Facebook lead generation is one of the best ways to get leads for your business. With Facebook’s 3.04 billion monthly active users as of the last quarter of 2023, it is the biggest social network all over the world. This means that almost every business has an audience on the platform, making Facebook a platform of choice for marketers and advertisers.
As a business owner, you might wonder if Facebook Lead Ads really work and why you need to use Facebook as a lead generation platform.
So let’s review a few advantages of using Facebook lead generation for your business first.
Advantages of Using Facebook lead generation for your business
1. Facebook has a large target audience across various niches
In the third quarter of 2023, Meta announced a daily active user base of 3.14 billion across its key platforms (Facebook, WhatsApp, Instagram, or Messenger), marking a slight rise from the 3.07 billion reported in the previous quarter. Interestingly, approximately 48% of the total U.S. population uses Facebook.
2. Facebook offers high engagement to businesses
Over 90% of brands maintain a presence on Facebook. High engagement on Facebook will help you reach more people and increase customer loyalty. And after seeing a product or service in a Facebook Story, 58% of Facebook users proceed to explore the brand’s website for additional information. Also, a notable 31% of users indicate that they visit a physical store to personally investigate the business.
3. Facebook Ads produce great results
4. Facebook makes it easy for businesses to reach both desktop and mobile users
Over 80% of active users’ accounts worldwide accessed Facebook via mobile devices.
How does Facebook lead generation work?
Facebook Lead Ads are a convenient and effective way for businesses to gather information from potential customers directly on Facebook. Lead Ads are also one of the best lead-generation tools of all time, especially for targeting mobile users. By allowing users to interact with the ad effortlessly, they are much more likely to provide their information quickly.
But how do Facebook Lead Ads work?
For starters, when users tap on an ad, they are shown a pre-populated form. This form is filled with their Facebook contact information. So, to share their information, all they have to do is click submit.
You can create and manage your Lead Ads within the Meta Ads Manager. This is where you’ll also find your audience lists, conversion data, and a whole lot of other tools that let you have seamless control over your advertising campaigns, including budgeting and scheduling.
Lead Ads are customizable. In addition to the ability to customize the form, you can design the perfect ad with various elements, such as descriptive text, videos, and images. And the perfect ad helps in creating more engaging content that can lead to higher conversion rates.
Speaking of creating a solid engagement, you can also use Facebook’s extensive targeting features to reach specific demographics or audiences with particular interests. This helps direct your ads to the most relevant audience, and so increases your odds of generating quality leads.
For users, interacting with a Lead Ad is similar to engaging with a standard link ad. The main difference is that clicking on a Lead Ad takes them to a form instead of a website landing page. This minimizes friction and channels your efforts as an advertiser to capture more leads.
Can Facebook generate leads for my business?
Absolutely! Facebook can generate leads for your business using Lead Ads. But what this powerful tool is most effective for is helping businesses understand and connect with their audience. Are you wondering: can Facebook generate leads for my business? If yes, here are some ways Facebook can support your brand:
Facebook Lead Ads help you understand your audience.
Facebook Lead Ads allow you to directly engage with your audience through the most ancient device for creating dialog: asking them questions. This can be more effective than relying solely on customer data, since it provides real-time insights.
You can also use these ads to conduct market research by asking questions relevant to your business. This allows you to gather valuable information about consumer preferences, trends, and feedback.
You can collect customer feedback using a Lead Ad campaign.
These ads are the perfect medium for customers to give feedback. Then, you can use this data to improve products or services and tailor them to meet customer needs.
Facebook Lead Ads are designed to help increase conversions.
Facebook’s robust targeting options let you reach specific segments of your audience. The result is higher-quality leads at lower costs.
Additionally, tailoring the lead forms to ask the right questions means higher conversions. You can capture the specific information that is most valuable for your business and most relevant to your audience.
Does Facebook Lead Ads work?
Case studies are often considered one of the best methods to understand a topic. So here are some case studies to demonstrate: how and why do Facebook Ads drive leads for businesses?
Entrepreneurial instructor, Sarah Turner
Sarah Turner is an entrepreneurial mentor and copywriter, who successfully harnessed the power of Facebook Lead Ads to optimize her advertising strategy. She used innovative testing methods that compared the effectiveness of different ad creatives and lead generation approaches.
This strategic experimentation led to significant results:
- 2X lower cost per lead with Facebook Lead Ads compared to traditional website lead forms.
- Cost reduction by half with the most effective ad creative compared to the least effective one.
Turner’s approach underlines the influence that targeted and well-tested Facebook Lead Ads have on the costs and efficiency of digital marketing campaigns.
Another case belongs to Arise Solar, an Australian leader in solar-powered energy solutions. The company started a campaign to boost lead generation while maintaining budget efficiency.
