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How To Earn Money From Facebook Ads

Earn money from facebook ads

Facebook- What’s on your mind?

Created in 2004, it hit India in 2007-08, I remember I made my facebook account in 2009, under peer pressure. Facebook today is the most popular social networking site which was initially developed to connect with the school and college friends. With the transformation over the years, it now offers to let you run your business on it. Along with running your business on Facebook, you can also run an advertisement campaign on the same platform. However, there’s still a lot of confusion about how to earn money from Facebook Ads.

Fb ads placement
Placement of ads on facebook

The quality that sets apart Facebook from other social networking site is that it gives you a personal touch, a home like feeling because you are communicating with an audience whom you have personally selected with an understanding of their psychology. The Facebook Ads let you communicate with the lookalike audiences as well. The lookalike audiences are similar to your selection of audience. Also, over the years, Facebook’s layout has turned even better with additional features like emojis, video calling, Messenger, Instagram app, and Messenger calls. All these features are added with an approach to ease the communication.

Hasn’t the initiative of Facebook to introduce a business feature made commencing an online business so easy? An entrepreneur who has just started a business and wants his known to be his initial customers may simply begin with circulating the information on messenger groups or via status uploads and shares. The idea to promote a business and earn money from Facebook Ads is especially attractive to any business at present because a major population of the world is on Facebook. Thus, by simply selecting your target audience on Facebook, you can specify what category of people will see your Facebook Ad.

How to create a Facebook Ad?

Facebook is campaigning very well for its online business and Facebook Ads feature, there are several tutorials on how can you set up your own ad campaign on Facebook. Follow these simple steps to get started with your Facebook Ad campaign.

1. Click on the extreme right, drop down menu denoted by an arrow

This is the same menu from where you log out. In the third division of the drop-down menu, there is an option – ‘create adverts’. Click on this menu and you will be redirected to Facebook’s Adverts Manager, a menu where you can specify the objective of the campaign, the audience, the budget, the costing, age group of the audience, placement of the ads, etc.

Advertising on facebook
Facebook adverts manager

After you have landed on the Facebook Adverts Manager, next everything will be a piece of cake for you, if you already have a specified format of how you want to conduct your Facebook Ad campaign. As you proceed with providing the required information regarding the target audience, the location, the age group, the format of the advertisement, you will be shown an automated budget. The basic budget is flexible and can be altered by you even in the middle of the campaign. You have two given options to select your budget either by selecting a budget on the daily basis or setting a budget for the lifetime (the total duration of the campaign- you can edit this).

On setting the information required for getting started with your campaign, you are already halfway through. Next, you can either link the campaign to the Facebook page of your brand or you can simply connect it to your Instagram profile if you are already operating your business through an Instagram business account.

The cost of a Facebook Ad?

Before you start to earn money from Facebook Ads, it is important to know that the cost of a Facebook Ad is variable and flexible according to your budget. You can customize the per day budget according to your total budget. Also, the cost can be paid for a lifetime of the campaign i. e the entire duration of the Facebook Ad campaign. However, an important fact that must be noted here is that your per day budget or your lifetime budget is directly proportional to the reach of your Ad. The per day expenditure is the average amount spent according to the site usage by your target audience.

Cost of a facebook ad
Setting budget of a facebook ad

How to earn money from Facebook Ads?

The Facebook Ad lets you redirect your potential customers to your website, Instagram profile, business page, etc. The traffic that is now been redirected to any of these pages is your lead. The Facebook Ads have helped to generate leads, now the conversion further depends on the quality of the display of your website, content, product description, images, videos, etc.

