Kimberly heard a lot about Facebook lead ads cost and she was wondering if it will work for her business model.

As a new course creator Kimberly was finding it difficult to figure out what marketing strategy to use to achieve her goals.

While Udemy and Coursera look like attractive options because they have an existing audience.

Kimberly knew straight away that these course marketplaces are not the best solution for her dream life.

Let me know if you can relate to these points.

1. You’ve enrolled in several coaching programs that promised visibility but didn’t deliver
   
2. You don’t have an existing audience to promote your course
   
3. After spending $1,000s on resources you’re wondering if to throw in the towel
   
4. All you need to see is a silver lining behind your current dark cloud
   

If only there was a way to grow a targeted email list of potential students quickly and simply with a minimum budget of $1,000/month.

In this post, you’ll learn how Facebook lead ads can be a breath of fresh air and how they can generate leads for you while you sleep at a very good price.

What is Facebook Lead Ads

In case you are brand new to Facebook advertising and wondering why you haven’t heard about it before this is for you.

One of the best ways to explain Facebook lead ads is to show you what it looks like and how it works.

However, before doing that here’s a brief explanation.

Facebook lead ads are a form of advertising specifically designed to generate qualified leads for businesses.

The reason it is called Facebook lead ads is because the lead generation occurs on the Facebook platform itself.

It means that people viewing the ad will be given the opportunity to enter their details to obtain the offer without having to leave Facebook.

So, everything occurs on the platform.

How is it Possible to Generate Leads Without Leaving Facebook

When you are logged into Meta Business Suite and you click on Ad Manager you’ll see the opportunity to create a campaign.

After clicking ‘Create’ at the campaign level you’ll see a list of objectives to choose from which will determine your ad type.

Choosing leads as your campaign objective will give you a list of possible results that you’ll receive from running this type of campaign.

Notice the four options given include:

1. Calls
   
2. Instant forms
   
3. Conversions
   
4. Post engagement
   

It is important to note the conversions in this particular case refer to you generating leads on your own web property. As opposed to getting them to sign up via Facebook.

‘Instant forms’ is the not-so-popular name for Facebook lead ads.

What Does the Lead Ad Form Look Like?

After creating your ad set and creatives you’ll see the option to customise your Instant form before publishing your Facebook ad.

As you can see Facebook is pretty thorough in that they’ve included an area for Privacy policy which is very crucial.

This is because you’ll be collecting personal details or contact information like an email address.

The key to getting high conversion rates on these forms is to remember that people are busy so the less you ask them the more leads you’ll get.

Although a Facebook pixel isn’t required to run an instant forms campaign you’ll still need a link to your privacy policy page.

This leads us to the next question, the ad.

What Does a Lead Ad Look Like?

If you’re wondering how different a lead ad looks compared to regular ads the answer might surprise you.

A Lead ad looks very much the same as regular ads with the only difference being the call to action at the bottom.

Typically the call to action would be to download the free resource that you will be offering them in exchange for their details.

Here’s an example of one such ad as it would appear on Facebook

Of course, this resource would not be complete if I fail to include what Instagram ads look like so here you go.

I bet just seeing these two examples just gave you lots of ideas about how you can do the same in your business.

Where Do the Leads Go After People Complete Their Details

When your potential clients complete the form Facebook saves them inside a CSV file which you can manually download daily.

I know what you’re thinking, isn’t that a lot of hassle?

Well, the good news is that there are several ways for you to automate the lead collection process.

Depending on what you are using as your email service provider you can integrate it directly with Facebook or you can use a third-party platform.

The two third-party platforms that integrate with Facebook instant forms are Zapier and Make.com.

If you decide to use Zapier then you’ll need to use the paid version but you can use the free version of Make.

You also have the option of using ActiveCampaign because they have a direct integration with Facebook Lead Ads.

Using ActiveCampaign’s direct integration means that you’ll need to upgrade to the Plus plan so it would set you back $75/month on the monthly plan.

Yes, it does require some technical ability to know what you’re doing but many of these solutions have step-by-step training on YouTube.

Any direct or third-party integration also gives you the ability to deliver the freebie or item that you promised in the ad.

How Much Do Facebook Lead Ads Cost?

If you’re wondering about how much Facebook lead ads will cost for you I may not be able to tell you precisely.

However, I can tell you what the typical range is for a lead ad that’s performing as it should.

A normal lead cost can be $1.50 each if your ad is performing in the good range.

An excellent ad can cost 0.30 cents to 0.99 cents each! I’ll cover what are the telltale signs that you have the ability to get this lead ad cost shortly.

These figures do not apply to webinar leads or lead generation that is done on your own web property like a website or landing page.

How Much Do 1,000 Facebook Ads Cost?

When you set up a lead ad campaign normally Facebook charges per impression (not per lead or per click).

However, you can see in the report based on the leads you receive the cost per result or per lead.

In other words, if your campaign doesn’t generate any leads at all you still get charged per impression.

If your campaign is overperforming then this actually works well in your favour because the cost per 1,000 impressions (CPM) should be $20 or less.

It means that if you’re only paying $1 per lead then every 1,000 people who see your ad 20 will sign up for your freebie.

This represents a conversion rate of 2% which is quite good. Anything less than 1.5% means that your copy may need to be improved.

How Much Should I Spend a Day on Facebook Ads?

Specifically as this resource to Facebook lead ads, the suggested budget is $10 – $15 a day.

When you first set up your campaign to get it approved you can start with $10 a day.

After it has been approved wait about 3-4 days and check to see how it’s performing.

If your cost per lead is $1.50 – $2.00 each then check other statistics like your CPM, CTR and CTR Link-Click-Through-Rate.

Here’s a good rule of thumb to follow.

1. CPM -> should be less than $30
   
2. CTR all -> should be 4% or higher (if not, change the image)
   
3. CTR Link-Click-Through-Rate -> should be 1.5% or higher (if not, fix copy)
   

If all of these are bad it could be the freebie itself or the audience. This is the reason why people hire a Facebook ad manager to figure all this out for them.

Do you need help from a Facebook Ads Manager or Strategist? Book some time in my calendar here.

Is $5 Enough for Facebook Ads?

Yes, I’ve used a strategy where I had Facebook ads running for $5 a day and I got results.

If you start off at $10 or $15 per day and you find your winning combination of image, copy, freebie and audience then here’s what you can do.

Every 1-2 days reduce your budget gradually by $2.50 a day.

In other words, you start at $15 then reduce the budget to 12.50, then $10, then $7.50 and so on until you get to $5 a day.

What was very surprising is that Facebook still delivered 10 -12 leads a day when my budget was $15 and $10 a day.

I enjoy testing Facebook Ads just to see if the daily budget actually makes a difference.

One of my coaches would say if you give Facebook $50 to spend in a day they will do it and give you the same result as $10 a day. Lol!!