How To Analyze Facebook Ads?

How can you calculate the impact of Facebook ads in driving the growth of your business? 

How would you know that your ad spends reaping a significantly positive ROI, or are you just wasting your resources on a marketing strategy that isn’t working for you?

To achieve success in any advertisement campaign, you need to track key social media metrics.

 In this article, we are highlighting some ways of analyzing your Facebook ads performance.

So let’s start.

Evaluate Reach and Impressions

Everyone knows that reach and impressions are two such matrices of Facebook ads that can help you check your ad’s performance.

With Reach and Impressions’ help, you can check how many people are reaching you and how many impressions are coming on that ad.

Now let me explain to you the process of checking the reach and impression of a post.

Go to your Facebook page.

There will be an option of insight above on your Facebook page.

Click on it.

Now an overview page will open.

It will tell you about your post’s reach and impressions, by which you will get to know that your Facebook Ad is working well or not.

Calculate Your Return on Ad Spend

Return on advertising is a marketing metric that measures the efficiency of digital marketing campaigns.

Return on advertising helps online business to tell whether the method that he/she is using to make their online business grow is right or not.

And if that method is correct, then how can he/she improve it more.

If you want to know that your ad is a successful campaign, check that your ad Return on Ad Spend is 4:1 or not.

If it is 4:1 or more, then your ad is a successful campaign.

Now let me tell you how you check Return on Ad Spend.

The formula for checking Return on Ad Spend is so simple.

Revenue ÷ Ad Spend = Return on Ad Spend.

This is how you can analyze your ads with Return on Ad Spend metric.

Monitor the Click-Through Rate

Click-through rate is the ratio of the number of users who have a particular connection to the total number of users viewing a ad, website, or email.

It is typically used for calculating the success and efficacy of Ad campaigns.

Your CTR calculates the efficiency and performance of your ads. This will show that your ads are essential for 1000 people who watched your ads, and up to 400 people clicked on them.

It does mean that you do something wrong when your ads are getting strong impressions with low CTR. Perhaps your ad copy is off, or your service is not sufficiently useful to encourage your clickers.

Now let me tell you how you can calculate CTR.

The method of calculating CTR is straightforward.

Facebook CTR = Clicks ÷ Impressions × 100

You need excellent ad copy and strong views to boost your CTR on Facebook to reach the right target audience.

Calculating ROI

Facebook ROI is what your business gets back of the time, money, and other assets you put on the platform to market social media. For everybody, the ROI is not the same.

Everyone pays money on the Facebook ad because they think someday they will get a Return Of Investment (ROI) from that ad in which they invested their money.

Now let me tell you how you can calculate the ROI of your Facebook ads.

The method of calculating ROI is straightforward.

Check the total revenue that your ad generated.

Check the total money you spend on that ad.

Now use the formula to check ROI.

The total revenue that your ad generated ÷ Total money you spend on that ad = ROI

If your ad’s ROI comes higher than your ad is performing well. Never forget to check and improve it.

Check CPC

CPC represents the cost per click

It generally shows the average no. of times an advertiser has clicked on an advertisement.

When anyone clicks on your ad and comes to your page, then CPC charges for it.

Along with this, CPC can help you to check whether your ad is performing well or not.

It will tell you how many users are clicking on your ad and they are converting or not.

So, you can use CPC to check the performance of your ad.

Just check how much is your ad’s CPC.

If it is low and you are getting good conversion that’s good.

If your CPC is too high then you need to change something.

Number of Page Likes and Follows

So whatever kind of ads we post on Facebook, there are some likes and share left in it.

With this, if we posted an ad, then our Facebook page also gain some followers.

The better your ad will be, the more you will get likes, share and followers on your Facebook page.

So if you want to find out if your ad is doing good or not, please check your ad’s like, share and also see how much followers you got on your Facebook page through that ad.

Let me tell how you can check that how many likes and followers you got from the ad you posted.

Open your Facebook App.

Go to your Ad Manager.

Search for the ad you are looking for.

After the search ends, click on that ad.

See the overview of that ad.

You can check how much like share and followers you are getting through that ad.

If you are getting adequate amounts of likes, shares, and follow-ups, your ad performs well.

Calculate Your Bounce Rates

Let’s assume that you got your target audience through your Facebook, and now a lot of traffic is coming to your website.

But it is also essential to note down how long your target audience stays on your website.

If your target audience stays on your website for a long time and your target audience browsed your website for a long time, then your bounce rate will be high.

But if that your target audience comes to your website and stays only for a few seconds on your website, your bounce rate will be low.

If your bounce rate is high, then it means that your ad is performing well.

Now let me tell you how you can calculate the bounce rate.

Check your total number of page visits.

Check your total number of entries to a website.

Now use this formula to calculate the bounce rate.

Total number of one-page visits ÷ Total number of entries to a website = Bounce Rate

If your bounce rate is 56 to 70 %, then your bounce rate is good.

Calculate Conversion Rates

You can end up paying heavily for your leads and sales, even to the point of getting out of business. Conversion rates are something you cannot ignore.

The most important metric to analyze the Facebook ad is the metric called conversion rates.

The conversion rates can very quickly tell you whether your ad is performing well or not.

If your conversion rate is 5% or more then your ad is performing well, but if the conversion rate is less, then your ad is not performing well.

Now let me tell you how can you calculate conversation rates.

Use this formula to calculate conversation rates.

Conversion rate = Conversions ÷ Total visitors x 100%

Researches shows, your conversion rates should be 9.21% or more.

Track referral Traffic

Google Analytics is a tool that many online business owners use.

It is so simple to use, and it can also help you to analyze your ad’s performance.

Because with the help of the Google Analytics tool, you can track referral traffic.

By tracking referral traffic, you will know everything, how many people have click on your ad.

Also, you will get to know how many people went to your website through your ad.

Now let me tell you how you can use Google Analytics tools to track refferal.

Go and login to Google Analytics.

Click on traffic.

Click on the source.

Click on Referrals.

Now go to the search bar.

Search Facebook in that search bar.

After the search ends, you can check your referrals.

By knowing refferal traffic you can easily know the exact amount of traffic you are getting from your Facebook ad. Also with advance data you can know that how are they behaving on your website.


As you all know, analyzing Facebook ads is very important, I shared some important factors which you should definitely analyze to get most out of your facebook ads.