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How to Set Up a Facebook Ad Funnel for eCommerce Products

Published on:
January 4, 2023

What is a Facebook Ad Funnel? 

With nearly 3 billion users worldwide, Facebook is one of the most popular social media platforms. A Facebook ad is an effective marketing strategy that helps you expand your company by increasing the ROI and acquiring new leads. It is a series of ad campaigns created to introduce the product and/or service to the users and guide them along their journey of buying from your company. So, a Facebook ad funnel is a “path” that pilots users to commit an action desired by the ad creator. (In this case, the desired action is making a purchase.)

Mainly, the Facebook Ads funnel consists of three stages:

Awareness:  Top of the funnel (TOFU)

Consideration: Middle of the funnel (MOFU)

Conversion/Decision: Bottom of the funnel (BOFU)

The idea behind a Facebook Ads funnel is to first, create awareness about your product among those who do not know about it, then have them visit your website to learn more about your product and consider buying it. Once this is done, the last ad that they see is the one that convinces them to make a purchase just in case they did not already do so while browsing your website.

We will read more about these stages below.

Steps to Setting Up an Ad Funnel on Facebook

Facebook ads are a potent marketing strategy to drive sales. But it is highly unlikely that a person will buy your product or service based solely on seeing your ad for the first time. Ad funnels act as mediators that help people engage with your brand. It is imperative to accurately set up an ad funnel on Facebook.

Step 1: Integrate your eCommerce Site with Facebook

Integrating your eCommerce site with Facebook is the first step in setting up an ad funnel. Install Facebook Pixel on your website. It will allow you to create a valuable audience and help with driving conversions. It also makes data collection and analysis of the website visitors easier. You can use dynamic product ads to your advantage by simply setting up a product catalog with Facebook. It is important to know what works best for your sales. The final step should be to set up and test conversion tracking to know the difference between ads that multiply your sales and ads that are not as appealing.

Step 2: Set Up your Target Audience

You must know what your audience wants so that you can tailor ads according to their liking. This data can be collected from your email list’s engagement with your website. The most valuable audience is the people already engaging with your product and visiting your website.

You need to set up and populate a target audience known as a custom audience and lookalike audience.

Custom audiences can be created from the Audiences Dashboard on Facebook Ads Manager. The dropdown menu helps you create and select Custom Audience. 

The lookalike audience is the people that have similar demographics and interests to the current customers.

Read more about creating Lookalike Audiences here.

Step 3: Create a Top-of-Funnel Campaign

A top-of-the-funnel Campaign is aimed at creating content that intrigues viewers about your product or brand.

The audience at this stage of the funnel is a complete stranger to your product. So you need to warm them up about your brand without being too strong or pushy. Keep the introduction videos short, informative and interesting. You need the audience engaged to get them to buy your product. Facebook optimizes the campaign according to what your aim is. If your object is to convert people, Facebook will show ads targeted at conversions to the people who are most likely to convert. Likewise, video ads are often pitched to people who like to watch videos. As stated, these ads exist to generate awareness about your product. At this stage, the audience viewing these ads is not looking to make a purchase from you. You are looking to turn strangers into prospects.

Step 4: Create a Middle-of-Funnel Campaign

A middle-of-funnel campaign is aimed at the audience that already has some knowledge of your product and brand. Your goal is to get this targeted audience to visit your website and start engaging with your brand. You are using these ads to turn prospects into leads.

Visual aids are the best possible tools to engage the custom audience. While setting up a middle-of-funnel campaign in the Ads Manager, it is advised to use videos and images that highlight your product and make it sell better. 

Name your campaign after setting up your Conversion Campaign objective. You need to set a budget based on the website visitors. Remember, the higher the budget, the higher the engagement.

Step 5: Create a Bottom-of-Funnel Campaign

A bottom-of-funnel campaign is targeted at closing the sales once the product has been viewed by the targeted audience. Sync your product catalog with Facebook to run dynamic product ads. Dynamic product ads are ads that show the exact product that customers showed interest in on your website. These ads help turn leads into customers.

Name your bottom-of-funnel campaign after you have created a new Facebook campaign with catalog sales as your objective.

The next step is to set up your Facebook Ad set and then design the Facebook ad creative.

Step 6: Set Up Remarketing Campaigns

Remarketing campaigns are focused on people who have already purchased from you, or have visited your website, but for some reason, have not finished their purchase. You want them to keep interacting with your brand. The past customers can be engaged by creating a middle-of-funnel campaign.

Keep past customers updated with any changes in your product. It is best to announce such updates in the conversion campaigns.

Create an ad campaign for the past purchasers after 60 days of the purchase and then introduce new ads targeting the audience after 180 days of their engagement. 

You can also focus your ads on customers whose product is about to run out, reminding them to buy from your brand once again.

Curious about retargeting? Read more about it here.

Driving Customers Through Your Facebook Sales Funnel 

Facebook Ad Funnel might work differently for different brands or advertisers. You must test and choose what works best for your brand.

Keep tabs on audience reaction to the ads from top-of-funnel to bottom-of-funnel. Keep creating variations and testing the ads again to get the best results. You may duplicate the ads that drive sales to help you earn more dollars.

The aim should be to keep the audience engaged, so innovation in ads is advised.

Facebook Ad Funnel is a powerful marketing strategy that helps you come up with the product that best resonates with your targeted audience. 

Frequently Asked Questions

Why is the marketing funnel important?

A marketing funnel helps you understand your audience better so you can introduce the right product to the right audience at the right time. It determines the way in which a product needs to be pitched to a group audience and how your brand should approach the lead.

What is the benefit of a sales funnel?

A sales funnel drives your sales effectively by helping you in identifying the leads. It makes it easier for you to convert these leads into sales and then keep track of the progress of the marketing campaigns.