You need to understand that Facebook Ads are not a direct source of income. They are an indirect source of income. You can earn money from Facebook Ads by having leads generated but clearly, their conversion depends on how influential your product ad is.  The Facebook Ads work better for your business when they are been run on a daily basis. The daily visibility works wonders in fixing the product/service in the target consumer’s mind. Regular posting of promotional posts and Facebook Ads work hand in hand and help you increase your Return on Investment (ROI)

Since the Facebook Ad is an indirect medium of earning money, you first need to invest a small amount in the Ad campaign to go live and only then you will start earning out of it. The money you spend on an ad to be run for a single day is flexible and can be decided by you according to your own budget. What professionals and marketers forget is that there is a lot more efforts required than just investing the money. The ad must be designed and crafted in a way that any potential customer is easily converted into a client within no time.

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For instance– The new unit of AtHomeDiva, dealing in female grooming, ran its introductory offer ad on Facebook to attract and inform the target consumers about their services in the most attractive and effective way possible. Many of my friends and family members availed their service and were more than happy with the products used by them, the charges and service provided by the beauticians.

The ad featuring the introductory offer spellbound the consumers by offering 5-6 popular services for just 500 INR each. The services included Rica wax (full arms and legs), O3+ cleanup and facial, manicure and pedicure, etc. Women went crazy over this offer. I can quote this statement, being a woman myself and comparing the actual price to the introductory price. It’s just the half.

For a period of time, I saw the ad daily. Then it stopped for sometime, then the ad was visible again. This is because Facebook customizes the reach itself to cater to a variety of audiences each day, then follows them again. It’s a pattern. The ad campaign has a lifetime which can be set by the one running the Facebook Ad. Just like the budget, the lifetime of the campaign is also flexible. You can repeat the same ad after its lifetime is over.

Facebook business page of at home diva

Key tactics to keep in mind while crafting your own Facebook Ad

1. The Image must be self- explanatory and attractive

Supposedly you generate a Facebook Ad for a clothing brand, the image that will be displayed in the ad must be alluring enough to capture the user’s attention and force them to stop scrolling and pay attention to your ad. When the user stops to give a glance to your ad, only then there are any chances at all of your ad generating customers for your brand.

Now, here you must note one important point that the user will not stop for the texts.  It’s the image that will be noticed first and based on that a user may or may not stop. If the image is attractive, the user will stop to look and now read the texts. This is a natural Human psychology that we are first attracted by the images and react differently to different colors unconsciously.

2. Content of the Facebook Ad

The second most important component of a Facebook Ad is its content. If you have placed an attractive image on the ad, the user for once will stop but will not respond if he/she does not find useful content in the ad. Thus, it must be made a priority to publish a quality content in the ad. A good content is the one that communicates the idea briefly and leaves the user inquisitive to follow the ad link. If the user has clicked on the ad and has now reached the landing page, you are already halfway through.

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3. You can use the Split test concept for the campaign, to judge its effectiveness

Ad campaigns can be simply tested by running more than one campaign at a time and crafting them differently. Hypothetically, in a given campaign you use an X image and an  X content, in the next campaign you again use the X image but this time you use the Y content, in another campaign you again use the Y content but with a Z image this time. This is called the split test concept. This will give you visible results as to which content and picture is gaining maximum traffic. And accordingly, you can run that campaign for a longer duration or re- publish in the case of ad campaign performed well.

4. Collect the contact details of your lead- Capture your leads

All the people who click on your Facebook Ad are your leads. The leads are useful only when their contact information is been retrieved by you. The contact detail can be anything from the Email address to the phone Number. If you have not implemented a responsive layout and fail to get the details, you will have to spend multiple times to reach the same people. If you play clever and get the details of the leads in the first time itself, you will have the database of all your leads. Capturing leads is indeed a smart move and will save you a lot of money.

Maintaining a lead database enables you to contact them over the email or simply via a text on the phone. The former customers can also be contacted this way and informed about the latest offers.  This is one the most common marketing practices.

5. Keep a track of the CTR

CTR stands for Click Through Rate. The higher the CTR, the cheaper the cost per click. CTR is used to monitor the performance of the campaign and this step must not be skipped. Most advertisers and marketers do not pay enough attention to this number. However, it must be noted that this number is especially important in determining the ROI of your Facebook Ad campaign and to tell you exactly how well your campaign is functioning. Also, if there is a need to alter the components of the ad.

