How Facebook Ads Work STEP BY STEP DEMO (w/ REAL EXAMPLES from a 7figure marketer)

If you're looking into advertising your business, Facebook ads can do that for you. It can help you get more sales, leads and more awareness. If you stay tuned, you're going to learn what makes Facebook ads work so well and how to use it.

Courtesy: John Crestani Super Affiliate System

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Here's the video transcription for non-English native speaker with no good listening skill:

So, you want to know how Facebook Ads work. Well, you're in luck. Because I'm going to walk you through what Facebook Ads are, how they work. I'm going to show you a little bit the set up on my computer right here. And I'll even show you some of my most successful Facebook ads that I've put and explain to you why they worked so well. Hoorah!

Facebook ads are a miracle in advertising. Basically for any business they can create more leads, more sales, more awareness, whatever you're going after. My guess is you want more money in your business or whatever you're doing.

So, let me show you how they work. So first off, I'm on my FaceBook right here.

And you can see sponsored ads. You see these ads on the right side. These are called right-hand side ads.

And if you also scroll down, you see ad right here. This is called a newsfeed ad. And this is a video right here. So, see some copy, the headline, website, etc.

And that's what we're going to be discussing today. So, let's go in to the ads manager. Now, I'm going to be showing you a little bit about how to set these ads up. I'll also show you some of my best performing ads, so you kind of get an understanding of like what a good Ad looks like. So, here I'm in Facebook.

And as you see, you want to go to business.facebook.com. Or if you just search Facebook ads in Google, you'll find out where to go to Facebook ads. You can also just search.

It says create an ad right here. So, you can really create an ad anywhere in Facebook. They make it really easy for you to create your own ads.

So let's set it up. So you see a couple different types of ad setups you can do here. Facebook has a ton of different ad units. And not going to explain them all but I'll kind of give you the basics. So message ads is sort of a newer feature from Facebook. Now, if you're using Facebook Messenger, you know the chat feature they have here.

You can actually have ads show up directly in your messenger app which shows up on your mobile phone or also on your desktop computer. So that's a great way to reach people because almost everybody clear on ads in messenger, especially since they're so new. There's not any banner blindness. The caveat is you can only really send Facebook messages, you know, message ads to people who have liked your page or who have subscribed to get messages from you. So, it really limits the reach and if you don't have a big messenger list, it's going to be hard. Or just a lot of people who like your page.

In my case, I have hundreds of thousands of people who follow my page and I have thousands of people on my messenger. So, I can utilize that but it's still just not a huge traffic source. Lead generation ads can really help you out. This is what's called a lead form. So when you click on a lead form ad, what will happen is you don't see him that often.

But if you click on the ad, it'll pop up a little screen generally on desktop or mobile where you can enter in your name, phone number or email. And that allows you if you're running a business, you don't need somebody to buy something over the Internet.

You're looking just to get somebody's information to follow up with them or whatever. You can get their information really easily through Facebook. And generally speaking, you can get leads for 5 to 10 dollars if your targeting is set up right. So really cheap way to get more leads in your business.

Video views is another way to advertise. If you have an important video. Maybe you have a movie company or you're a band or maybe you just have a story that you want to get out to your existing audience. This would be a great way to let more people know about, you know, have them watch your video and kind of build that story that you're trying to create. You can also get app installs. I haven't messed around with this too much. But that's obvious. Engagement.

It really focuses on people who are going to like your ads or comment on ads. So, Facebook is able to tell which people liked things the most, which people share things the most and which people comment the most.

And if you're just looking to maybe build up awareness or get interaction going on a piece of advertising, this would be a good way to advertise. You know, I know a lot of direct response marketers who will put up an engagement ad and they'll spend like maybe $25 or $50. And they'll get just a lot of people commenting and liking and sharing their ad. And then what they'll do is move towards the main ad unit which is called traffic. And this is if you want people coming to your website. So, the reason why people might run engagement ads first and then run traffic ads is because for a few reasons.

One, Facebook is a lot more lenient on engagement ads because you're not sending people outside of Facebook. Facebook, their goal is to keep people inside Facebook as much as possible, okay?

