, now
strongly supported by Facebook, claims that campaigns that focus on reach and frequency perform far
better. Here are some details of current research on this issue.
1. Research by the Nielsen organization shows a 0.07% correlation between high click-through rates and
actual sales.
2. A study by Datalogix found that no less than 99% of sales generated from ad campaigns came from
people who saw an ad, but didn’t interact with the ad (did not click through to the landing page).
3. The same study claims that campaigns that focuses on reach generated an average 70% higher ROI
compared to campaigns that did not an, campaigns that maximized frequency had a 40% higher ROI.
In case you are not familiar with the ad terms used in this section, they are defined as follows:
Reach. The number of different people who are exposed to an advertisement at least once.
Frequency. The number of times one person is exposed to an advertisement.
Click-through-Rate (CTR). The number of clicks an ad attracts divided by the number of times the ad
is shown.
You may be interested in a fourth definition which is particularly relevant with the technology Facebook
now provides through is new Ad Exchange program.
Relevancy. How relevant your ad is to an individual at the time and in the context that he or she sees it.
The New Facebook Advertising Features
Most people are familiar with the Facebook advertisements that appear on the right-hand side of their
Facebook page. These are the standard Display Ads that Facebook have provided to their users for a long
time.

Facebook has recently introduced some significant improvements to their advertising platform. Facebook
became a publicly listed company in 2012 and, as users, we cannot question their quest for monetizing the
platform in order to boost revenue. However, as a marketer you will appreciate the innovations provided as
they enable you to reach a wider and more targeted audience.
In this chapter, I will introduce you to the new advertising features, most of which introduced in the
latter part of 2012. Each new feature will then be described in detail in the following chapters of this book.
Promoted Posts. You pay an advertising fee to ensure that your posts will be seen by a larger
proportion of people who have liked your page and by a larger percentage of the friends of people who
have interacted with your posts. This feature does not affect who can see your posts; it only bumps the
post higher in the News Feed of your fans.
Sponsored Stories. You pay an advertising fee in order to sponsor actions that your fans take when
they interact with your page, or you sponsor a status update that you yourself have posted. There are
seven different actions that you can sponsor.
Mobile Ads. Facebook introduced mobile-only advertising in June, 2012. As there is no side column on
mobile devices, mobile ads will appear in the News Feed of users.
Custom Audience. This feature is only available with the Power Editor tool, described in detail in the
next chapter of this book. A custom audience is a list of people you can target, using their email
address, Facebook User Id, or telephone number.
Lookalike Audience. It is an audience that shares similar characteristics to an existing Custom
Audience. You can create such an audience using the Power Editor once you have a custom audience in
place.
The Facebook Ad Exchange (FBX). This is the latest and most significant addition to the Facebook
advertising services.
The Facebook Ad Exchange was released in September, 2012. In essence, Facebook sells ad inventory
to a range of participating ad exchanges. This means that you, as an advertiser, do not engage this service
via Facebook. Instead, you need to open account with one of the participating ad exchanges.
While the Facebook advertising services provide a wide range of features for targeting ads to a specific
audience, the participating FBX ad exchanges offer the latest available technologies for demand-driven
targeting. These technologies come with terminology that is likely to be totally foreign to people who do not
work directly in the marketing or advertising industries. To target your advertisements to very specific

people, the offer features like these:
Multi-touch attribution.
View-through conversions.
Global frequency capping.
Day-parting.
All these technologies are designed to serve the right ad to the right people at the right time.
Readers who are unfamiliar with these terms can find definitions at the end of the chapter titled
“Facebook Ad Exchange”.
Facebook Ad Creation
There are two separate ad creation tools available to users.
The Facebook Ads Manager
The Power Editor.
The first is the standard Facebook interface for creating ads; the Power Editor is a Chrome browser add-
on for managing ads in bulk. Let’s start by describing the standard interface.
The Facebook Ads Manager
You can download the new Facebook Ads Manager Guide here:
/>The Facebook interface for creating ads has changed significantly over a period of time and will
undoubtedly continue to do so as Facebook develops new features to boost their ad revenue.
In this section, I will show the current range of options and the applicable screens on which you create
your ad, select the type of advertising you prefer, target your audience and set your budget.
You can access the Ads Manager in a few different ways.
1. Click the drop-down menu in the top right-hand corner of your page and select Create an Ad.
2. From your brand page, click Build Audience and select Create an Ad.
3. Enter and then select a destination page, e.g. your brand page.
You will be taken to the initial ad creator screen shown below.
What do you want to advertise?
Your first choice on this screen is to select what you want to advertise. You can select your Facebook
brand page or enter an external website URL. Facebook pre-populates an ad template and displays an image
showing how the ad will appear as a Display Ad in the right-hand side of your Facebook page.
Get More Page Likes. This is the default selection.

