Facebook is a powerful advertising tool for small businesses. In fact, there are over 200 million small businesses on Facebook accordign to the lastest data.
But, how many small businesses advertise on Facebook?
Approximately, over 9.1 million small businesses use Facebook advertising to promote their business according to our analysis from FindStack, WorldBank, Facebook, Oberlo, Statista, Eurostat, OECD, World Bank, Statistisches Bundesamt, US Census Bureau and Fool.
Let’s analyze deeper into why is this platform so popular among small business owners and how to grow your small business with Facebook.
On this page:
How Many Small Businesses Use Facebook Ads
According to our research, 9.1 million small businesses use Facebook ads to reach their customers.
That’s a staggering number, and it’s no coincidence either. There are more than 2.9 billion people around the world having an active presence on Facebook per month according to Facebook’s latest reports.
It makes sense why so many small business owners turn to this platform to help get their message out there. Marketing on social media offers unprecedented levels of targeting by demographic and interest, which allows savvy business owners to increase their reach while simultaneously bringing down costs per user interaction.
Does Facebook Advertising Work For Small Businesses?
Yes, Facebook advertising does work for small businesses. It is one of the most effective and budget-friendly ways to reach a wide audience. With an active presence on Facebook, small business owners can connect with their target customers, create more leads, and generate more sales.
Further Reading: Facebook Ads Guide: Ad Format Specs & Recommendations
Facebook ads provide businesses with an opportunity to refine their campaigns by targeting specific audiences based on location, age group, gender, interests, and other demographics.
By using different approaches, such as analyzing user behavior and leveraging engagement metrics like clicks or comments generated by users, companies can observe how customers interact with products or services presented in advertising campaigns before investing in promotion activities.
This gives them a better idea of what customers want, which helps them make ads that are more likely to work than mass-appeal messages like cold calls or generic radio spots.
How Do Small Businesses Use Facebook?
Facebook has over 2 billion active users, which explains why so many small businesses have adopted it as a key marketing channel.
The most basic way that small business owners use Facebook is by setting up a “page” or “profile,” where they can post updates about the company, the products and services they offer, and any special promotions they may be running.
These posts appear in the newsfeeds of people who like their page or follow them online. This helps get the word out about their company and encourages followers to interact with them as well as share information about their company with friends and family on social media platforms such as Twitter, Instagram, YouTube, etc.
Small businesses can also use Facebook to reach their customers by using tools like boosted posts and campaigns. Targeted ads allow you to target specific demographics (age, gender, & location) so that your ads are only seen by people who are likely interested in what you are selling.
This helps save money because instead of spending on advertising campaigns that don’t hit the right group of people, you can specifically target those who are more likely to convert into customers.
Another important way that small business owners have been using Facebook is by creating communities for customer engagement and interaction, which provides valuable insights about their product/service offerings and helps them create better content marketing strategies for future success.
Building relationships with customers via these communities will help users feel more connected with the brands, which ultimately helps turn new prospects into loyal, paying customers.
Read More on SEJ: 3 Techniques to Boost Facebook Customer Loyalty
How Much Should A Small Business Spend On Facebook Advertising?
According to the Social Media Examiner, most experts say that a business should set aside anywhere from 5% to 12% of its total income for Facebook advertising.
When budgeting for Facebook ads, keep in mind that each campaign will have different levels of optimization, which will lead to varying levels of success.
Advice: Adespresso has put up a post with 12 Facebook Ad Optimization Hacks for Massive Success.
You may need to experiment with different ad types and target audiences until you find the combination that works best for your product or service. Additionally, consider factors such as content quality, ad copy length, type of imagery used, and more when calculating your ROI from each campaign.
Also, keep in mind that for any digital marketing strategy, including Facebook strategies, to be successful, it’s critical to test new ideas while analyzing data from previous efforts in order to make better decisions moving forward and ensure long-term growth.
By taking these steps, you can maximize the return on investment (ROI) from each campaign while carefully managing overall spending when it comes down to how much a small business should spend on Facebook ads.
How Can I Grow My Small Business On Facebook?
Let’s take a look at some of the best ways to use Facebook to get more traffic, leads, and sales.
Create a Page, Not a Profile
The first step in using Facebook for your small business is creating a page, not a profile. A profile is meant for personal use only and is not allowed to promote any businesses.
When you make a page, you can post updates about new products or services and write content that is specifically for your target audience. It also allows you to run ads, which can be an effective way to reach more people.
Read More: Here is a step-by-step guide from Facebook to Creating a Facebook Page for your business
Post Relevant and Engaging Content
Once you have created your page, it’s important that you post relevant and engaging content regularly. This could include blog posts, videos, photos, or other pieces of content that are likely to resonate with your audience. You want to make sure that the content is on brand and provides value so that people will be interested in engaging with it.
Boost Your Posts
If you’re looking to drive engagement and get more eyes on your posts, boosting them can help immensely. Boosting posts allows you to pay for placement in people’s news feeds so that they are more likely to see them. This can be especially useful if you have an event coming up or want more people to see a specific piece of content or promotion.