You can redirect the traffic to your own Facebook business or fan page. This will be beneficial as the likes of your page will be increased and they can be further redirected to your app or website.

How often should you post Ads on Facebook?

This is one of the most commonly asked questions about Facebook Ad. The fact is that the Facebook Ads have a starting and the ending date, i.e. it has a lifetime. In this lifetime, the ad is posted daily to reach different users according to the selected audience by you. During the campaign, the ads are published daily, however, the users it is shown to may vary. Also, the width of the reach is determined by the investment you have made in the ad.

The Facebook uses the following metrics to help you assess the performance of the Facebook Ad campaign.


The impressions of an ad campaign, denote the total number of times an ad was displayed.


The reach of a Facebook ad campaign denotes the number of Unique users to whom the ad reached.


According to Facebook, the frequency is calculated by dividing the total impressions by the number of reaches.

How wide is the reach of a Facebook ad?

The reach of a Facebook Ad is totally dependent on the amount of money spent on each day of the ad. The reach of an ad is directly proportional to the investment made on it. Facebook has a set reach for every figure you quote as your daily budget. You can check this in the Adverts Manager of your Facebook page. The concept is simple- the higher the investment, the higher the reach. Further, the leads and conversions can be counted accordingly.

A recent survey conducted by Facebook observed the behavior of about 537 people during the premiere of the popular TV show. It was observed that during the television commercials, people switched to Facebook. With this survey, Facebook draws the attention of the advertisers to take note of which medium is more popular. The survey successfully declares that Facebook has a greater reach than television and claim that advertisements work much better when the television and Facebook are combined to hit the target audience.

Facebook tv combined reach
Facebook and tv work better together

The survey lays stress on the fact that mobiles must not be confused as mini television just like the television was not a visual radio and radio was not an audible newspaper. Mobile is the new media and has a reach greater than that of the television, especially in terms of advertisements. The users are no more interested in viewing the long ads and refuse to spend as much time on ads as they previously did, in the golden years of the television media. The new generation and the new media demands for an ad format that is quick and crisp. The entertainment element must prevail in the ad. The autoplay feature on Facebook communicates the message to a much wider audience because about 70% of the Facebook profiles have this feature enabled until they opt out of it. Thus, willingly or unwillingly the video is played and a majority of people tend to get engrossed in the video once it starts playing, even the irrelevant ones.

Benefits of placing Ads on Facebook

  1. Facebook is the most popular social platform at present.
  2. Facebook Ads have a higher reach than TV
  3. Follows an interactive format.
  4. The campaign is cost-effective.
  5. You can select and customize your target audience.
  6. The business can be run on the same platform with an access to a business page.
  7. It is the new media and people have a much higher craze about it.
  8. An easily accessible medium- you can set up yourself to earn money from Facebook Ads.
  9. Easy to fix the brand image in the consumer’s mind by running the ad campaign over and over again.
  10. Keep a track of the campaign’s performance, all by yourself.
  11. An immediate reaction of the consumer can be noted.
  12. Due to low cost, a split test campaign can also be run.
  13. You can select the most suitable Facebook Ad format that suits your business the most.

To conclude

In this blog, we have discussed: how to set up a Facebook Ad campaign, how to earn money  from Facebook Ads, the metrics to measure the performance of a Facebook Ad and the key tactics to help you craft your own ad campaign that helps you reach and convert the target consumers into your clients.

Facebook is evolving every day to give its users the best experience while they stay connected to the people around them and the people they’ve left behind in schools and colleges. I hope now you are all set to go live with your Facebook Ad campaign and ready to earn money from Facebook Ads.

Avatar of mahima sood
Mahima Sood

7 thoughts on “How To Earn Money From Facebook Ads”

  1. Hello Sir I am start for Facebook advertising and create a new page all information and help

  2. Thanks for sharing this article. I have read other articles like this before but this one is well-written. All of your tips are straight-to-the-point and explained simply. This is very helpful for everyone.

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