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how to make a sh*t ton of money with facebook ads

#Make money
2025-09-28 20:309 min read

Content Introduction

In this video, Mark provides insights on effectively running Facebook ads without incurring significant losses. He discusses the common misconceptions in the e-commerce space regarding success being primarily attributed to product selection, highlighting that success hinges on data interpretation from Facebook ad accounts. Mark emphasizes the importance of tracking key performance metrics like Cost Per Click (CPC), Click-Through Rate (CTR), and conversion rates, explaining how these metrics interact within the advertising funnel. He also discusses the significance of creative quality and how it influences ad performance and cost efficiency. Mark encourages viewers to critically assess their ad strategies and funnel efficiencies to identify potential issues, ultimately aiming to improve their overall advertising success by understanding and utilizing data effectively.

Key Information

  • Mark discusses how to run Facebook ads effectively without wasting money.
  • He highlights that many new e-commerce entrepreneurs fall into a trap of thinking success is directly tied to having the right product.
  • Emphasis is made on understanding both soft and hard metrics that influence ad success.
  • Key soft metrics mentioned include Cost Per Click (CPC), Click-through Rate (CTR), and metrics related to how well ads engage viewers.
  • Hard metrics such as Conversion Rate (CVR) and Add to Cart ratios are crucial for measuring success and effectiveness of ads.
  • Mark explains the importance of analyzing data to identify issues within ad campaigns, pointing out that sometimes the problems lie in the creatives or targeting.
  • He stresses the need for better creatives and emphasizes the importance of maintaining optimal KPIs to improve performance.
  • Mark also discusses the necessity of addressing funnel health and customer return behaviors to boost overall profitability.

Timeline Analysis

Content Keywords

Facebook Ads

The video provides insights on how to run Facebook ads effectively without losing money. It discusses misconceptions around product importance and focuses on metrics that can help improve ad performance.

E-commerce Metrics

Mark emphasizes the importance of understanding various e-commerce metrics such as Cost Per Click (CPC), Click-Through Rate (CTR), and customer conversion rates to improve profitability and identify issues within a marketing funnel.

Soft Metrics

The discussion highlights soft metrics like CPC and CTR, which indicate the effectiveness of ads and overall marketing strategies. It stresses the need for marketers to understand these metrics to make informed decisions.

Hard Metrics

The video also covers hard metrics like conversion rate (CVR) and Average Order Value (AOV), which directly impact sales performance, suggesting a target ratio for maintaining a profitable funnel.

Customer Acquisition Cost (CAC)

Mark explains CAC, which measures how much businesses spend to acquire a customer. The ratio of AOV to CAC is critical for evaluating the long-term viability of sales strategies in e-commerce.

Creative Optimization

The video stresses that creatives are crucial to ad performance and need to be tested and optimized regularly to maintain customer engagement and ad effectiveness.

Retention and Repeat Purchases

Retention rates and repeat customer purchases are discussed as vital metrics for evaluating customer loyalty and the effectiveness of upselling strategies.

Related questions&answers

What are the key metrics to consider when running Facebook ads?

You should focus on both soft metrics like CPC, CTR, and hook rate, as well as hard metrics like CVR, AOV, and CAC.

What is a good target for cost per click (CPC)?

For the US market, you should aim for around $150 for CPC, with $1 to $150 being acceptable depending on the size of your brand.

What does hook rate mean in the context of video ads?

Hook rate measures the percentage of viewers that continue watching your ad after the first 3 seconds, with a target KPI of 50%.

How do I determine if my ads are effective?

Look at your CPC, CVR, and AOV metrics. Check for high CPC or low CVR as indicators of inefficiency. If your ads are creating curiosity clicks but not conversions, investigate your landing page or ad quality.

What is the significance of average order value (AOV)?

AOV helps to establish how much revenue each customer generates. Ideally, it should be at least double your product price to ensure profitability.

How important is the add to cart ratio?

It's crucial for conversion, aiming for at least a 10% ratio of add to carts to generate purchases.

What does CAC mean, and why is it important?

CAC stands for Cost to Acquire Customer. It's important for measuring how much you're spending to get new customers and to ensure your marketing strategies are profitable.

What should I do if my metrics are outside of KPI?

Analyze the specific areas where the drop-off occurs, adjust your creatives, or assess whether issues lie in the ads, checkout process, or product itself.

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