You can advertise a lot more aggressively and you can advertise a lot cheaper if you're just keeping people within the Facebook ecosystem, okay? If you're thinking of what Facebook wants, the biggest goal is to keep people on Facebook as much as possible during their life. I mean Facebook's bigger goal arguably is actually to have people live inside of Facebook in virtual reality and have all communication done within Facebook. That's my conspiracy theory, right? I don't think it's much of a conspiracy theory. But point being, it's easy to run engagements than you run traffic ads. Even if you spend $5 on the engagement at school.

Let's go into traffic ads. I just scrolled down and we see there's some things create split, test budget optimization. On the campaign level, which is right over here, that is where you generally set your budget, okay?

Or you set your objective as well.

Now, these things don't really matter. I wouldn't worry about these things. The next 2 sections we're going to go over are the ad set and the actual ad itself.

Now, you can set a budget limit right here. And generally speaking I think $100 is a good limit for a campaign. You can set $100. Let it spend $100. You don't have to worry about if it's going to overspend you know, spend all of the money on your credit card up to your limit, right? And then you can increase the budget if your ad is profitable for your business or for whatever you're doing. So I'll just say you know, demo.

Then to move on to the ad set which is over here. We'll just click continue. Now, we're on the ad set. So, the ad set, as you see, we're moving down this list right here. And until we actually create the ad. Now, the ad set what that does is we're actually going to create our targeting. We're going to figure out who our ad should show to.

So, if I'm selling coffee mugs, I'm going to try to target people who drink coffee, obviously. Right? So, I want to find a way to target coffee drinkers on Facebook.

Now, what I would do is I'd pick you know, where I want to advertise. Do I want to advertise, you know, trying to get people to go to my website? And I try to get people to go to my app. Or I'm going to try to get people to add me on messenger? Or communicate with me on whatsapp? In our case and in most people's cases, they're trying to get people off Facebook going to their website. Which is generally where people sell things.

Now, dynamic creative. You don't need to worry too much about this. You don't need to worry too much about offer. Generally speaking, what I focus on is I focus on setting the targeting here. So, you could set the locations where you're selling products. Maybe I say, "Oh, I also sell my coffee mugs in Canada." So, I'd add in Canada. Let's say, generally speaking, people under the age of 35 don't make too many impulse purchases online. So, in this case, I'd probably target you know, I set my minimum age at 35. Let's say, I have my coffee mugs are pink. You know, so I want to target women. You set your languages. I'm not going to go through everything here. But you can set your detailed targeting methods here.

So this is where you would say, I want to target coffee drinkers for my coffee mug. So, I would say coffee. And see what shows up. So, here's where we have all these interests show up, okay? And what we're seeing is we see great. They have a section that says coffee. But notice the problem here is the size of this audience is 500 million people. We want to show our ads to a fairly niche audience. We want to show it to the most avid coffee drinkers ever, right?

We want to show our ads to coffee drinkers who buy coffee mugs who buy stuff online. That would be the best, right? Right! And you can go even more detailed than that.

But for our purposes, we'd like to get more targeted. Right now, we that were advertising 278 million people. We'd like to get that down at least under a million.

Okay? So, I'll select this. And I'm going to see how my audience size reacts. So, that's great. We cut our audience down to 27 million people.

Really helpful, right? It took it down from like 200 million to 27.

So, let's find more things. Iced coffee. Specialty coffee. Maybe people interested in specialty coffee are like more avid coffee drinkers. And do you see this right here? It says, the size the audience is only 8 million. So, I'm thinking these people are like power coffee drinkers, right? Who gets in a specialty coffee unless you're like crazy about it? Okay, so I'm going to select that and we're going to see what this does. Still the same size. 28 million people. So, let's see if we can get it down even further, okay?

We're going to see coffee. There's some other interests here but you know I'll type in coffee cup. But it's still 28 million people. So, it's still a pretty broad audience.

So, the last thing I'm going to do is this is a very special audience which you can use if you're selling ecommerce audience. Which is called engaged shoppers, okay? And we have engaged shoppers here. So, what we see here is that this shows that people who have a purchase behavior of buying stuff online.

It says people who have clicked the CALL-TO-ACTION button shop now in the past week. What that means is these are people who are not only interested in coffee but they are buying stuff online or they're clicking shop now. That's a good kind of detailed right there. So, we're going to select that.

