Facebook PPC to find sellers?

34 Replies

I was thinking about testing some FB ads, using some "we buy houses for cash" type messaging. I'm curious if anyone else has tested this and seen any notable results?

I am currently doing some Bing PPC and doing ok, but havent tried facebook yet.   I am curious to see of Facebook PPC is that effective.  

@Thomas Fortune  @Gerald Harris  In my experience Facebook PPC has been a waste of money. You need to have a decent sized budget to reach the people you need to reach. With that said this is just my experience..I'm sure people are doing ok with it. I know a few people who I market for have gotten some leads through it but it's been spendy. Google Adsense is more effective. 

If you have cash, the sellers will find you.


Joe Gore

@Tim Leslie - That's what I assumed. While there are a ton of targeting parameters with FB, none seem to be particularly in line with how I'd typically target direct mail, etc.

@Joe Gore - I wish it was that easy :)

@Tim Leslie

Hey Tim.   Google adsense or adwords?    PPC is new to me

@Gerald Harris  I apologize I meant Adwords..not Adsense. I personally haven't had much luck with it...I've gotten some traffic to my site but that's about it. With that said I don't have the large budget other companies have to really benefit from it. I'm only spending about $15-$20 a day. 

Hey Tim

That's a great budget.   That is about my budget $15 to $20 per day!

@Thomas Fortune   this link should help answer your question about Facebook advertising.  It really depends on your business model.  My score was 7.5 out of 10.  Please get back to me in the thread, I'd be curious to see what your score is.

I just completed a short test of Facebook (FB) advertising to see if I could drive leads for a single city.  I targeted "Arlington, TX", 30+ yrs old, "homeowners",  & "likely to sell" (which is everyone FB thinks has not moved recently - i.e., most people...).

Ran a $5/day test for 20 days - let's  look at that $100 and see what I got for it:

Impressions = 3,995
Clicks to site = 31
Cost per click = $3.20
Motivated sellers = 0

You can generally get a lower cost per click and WAY HIGHER conversion rate with PPC.  People on Google are LOOKING for you.  People on Facebook just SEE you - very different INTENT behind the 2 users.  FB clickers are curious.  Google (/Bing) users are serious.

I'm not giving up on FB - I kind of see it as a modern alternative to running newspapers ads.  With sufficient volume, it could drive awareness and response.  But there is NO COMPARISON of FB to PPC.  PPC is far more effective dollar for dollar.

I did that to find investors.  I spent about $250 and got about 225 people to "like" my investor page and of them about 60 actually visited my site and filled in my investor form.

@Dev Horn  - you've hit the nail on the head. I wouldn't expect FB to out-perform search advertising because it's "push" marketing instead of "pull" marketing.

But what happens when you've maxed out the potential of Google or Bing? The potential to leverage search marketing is limited to the volume of searches being done for the keywords you are targeting. Sometimes you simply can't spend more money to get more clicks in search....because there's a finite number of people searching for the keywords you are targeting.

So if you want to scale your budget up on the online marketing side, what's the next best bet outside of search? Is facebook an option (despite being less effective than search) that can still deliver a reasonable return?

Your $100 test is very interesting...and probably what I would have guessed. What makes me curious in, what might happen if an investor spent $1K instead of just $100???

Man,  @Thomas Fortune  - I totally hear where you are coming from!  You reach a point with PPC where you can't spend more because there are no more clicks to buy UNLESS you broaden your keywords which will kill your lead quality!

I'm now running a FB campaign in a California market with a $500/month budget - but we can't spend that much $ in 30 days in the 2 cities that we are targeting!  But I'll get a lot better picture.

We're also running some YouTube (In-Stream) tests - $300/mo. budget here in my city (Arlington TX) and $500 budget in the CA market mentioned above (just using a generic 30-second TV spot).  There are way more impressions available for the same geo area in YouTube as compared to FB, at least in these tests.

My current concern with both FB and YouTube is I have no idea if their geo targeting really works on areas smaller than a county.  They claim you can run your ads just to people in a city, but I have to question how accurate that really is.  How could you prove it (accurate city targeting) either way?  You just have to trust that they have it figured out and see if the results prove the case.

It's hard to put a dollar value on the # of impressions you are getting when you run a FB ad, even if they aren't clicking through. It's very similiar to the old school forum advertising, where you paid for so many banner ad impressions. I figure it's better to cast an uncertain net then not to cast one at all.

@Dev Horn - This is an old thread, but how did you FB campaign go?  I started one, and I get quite a bit of website clicks but no converted leads yet.  Was wondering how your ad went?

thanks

Facebook is indeed a terrible investment for RE investors looking for motivated sellers.  Any DISPLAY advertising is a crappy deal, including YouTube.  If you are MAX'ING OUT your Google AdWords (search), then maybe think of those things to extend your branding and offer but your ROI on display will not be good. 

What does work with FB is the actual thing it was made for - social marketing.  People love to see the progress of your rehab(s), they love to see before and after shots of bathrooms and kitchens, they love to hear about a new rental property or house you have to for sale.  For all that stuff we mainly just POST (free) and sometimes BOOST the posts (paid).  Those paid boosts are good to generate more page followers.

I don't think Facebook offers much value for wholesalers who simply post "I will pay cash for your house as-is" over and over.  But for those involved in buying, fixing, and selling houses, it can help to drive awareness and engagement.

@Dev Horn - Thanks for the feedback, I appreciate it.  

@Phil B. Creative marketing for investors... but dangerous since the Jobs act and SEC 506 exemptions don't allow anonymous soliciting investments unless you've done an A+ filing, or there is one 506 SEC exemption that allows advertising..

It all goes well until there's a blow up and a lender makes a few calls to the state SEC etc.   So as long as no complaints then you are ok...  :)

I've been unsuccessful for years on Facebook but I am determined to make it work. I feel like if people will call a TV ad they surely will call or click an Ad on FB. We do have much better luck with Google and Bing PPC.

Originally posted by @Curt Smith :

@Phil B. Creative marketing for investors... but dangerous since the Jobs act and SEC 506 exemptions don't allow anonymous soliciting investments unless you've done an A+ filing, or there is one 506 SEC exemption that allows advertising..

It all goes well until there's a blow up and a lender makes a few calls to the state SEC etc.   So as long as no complaints then you are ok...  :)

 I wasn't soliciting investors.  I was soliciting people interested in my free newsletter subscription.  ;-)

@Brad Chandler

Not adding any revelation here.. but from looking over my wife's shoulder maybe FB has fostered a "mindless"ness that the bulk of the eyeballs just aren't the sellers or have switched mindsets to not be thinking "important financial decision" needs to be made.

LOL.  Hmmmmm

BTW linkedin sells PPC.  Definately smart and probably brain's turned on mindset there.  Maybe switch from FB to linkedin PPC.

Impressions are a great way to create name recognition. Adroll is really inexpensive and will show up on sites people visit AFTER they have visited your website. It's an incredibly effective way to make your brand visible - almost like sending a postcard each time someone happens upon another website that is running Adroll. Facebook is great for interacting with your fans, but that's about it. If, and it's a big if, you can get your fans to visit your website and stay there for an extended period of time, it can help your search engine result page ranking. But there are too many unknowns with Facebook PPC. If you are doing any Facebook advertising, I would stick to impressions. And certainly look into Adroll.

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@Craig Norris Thanks for the advice.  We are marketing to potential sellers on there now so we will see how it goes.  So far I've had about 30 leads but no conversion yet.  The ones I know doing say they need 80 leads to convert one.  I will let it run for a few months and see how it goes.  Cost per click is only $0.25 where Google adwards is 10-20x that number.  

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