If you select your Facebook brand page, the ad template is populated with your brand page username
and the ad text with the text you have entered in the About box shown below the cover photo.
If you enter a website URL, the ad template displays your website logo and information from the home
page.
In addition, Facebook displays a suggestion for Sponsored Stores that would show in peoples News
Feed. You can remove this latter option or you can alter the default by entering specific URL tags to
display specific posts.
You can change these entries to your liking.
Promote Page Posts. This is the Promoted Posts option. Using the drop-down menu displayed, you can
select any post from your brand page Timeline ticker. An ad template shows how the ad will appear. A
second option offers you the choice of adding Sponsored Stories and an example ad shows how they will
appear in the News Feed of people’s page.
Advance Options. This option gives you some more flexibility. First, you can select to promote an
existing page post or create a new ad about your brand page. If you select to promote an existing page post,
you can set an option that will automatically promote the most recent post you have added to your Timeline
brand page.
Choose Your Audience. Facebook enables you to target a very specific audience. Options include:
Location by Country and City.
Age and Gender.
Precise Interests (you can select these from a section titled Suggested Likes and Interests).
Broad Categories and sub-categories (select from menu entries shown). You can target mobile ads from
this menu.
Connections (select anyone or select an audience who interact with you brand page in specific ways).
Friends of Connections (enter page, app or event name).
Interested In as a choice of All, Men or Women.
Relationship Status as one or more of All, Single, In a Relationship, Married, Engaged or Not Specified.
Languages.
Education as a choice of Anyone, In High School, In College or College Grad.
Workplaces as a manual entry.
Campaign, Pricing and Scheduling

1. Campaign Budget. Set price in US$ per day or for lifetime of campaign.
2. Campaign Schedule. Checkbox enables you to commence campaign today or, alternatively, you uncheck
this box and select a Start and End date.
For help about pricing, visit
/>
Tracking Ad Performance
The last major update to the Ads Manager introduced extensive ad tracking that enables you to see what
actions visitors take after seeing your ads.
You can measure ad performance against your advertising goals and calculate your return on investment.
The following screen, courtesy Facebook Ads Manager Guide, illustrates a campaign summary page
where you can view ad performance against goals, reach, frequency and cost (cost per page like etc).
You can now set your advertising goals and the Ads Manager displays the user actions visitors take as a
measure of ad performance against these goals.
The Ads Manager allows you to choose from the following list of advertising goals:
Get More Page Likes measured as Page Likes.
Promote Page Posts measured as Post Engagement.
Get New Users measured as App Installs.
Increase App Engagement measured as App Engagement.
Increase Attendance measured as Event Responses.
Finally, advertisers who use conversion tracking with their ads can see the conversions reported in the
Ads Manager, including Cost per Conversion for each ad.
The Power Editor
This is an online tool available as an add-on to the Google Chrome browser. This tool is best suited for
people who want to manage multiple ad campaigns or create multiple ads.
Using this took, users can create ads in bulk and save time by easily managing multiple campaigns and
page posts. There are also features for sorting ads by performance statistics.
The Power Editor also allows you to create mobile app install ads that can be displayed in mobile News
Feeds.
An 2013 update enables you to use the Power Editor to create custom and lookalike audiences. More on
this in later chapters.

