Reallocate Facebook Ad Dollars to Produce an Even Higher ROI
In the past few weeks, hundreds of businesses have taken a stand against what they believe is the spread of hate, racism, and misinformation. Brands both big and small have joined the #StopHateForProfit movement and pulled their advertising dollars from Facebook.
Brands are boycotting Facebook and demanding that the social media platform revisit their policies and implement changes that support more accountability, decency, and support.
Mega brands like Starbucks, who spent $95 million on Facebook ads last year, have pulled back funds, and small businesses are acting with them. Hundreds of smaller brands have paused their Facebook ad spend -- which also has an impact.
Small businesses spend about $1,000 to $2,000 per month on Facebook ads. So, that leads to a question...
Where can brands pulling their advertising dollars from Facebook put them so they can continue to reach their customers while supporting an important movement?
Well, we have a few suggestions.
MyArea Network supports the Stop Hate For Profit movement, and we are here to help businesses discover how they can effectively reallocate the money they were once spending on Facebook ads to produce a strong ROI.
Reallocate Facebook Ad Dollars to These 3 High-Performing Tactics
Outside of Facebook ads, there are many other effective ways to reach local customers. Here are a few ways to reallocate Facebook ad spend and continue to see results from your local marketing.
#1) Geofencing Campaigns
Geofencing campaigns use GPS technology to place a virtual boundary around a specific area. When people enter in and out of that boundary, you tag them and can begin to show them targeted display ads.
Geofencing campaigns are a powerful way to reach local customers because you can target them based on where they are. For example, if someone enters a hotel near your restaurant, you can trigger ads to show your nightly dinner specials.
MyArea Network has seen powerful results through our local marketing geofencing campaigns.
An example is a high-end restaurant that spent $400 to drive an estimated $3,000 in revenue.
The restaurant spent $400 to produce 4,500 impressions and 75 conversions. A conversion is someone who received the ad and then entered the restaurant. If you assume that 50 of those 75 people converted to be customers with an average ticket of $60, the return on investment is more than 7X.
#2) Text Marketing Campaigns
Text marketing is a well-known marketing tactic that is often overlooked. While many businesses invest in email marketing campaigns, less engage in text marketing, and that is a mistake.
Open rates for email marketing range around 20.94%, whereas open rates for text marketing can be as high as 98%. Text messages are far more likely to be seen by your audience -- plus they are extremely affordable to send.
We consistently see our clients produce a high return on investment when running strategic text marketing campaigns.
A restaurant spent just $299 to get a return of $1,125.
The restaurant shared a deal through a text message to 3,671 recipients. The campaign drove 302 clicks. If only just 5% of those who clicked ended up converting and visiting the restaurant for the $75 deal, it would be over a 3X return.
#3) Google PPC Campaigns
Moving to Google pay-per-click (PPC) campaigns is a logical shift for any business investing in paid Facebook ads. The shift moves funds from one type of digital advertising to another, while helping you continue to reach local customers.
We’ve seen our customers produce amazing returns on strategic PPC ad campaigns.
A large pizza chain spent $69,800 to get a return of $718,041 across dozens of stores throughout the state.
While these numbers might seem high to a small business, the same return can be created on a smaller scale for brands with one or only a few locations. Each PPC campaign provided a return between 5.8X to 10.6X. And, these numbers are exact as data collected through the campaign shows the precise number of online sales initiated by the ads.
Consider Allocating Funds to Support the Cause
These are a few high-performing tactics you can as an alternative to Facebook ads. But, as you look at reallocating Facebook ad dollars, you may also want to also consider putting at least some of the funds toward organizations that support the cause.
Boycotts are powerful ways to force organizations to make change -- so is investing in organizations that are actively doing work to initiate change.
If the Stop Hate for Profit campaigns closely aligns with your brand values and mission, consider taking some of your Facebook ad dollars and donating it to organizations like the Anti-Defamation League, the NAACP, Sleeping Giants, Color Of Change, Free Press, and Common Sense, which are the organizations behind the movement.
Reallocate Facebook Ad Dollars to See a Higher ROI
When it comes to reallocating Facebook ad dollars so you can support the Stop Hate for Profit movement while continuing to reach local customers -- you have options.
These are just a few examples of marketing campaigns you can launch to produce a strong ROI.
Contact MyArea Network today to see how we can help you put your marketing dollars in the best tactics for your unique business and customers. Let’s talk! Get a free consultation today.