You still haven’t started using Facebook analytics? You started, but you haven’t unlocked the full potential?
Take this for a fact: Facebook analytics will change the way you do business. Most business owners and marketers are already used to Facebook insights – the tool that measures how their page performs.
They don’t see why they would need another analytical tool. Facebook Analytics has a different purpose. It shows the most engaged audience, and it helps you understand how they interact with your page.
These are insights that the company doesn’t get from Google Analytics for its website. Such information is a game-changer for its marketing campaign.
But what are the exact features to start with?
Today, I'm going to show you what are the main advantages of using a Facebook analytics tool combined with the Facebook data you get from own pages.
4 Main strengths of Facebook analytics
- Customized dashboard for understanding data
- Demographics for creating a custom audience
- Customer journey reports for a better marketing campaign
- Customer lifetime value data for improved retention
Let’s tackle these advantages one by one ⇣
1. Demographics for creating a custom audience
“From new visitors to loyal customers, Facebook helps you get to know your audience by including age range, geography and language.” - that’s how Facebook describes this feature.
Ken Baulderson, marketing team leader for a paper writing service, shares a success story:
“We were promoting our academic writing service through Facebook Ads for three months. We realized that we weren’t paying enough attention to geography in relation to conversions before.
We focused our marketing mainly on U.S. customers. Our ads weren’t reaching many Canadian students. But when they did, the percentage of conversions was huge (around 60%).
We realized that Canadian students didn’t have specialized writing services to count on. There was a gap on the market so we filled it in. We hired Canadian writers and started targeting this market. Facebook Analytics helped us discover a new audience.”
Analytics tools and Facebook insights give you data about people’s location, gender, age, interests, and education.
With that, you can create Custom Audiences and target specific groups of people through more effective marketing campaigns. You’ll have a special group called “Engagement Custom Audience” – these are practically your leads.
They engaged with your content on Facebook, so you need to push them down the funnel. The writing service above did that by offering specialized writing help for Canadian students.
2. Tracking conversions through the Facebook pixel
Who gets to your website through Facebook content?
Then, you’ll see how your ads drive visitors there, and what those visitors do when they get to your website. This is valuable information:
- You can measure visitor engagement
- You can compare the number of leads to the cost of the ads for that page, so you’ll see how much each lead costs
- You’ll see what buttons the visitors click
- The Pixel will show you the shopping cart activity
What will you do with all this information? You’ll compare it. You will see how one ad performs in comparison to another. Then, you’ll make decisions driven by facts. You’ll see what works for your audience and you’ll be able to convert them more.
3. Customer journey reports for a better marketing campaign
Once you access Facebook analytics, you’ll see the Funnels insights on the left side of the interface. Here, you’ll see information about the customer’s journey within a specific timeframe.
Facebook analytics gives you a visual presentation of the sales cycle, so you can relate one aspects of the funnel to others.
How will you use this data? If the percentage of people visiting the page is high, but the percentage of those adding something to the shopping cart is low, there’s something missing.
You need an incentive for people to add stuff to the cart. Maybe discount codes? Personalized product offers, maybe?
There’s an interesting success story that Facebook shares on its Analytics page.
Ace & Tate compared different conversions thanks to segments and funnels. Then, they optimized their marketing strategy to attract more conversions and improved lifetime value. As an outcome, the brand saw a 20% increase in lifetime value per conversion, plus lower costs per acquisition.
4. Customer lifetime value data for improved retention
We mentioned lifetime value data in the Ace & Tate example above. Why does it matter?
Since Facebook changed its system, the users started seeing more content from friends and groups, and less content from pages. As a result, businesses were prompted to invest in ads in order to get their content in people’s feeds.
That made the ad space very competitive, so each acquisition costs more. That’s why the value you get per acquisition matters more. You want each customer to engage on the long-term with your brand.
Thanks to Facebook Analytics, you can target customers who already engaged with your business. With that, you boost their lifetime value. Facebook shows you how the LTV fluctuates over time for each category of users. You will see data for all users in comparison to data for paying users. You can create filters to compare lifetime value across segments. If, for example, you notice that males aged 30-35 have higher LTV for your business, you’ll do more about that segment of your audience.
When you install the Facebook Pixel on your landing pages and you combine it with an analytics tool and Facebook analytics insights , you get valuable data to track.
You learn how people engage with your business and what you can do to convert them at a higher scale.
Basically, you learn how to build a better, more relevant audience for your marketing campaign. You’ll create a custom dashboard that features your favorite reports, so you’ll easily get to the information that matters.
You’ll see who your most valuable customers are, so you’ll think of new ways to target them. You’ll analyze all segments of the funnel, so you’ll see how your methods work in conversions.