To access the Power Editor, follow these step-by-step instructions.
1. Open the Chrome browser in Windows or Mac.
2. Go to />3. Click the Power Editor link situated on the left side of the Ads Manager.
4. Select Install Power Editor and open the program.
5. Click Add to Chrome button at the top-right hand corner of the page.
6. Download the ad accounts and pages you want to manage.
Facebook has a comprehensive online User Guide for this tool. You can access this guide by following
this link. Facebook Power Editor User Guide.
Guidelines for Facebook Advertising
Choose the Page you want to promote and under ‘What would you like to do?' you can:
Get More Page Likes: Reach people who aren’t connected to your Page yet. You’ll be asked to design
your ad including headline, body text and image.
Promote Page Posts: Promote a specific post for the purpose of increased reach and improved chance
of placement in a user’s News Feed
Advanced Options: See all creative and bidding options in one place. You can toggle your bidding
options between CPM and CPC.
Reach the right audience
Do you have an idea of the ideal customer you want to target? After choosing your ads and sponsored
stories, you will be able to choose the specific audience for your ad.
The estimated audience size indicates the total number of people your ad has the opportunity of
reaching if your bid price and budget are high enough.
Location, Age and Gender allow you to choose the basic demographics of the audience you want to
reach.
Ads targeting tips
Precise Interests are determined by what people are connected to on Facebook, such as pages and apps.
Broad Categories allow you to select broader groups of people, based on their Activities, Family Status
or Music preferences.
Use Connections to select your audience based on whether or not they are connected to any of your
Pages, apps or events.
Click on advanced targeting options to see more ways you can target your audience.

Campaign, pricing and scheduling
Name your campaign, select your budget and set the schedule for your campaign.
Unless you have chosen Advanced Options in the goals section, you’ll pay for impressions (CPM).
These impressions will be optimized so your ad shows to the people most likely to help you reach your
goal.
You will never pay more than your budget, and you'll never pay more than the actual cost to reach the
people who are more likely to help you achieve your goal.
Promoted Posts
Facebook introduced promoted posts to allow people to pay for posts to be displayed in the News Feed
of fans and friends. The sponsored posts will appear in the News Feed of fans and will be labeled as
“Sponsored”. As you most likely know, the News Feed is where people see content posted by fans and
pages to which they are connected.
This may well be the most practical solution you have for placing your posts and offers in front of your
target audience. As we noted in the introductory chapter, Facebook has disclosed that content placed on a
brand page only reaches 15% of fans. Other sources claim the penetration rate is less and possibly as low as
6%.
Consider these facts:
Unless you interact with your fans, the Facebook EdgeRank algorithm (described in a previous chapter)
prevents your posts from appearing in the News Feed of your fans.
Given the enormous rate at which status updates are posted to Facebook and, regardless of the posts
appearing or not, people are likely to be overwhelmed by the sheer volume of posts appearing in their
News Feed. This is particularly so if they do not log in to their account very frequently.
Unless you post content of interest to your fans, they will simply ignore your posts and continue to
scroll down to the next post.
Who Will See Promoted Posts
Promoting a post does not affect who can see it; it only bumps the post higher in the News Feed of your
fans.
Facebook states that your posts will be seen by a larger proportion of people who have liked your page
and by a larger percentage of the friends of people who have interacted with your posts.
You can target promoted posts by language and location. To do so, click the Public button located next

to the Promote button and select your target settings.
What Stories Should I Promote?
To reach the widest possible audience, you should post stories that you think your audience (fans) will
like, share or comment on.
You should explore the Insights section of your page to find out what type of content your fans prefer.
To access Insights, you need to display the Admin Panel to see a graph as shown below. To expand
Insights, click the See All link in the top right corner and you will see detailed charts of Likes, Reach and
People “Talking About This”.
Facebook provides advice on best practices for promoted posts and claim the following types of content
provide the best results:
Photos and videos. People are innately visual by nature and respond best to bright and attention-grabbing
images. Show interesting pictures of your products or images of how people put your services to best use.
Events and News. Consider posting content that details the launch of an upcoming product, exhibition or
in-store event such as time-limited discounts.
Questions. Post questions that demonstrate that you value their opinion. You could ask them to compare
and rate different product offerings, or vote on the comparative value of different services you provide.
Offers, discounts, coupons. People are always interested in “specials” and are very likely to share
information about such events with their friends (see Facebook Offers in a following chapter for more
details).
How to Promote Page Posts
This feature is only visible on Facebook brand pages with more than 400 Likes. On such pages, a
Promote button will appear in two separate places:
At the bottom of the post created.
On the Composer interface.
The images shown below illustrate the placement.
Once you click the Promote button, you will be presented with a dialog box where you can set your
budget for promoting the post. The image shown below illustrates this dialog box. The amount you select is
the lifetime cost for an estimated reach, not a daily budget.
You can promote any type of status update you have posted onto your page using the Composer at a date
later than June 21, 2012. You can promote photos, offers, videos, questions and status updates. An example

