In this video SocialTap Director Jon explains the key metrics you need to ignore and the ones you need to pay attention to when you're running Facebook ads for your car dealership or as a finance broker
Facebook is becoming the most important channel for dealers and brokers for generating new leads
When used properly it can lead to the lowest cost per leads and cost per sales than any other channel
If you have an agency running your Facebook campaigns for you make sure they're reporting on the right metrics so you know for certain how profitable your campaigns are
If you are running your campaigns yourself then understanding these numbers becomes even more important If you'd like our help to generate more leads, get more finance applications and approvals and ultimately make more sales and generate more profits for your dealership or finance brokerage then go here for a free consultation https://social-tap.co.uk/facebook-ads-for-automotive-industry/
Full Video Transcript
Hi, my name is Jon Wilson from SocialTap.
We help car dealers and finance brokers generate more leads and close more sales using paid social.
And today I'm going to talk to you about the metrics that matter on Facebook and the metrics that don't.
So first of all, I'm going to go through what we call vanity metrics. Now these are things like how many engagements you post or your ads getting, like smiley faces, comments, and so on.
It's also things like reach and CPM. Now in the grand scheme of things, the these metrics aren't going to help you generate more leads.
And if you're fixated on those metrics, are you getting excited about them? You're probably wasting your money.
Likewise, if your marketing agency is making a big thing about them, you probably need to sack them right now. Now on the flip side of that, the numbers are important to you and and in order of importance are in the first instance its cost per lead. It's how much is it costing you to acquire that person's details.
Now, that number on its own isn't overly important, and I'll explain why it's pretty easy to manipulate, it's pretty easy to get you a tonne of low quality leads in through the door. So paying 50 P or a pound for an inquiry or an application, you know, so, you know, if you're not closing any of them, it's pretty much pointless exercise.
However, it still gives us a bit of a benchmark on how well your campaigns are performing. The next most important metric is actually how much is it costing.
If you're in car finance, we know that actually getting that applicant to pass a finance check is hugely important because otherwise it's a lost cause.
So how much is it costing to acquire and approval or you know, an opinion applicant, and that's a number that is very, very important.
And you should be working to figure out what that number is. And your marketing agency should be, you know, very closely fixated on, you know, what percentage of inquiries he getting through are resulting in approvals.
And then finally, the most important number which you should know because this is the be all and end all is how much is it costing you to get a sale. So we go from customer lead cost to approval, and then cost per sale.
And obviously, the reason why that is so important because that's the number that's going to tell you if you campaigns are profitable or not.
And that that's the whole point of this exercise really is the whole point of view running Facebook campaigns is to make a profit.
So again, if you don't know these numbers, and find them out very quickly, and if you need some help doing this
So we'd be happy to help you marketing agency isn't giving you those numbers, you need to have a probably a strong chat with them because they're not not giving you the right information.
So if this video has been useful, let us know in the comments below.
If you would like us to take a look at your campaigns and offer some free advice, we'd be happy to do that as well. And finally, if you'd like to generate more leads and make more sales, and you'd like social self to help you do that, then send us a message and we'd be happy to have a chat.