We're going to see how our audience size reacts. Potential reach 43 million people. It got bigger.

So, I don't like that. Let's see if we can remove maybe just one of these broad things and see if that makes our size smaller. We still have 32 million people here.

Either way, we have somewhat of a targeted audience. See, it's in the green. At least we're getting people. I guess there are a lot of people who like coffee and who are buying stuff online.

So, that would make sense. Let's go down here. Here is where you would say what you want.

Generally speaking link clicks is a good number. And you don't need to actually fill in the cost control. My suggestion as you let Facebook do this for you.

You'd go down, you'd click CONTINUE and then you would create your ad, okay? You would select whether you want to... You can select different ads. You can select a video. I always suggest to use videos in your Facebook ads. Videos work the best.

Then you would scroll down and you would actually, you know, upload your image or your video. And you would type out whatever it is you want in your ad. You'd say like, "Coffee mugs? Ours is the best."

And you can preview what your ad shows up like. That's the basics of Facebook ads. Then you would just click create ad.

You know, if we just scroll down and go to the bottom. So that's really it. You know, I'm not going to actually fill out an ad for this fake coffee. I guess it's a real coffee mug. But that's the basic.

And I'll show you some examples of really good ads that I've created that made me hundreds of thousands of dollars as an affiliate marketer. Now, if you're interested in learning about what I do for a living which is affiliate marketing.

I basically sell other people's products online. I just market them using ads Google, Facebook, YouTube. And I earn commissions for helping these companies sell their products. Sort of like Expedia.com or hotels.com. You know, hotels doesn't own any hotels. Expedia doesn't own any plane flights. You know, or planes. They just kind of connect people who are interested in getting a hotel with a hotel they can stand.

That's essentially what I do. I connect people who are interested in a certain product. And I connect them with the product and I make money for making that connection through advertising. And if you want to learn more about that, just make sure you subscribe to my channel.

And after you subscribe, you will get a free course on affiliate marketing. It's like 10 videos make sure you hit that notification icon. I do live Q & A sometimes as well.

Let's go back here though. So here's an example of one of my ads which was for a bedbug product. I was helping a bedbug company sell their bedbug eradication kits. They're sort of like ant traps that keep bedbugs out of people's homes. So, this was my ad. I, you know, wrote this ad. And bedbugs actually are very much so on the rise in the United States because of a global warming or what people would call climate change. Or Trump says there's nothing happening. Who knows?

The point is bedbugs are on the rise because of rising temperatures. So, it is becoming more of a problem and more people are buying this.

So, I said bedbugs are shutting down businesses and being found at local movie theaters and homes. And I showed a picture of what our bedbug bites. And I wrote massive bedbug epidemic. See how to avoid being attacked. Like kind of aggressive, right? I'm an aggressive advertiser. That's why I make, you know, a lot of money. But notice, I got 4,000 shares on this. This ad went viral. This ad made me a ton of money. Just went super viral because of... I guess I didn't wrote a really good ad. I do a couple things in my ads. You know, notice I put this little dot just to get more clicks. And you can see all my data here.

Let's see some my other ads. Okay, here's another ad. Same ad but different image. You know, this ad got 5,000 shares.

Okay? I really like riding ads that get a lot of shares. I like writing ads that don't seem like ads actually. Because that seems to work the best. And they also get a lot of shares which is free traffic. Facebook doesn't charge you if somebody sees an ad somebody shared. Okay?

Here again. Just another image. Same language, 3000 shares and another image.

Here I did something differently. I kind of put the link in the ad. And I put image from a news article that was on that said summer 2014. Worst bedbug season ever. This was a real news story that aired about bedbugs. But I didn't use their logo. This ad campaign made me hundreds of thousands of dollars.

And you know, notice way I targeted, you can see all the way I targeted all that stuff. Now, if you want to learn more about how I do advertising, you know, I have a 6-week course. There should be some information in the description. But that's not what this video is about. Hope you learned a lot of information from this video and leave a comment.

If you have any questions about how Facebook Ads work or any of this stuff, leave a comment below and let me know what your question is. Or if you just have a comment and you want to say, "Awesome stuff" or whatever, let me know.

Put it in the comments. Thanks for watching. Make sure you subscribe to my channel and hit that notification icon if you want to see more videos. Like it and I will see you soon.