of a sponsored post, displayed in the News Feed of a fan, is shown below. You will notice that fans can
Unlike, Comment and Share the post.
The cost of a promoted post will be billed to the primary funding source you have designated in the
Facebook Ads Manager. You may change this source for individual posts as follows:
1. Click the Promote button in the Composer or at the bottom of a sponsored post.
2. Click the gear drop-down icon.
3. Click Change Payment Method.
You can also change your funding source in the Ads Manager.
You can use the above step-by-step instructions to Stop Promotion. This will Pause your promotion
and you can Resume Promotion later using the same interface.
You can monitor the performance of your Promoted Post by checking the performance figures displayed
at the bottom of your post entry displayed on your Timeline. These figures show how many people have
liked the post and its reach expressed in numbers and as a percentage of you fan audience.
Sponsored Stories
Like promoted posts, Sponsored stories is a Facebook ad campaign method that you can use to reach a
wider audience. We have already discussed the EdgeRank algorithm and how it diminishes the likelihood of
your posts appearing in the News Feed of your fans. You can counteract this by publicizing the actions
(EdgeRank edges) that your fans initiate with your page, apps or domain onto the News Feed of their fans
and friends. This way, you leverage their engagement with your brand to a wider audience.
However, you may well want to consider whether you are comfortable using the actions of your fans to
advertise your own brand, product or service and the extent to which social engagement on Facebook
becomes commercialized.
To understand how this advertising method works, let’s look at an example. Somebody engages with
your brand page, one of its installed apps or your domain. This action, depending on its EdgeRank score,
may appear in the News Feed of their fans who, in turn and depending on the amount of clutter listed in their
News Feed, might notice a post which might read something like “A liked a video posted by B”.
This happen if you have paid a fee to sponsor the announcement of a fan engaging with your brand so
that it appears in the News Feed of their fans as well.
There are no fewer than seven different actions that you can sponsor and I will set out in detail exactly
what happens with each type of sponsored story. Before I do, I should mention that sponsored stories

comply with your Facebook privacy settings.
Types of Sponsored Stories
Page Like Story. Somebody likes you page in Facebook or from a Like button placed on your website.
Use Page Like Story to promote this action to his or her fans and friends.
Page Post Story. You publish a status update on your page. Use Page Post Story to make sure more of
your fans see your most recent page post.
Page Post Like Story. One of your fans liked a page post which you posted no more than 7 days ago.
Use Page Post Like Story to promote this action to his or her friends.
App Used and Game Played Story. Someone uses your app or played your game at least twice or for
duration of at least 10 minutes in the last month. Use App Used and Gamed Played Story to promote this
action to his or her friends.
App Share Story. Someone shared a story from you app in the last seven days. Use App Share Story to
make sure his or her friends know about this action.
Check-In Story. Someone checked in and/or claimed a deal at one of your claimed Places in the last
seven days using Facebook Places. Make sure his or her friends know about this action.
Domain Story. Someone liked a piece of content on your website using a Like button, shared a piece of
content from your website using a Share button, or posted a link to your website in his status update in the
last seven days. Use Domain Story to make sure his or her friends know about this action.
How to Order a Sponsored Story
1. Go to />2. Select destination as one of Page, Place, App or Domain.
3. Select Story Type to promote.
4. Select target criteria.
5. Set up campaign budge, pricing and scheduling.
NOTE
Domain selection requires will require you to enter a Claim a Domain action. This involves placing tags in
your page header.