Khamisi Hamisi

The Basics Of Facebook Advertising

Reading Time: 5 minutes

When it comes to Facebook advertising, there are some terms that you will come across while creating your ad or after your ad has run for some time. Anyone can create Facebook ads. However, not everyone can create an ad that ends up being successful.

Knowing what these terms mean can help you know exactly what you hope to achieve with that particular ad. Moreover, they can help increase the chances of you setting up a campaign that is successful.

In this article, we will look at the specific terms, their meanings and which instance each comes in handy. You can opt to watch this short video from Instagram where I explain the terminologies in a quick video. Otherwise, you can keep reading if you are not a fan of video.

Click on the title in the table of contents to skip to your desired section. Also, do not forget to Click here to start a convo with me on whatsapp in case you need any help or assistance.

Basics Of Facebook Advertising

Here are some of the basics of Facebook advertising that you need to know.

  • Conversions
  • Cost per click (CPC)
  • Cost per mile (CPM)
  • Frequency
  • Reach
  • impressions
  • Click through rates (CTR)
  • Clicks

1.) Conversions

Conversions are actions that are counted after someone interacts with your ad. Examples of conversions are website visits or even product catalog sales.

You can use conversion ads if you have a store or product that you sell on your website. Conversion ads count how many actions were taken. You can use conversion ads together with the Facebook pixel.

The Facebook pixel records all the actions on your website like when someone ads your product to their cart, number of visits and other actions on your website.

2.) Cost Per Click (CPC)

CPC or cost per click is the amount you are willing to pay for each click your ad gets. This can be as low as $0.1 all the way to $5 or even $10. It entirely depends on the industry that your ad is focusing on.

Your target audience greatly affects your CPC. The more detailed you want your outcome to be the more CPC you will pay. For example, if you are collecting email addresses, it will cost you more per click to that ad compare to someone opting for engagement like comments and likes.

3.) Cost Per Mile (CPM)

CPM or cost per mile is the amount you are willing to pay for every 1,000 vies your ads get. Most of the time, CPM is much cheaper compared to CPC. You only pay for each time your ad is seen by 1,000 people.

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Your ad may end up being shown to so many people at the same time. However, CPM ads are not best if you are looking to get people to do actions like buying your products or services.

CPM works best if your main goal is to get your brand in front of as many people as possible. If you are looking to get people to do any action, CPC is your best bet.

4.) Frequency

Frequency is the number of times your ad was shown to your specified audience. If your ad targets a large group of people, the frequency will be low. Your budget also determines the frequency to which your ad will be sown.

For example, if you have a small budget and your target audience is broad, your frequency will be much lower. If you have a large budget and your target audience is not wide, your frequency will be much higher.

5.) Reach

Your reach is the number of unique individuals that your ad was shown to. This can be on the news feed or any other locations that you had chosen.

Not everyone you reach will take action on your account. So, most of the times, your reach can be higher and your conversions lower. For example, when you run CPM ads, your reach will be very high because more people will be shown your ad.

6.) Impressions

Impressions refer to the number of times your ads appeared on the screens of users. This is different from reach because, with impressions, a user can see your ad several times on their screens. Reach is the unique number of people reached.

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For example, you can reach 10,000 people with your ad. If each of the people you reached sees your ad twice in a day, the total impressions become 20,000.

7.) Click Through Rates (CTR)

Click through rate or CTR is the number of times your ad was clicked divided by the times it was shown. Click through rate is very important because it shows you how your ad is performing.

The higher the click-through rate the better your ad is performing. This means that many people are engaging with your ad.

8.) Click

Click is the number of times your ad was clicked by a user. The more your ad is clicked, the more it shows your ad is performing well. There are many ways you can increase clicks to your ad.

One of the best ways is by having a clear copy with a call to action asking users to click or giving them a reason to. You can also increase the number of clicks by having a highly targeted audience or niche audience.


Knowing most of these terminologies can help you know what kinds of ads you will run. Keep them in mind when it comes to creating your Facebook ads.

Do you need help with your ads? Contact me today for a free consultation on how you can scale your business. You can also drop me a message on Whatsapp by clicking on this link.

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Khamisi Hamisi is a digital marketing consultant, podcast host, mobile video creator, and poet. He loves working with startups and businesses looking to scale up. He is a critical thinker and creative problem solver. Moreover, he loves coming up with strategies that help grow businesses online.
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