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The Results: Why Advertising on Facebook May Be Perfect For Your Business (part 2of2)

The Results: Why Advertising on Facebook May Be Perfect For Your Business (part 2of2)

By Marc Reifenrath on June 13, 2013 in Digital Marketing

In our two part blog post, we explain the ins and outs of advertising on Facebook and show you how and why it may be perfect for your business. In part one we explore the basics, including the difference between Facebook Ads and Sponsored Stories. Read: Why Advertising on Facebook May Be Perfect For Your Business In part two, we explore a real world scenario, and dig into both the setup and the actual results it provided. 


The following campaign was created for Molly's Cupcakes. Located in downtown Iowa City, Iowa, Molly's Cupcakes bakes their cupcakes from scratch in small batches everyday and throughout the day using only the finest and freshest ingredients.

Molly's Cupcakes Iowa City - Facebook campaign results


Simply put, Molly's Cupcakes wanted to grow their audience and potential reach on Facebook by obtaining more Likes.


The setup was pretty basic. A 1-for-1 scenario was created where users were asked to simply Like the Molly's Cupcakes Facebook Page in exchange for a coupon good for a free cupcake (no catch, no gimmicks). The promotion itself was handled by a third party called Woobox (including the signup process, coupon distribution, and coupon redemption), while Facebook Ads were created to target users who lived in the Iowa City area.

(Sidenote: Often times, businesses ONLY provide these types of promotions to "new" customers (or those users who have yet to Like the page), however we decided to offer the free cupcake to ANY user. It not only showed how much the business cares about obtaining new users, but also how much they care about those who have been a fan from the git-go)

Setup: Facebook Ads

Users who fit the general criteria may have seen one of the following Facebook Ads. Note the difference between the Ad on the left and the Sponsored Story on the right.

Molly's Cupcakes Facebook ads

Setup: Woobox (Coupon Claim)

Upon clicking on the Ads, users were directed to a location on Molly's Cupcakes Facebook Page where simple instructions explained how to claim their free cupcake.

Facebook coupon offer for Molly's Cupcakes

Setup: Woobox (Coupon Redemption)

Upon completion, a custom coupon was generated for that specific user to then bring to the Molly's Cupcakes location for redemption.

Facebook Voucher from Molly's Cupcakes

Target Audience

Molly's Cupcakes audience is about as broad as you can get. Really anyone that loves desserts (especially cupcakes) both young and old was a potential target. However, as it relates to Facebook, the Ads were created targeting users 13+ years old. In part 1, Why Advertising on Facebook May Be Perfect For Your Business, we outlined the difference between Facebook Ads and Sponsored Stories. In Molly's Cupcakes case, we felt it was important to include both options as an opportunity to reach the potential audience. As you'll see from the results below, it's a good thing we did...


The data below represents a relatively short amount of time (just over a month), but it's a fantastic insight into a successful campaign. 

traffic results

Date Range: 05/17 - 06/13
The campaign is still running, and while it may change over time, the results thus far are pretty consistent.

Campaign Reach: 31,993
The number of unique people who saw ads from this campaign.

New Likes: 974
This value ONLY includes those Likes that were obtained via the Facebook Ads or Sponsored Stories, and not any other Likes that may have happened in this timeframe.

Total Spend to Date: $275
The targeted daily budget was set at $10/day.

Cost per Like: $0.28
For those of you in the marketing world, that's an extremely low cost per acquisition! Plus, any future status updates from Molly's Cupcakes will be seen by this new user (in addition to exposure/inclusion with future Facebook Advertising).

Results: The Finer Details

While the number of new Likes and the relatively cheap costs per acquisition speak volumes about the success, what's most interesting is where those users came from.

Over 95% of the Likes came from Sponsored Stories!

(As a quick reminder, a sponsored story is different from an ad because it's a story you can already see about activity from people you're connected to, Pages you like or apps you use. A business pays to sponsor these regular stories to increase the chances that you'll notice it.)

As we continue to monitor the results, it's apparent that the "advice" of Facebook friends holds extremely more weight than the traditional ads we've come to know and love (well, maybe not love...but are used to)

Why was this a successful campaign?

Simple. Molly's Cupcakes got more Likes for a minimal cost, and the Facebook users got a free's a win-win for everyone. While the campaign itself has only run for a little more than 30 days, the results are staggering. The numbers are a clear indication of it's existing success, and future potential!


Ready to dig into Facebook ads for yourself? Need some help? Give us a call or send us an email, we're happy to help!

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