The campaign showcased different photo ads, some featuring their brand ambassador, a notable sports player, and others highlighting financing options. In its design, they used a mix of website traffic and lead generation objectives. Some ads were directed to Arise Solar’s website, and others to a pre-filled contact form on Facebook.
The results of Arise Solar’s winter campaign, driven by Facebook’s best practices, were impressive:
- 7.7-point lift in standard ad recall.
- 4.8-point lift in standard brand awareness.
- 2.1-point lift in action intent, specifically in submitting a contact form.
This approach enhanced Arise Solar’s brand awareness and lead generation, while effectively increasing its engagement with a more relevant audience.
Acuvue Korea launched the Acuvue Moist Multifocal lens in South Korea with a focus on lead generation through Facebook and Instagram Lead Ads with instant forms. The campaign was designed to boost product awareness and encourage bookings at optical shops.
The company conducted a Meta A/B test comparing traditional Lead Ads with a combination of instant forms. The campaign’s results were impressive:
- 78% more leads with the combined campaign compared to traditional lead ads alone.
- 44% lower cost per lead for the combined campaign.
- 1.8X higher click-through rate for the combined campaign.
This is another testament to the effectiveness of instant forms in lead ads.
Facebook lead generation campaign cost
The cost of a Facebook lead generation campaign really depends on a few factors:
- Target audience: Demographics, interests, and location make some audiences more competitive (and therefore more expensive) than others.
- Ad quality and relevance: More relevant ads often lead to lower costs because Facebook rewards valuable content.
- Bidding strategy and budget: The bid strategy (e.g., cost per click, cost per lead) and the overall budget will impact the cost.
- Industry: Industries have varying levels of competition on Facebook, of course, with varying costs.
- Time of year: Advertising costs can fluctuate throughout the year.
- Ad placement: Ads placed in high-traffic areas cost more than those placed in less visible locations.
- Campaign duration and frequency: How long and how often your ads are shown can also influence the cost.
That said, let’s look at some numbers. The average cost for a lead on Facebook across different industries is roughly $19.68. Facebook Lead Ads come in at an average cost-per-action of about $17.98, with a conversion rate of 12.54%.
This is in contrast to campaigns directing users to a landing page, which usually see a conversion rate of 10.47% with a cost per action of $13.26. So, it seems that while you might pay a bit more for Facebook Lead Ads, they generally tend to deliver better conversion rates. Want to stay on top of your Facebook advertising finances? Discover more about Facebook Roas here.
Frequently asked question
Why do Facebook Ads drive leads for business?
The effectiveness of Facebook Ads is largely due to their advanced audience targeting options, the extensive number of users on the platform, and the depth of analytical data provided.
When brands couple these features with a solid strategy and consistent experimentation, they often find that Facebook Ads can bring in a notable return on investment. What makes them a low-friction method is that Interested prospects can easily provide their contact details right on Facebook.
Can you retarget people who engage on Facebook Lead Ad?
At the heart of retargeting on Facebook is Custom Audiences. You can manually create this audience using a list of customer names and details. Alternatively, you can use your pixel or SDK for a more automated approach. This allows you to add individuals to your custom audience based on specific actions they’ve taken.
The idea is to focus on the targets you’re most interested in as accurately as possible. One way to increase this precision is by streamlining your data management processes. You can do this by connecting your CRM audiences to Facebook custom audiences through LeadsBridge
How to automate Facebook lead generation forms?
Automated data bridges are the go-to method for streamlining the process of transferring data from Facebook lead generation forms to other business systems (such as CRMs or email marketing tools). Automating this process allows businesses to ensure timely and efficient handling of lead data, reduce manual errors, and speed up follow-ups.
As an official Meta partner, LeadsBridge presents a plethora of Facebook Lead Ads integrations with all the top marketing tools. These seamless integration solutions sync lead information captured through Facebook forms with your business systems in real time.
In response, you can engage immediately with your potential customers and boost your lead management strategies. Learn how to connect Facebook Lead Ads to your favorite marketing platform with LeadsBridge.
Facebook lead generation ads are one of the best ways to generate consistent leads for your business. With Facebook’s 3.04 billion active monthly users, a good advertising strategy, you should be able to get targeted leads to grow your business. However, you can stay ahead of competition by adding automation to the mix by using Leadsbridge integrations. These data bridges allow you to automatically funnel your leads from Facebook to your favorite CRM.
Considering all that we discussed, would you say that Facebook Lead Ads work?
For one thing, the case studies above showed that Facebook Lead Ads really get results. If you have not been using Facebook Leads Ads for your business, you are leaving money on the table. Now is the right time to advertise your products or service using Facebook Lead Ads.