So, you're in Ads Manager and you're ready to set up a new Facebook advertising campaign. The most important first step is to decide what your objective is. This is crucial so the Facebook algorithm understands what your aim is for your advertising and can help deliver your ads to the right people.
There are three main areas that could be compared to a basic sales funnel: Awareness, Consideration and Conversion. There are lots of options to choose within these but here we'll just tell you about the most important.
Facebook shows your advert to as many people as possible.
Brand Awareness - only really for big companies who track with a third party
Reach - this is blanket marketing and can be a useful option for a small business targeting a specific local area
Facebook shows your ad to those people most likely to take the action you want.
Traffic - Facebook will show your ads to the people most likely to click through to your website
Engagement - Facebook will show your ads to those people most inclined to Like, Comment or Share your post. This is a great way of gaining 'social proof' for your audience or increasing your Page Likes
App Installs - send people to the app store where they can download your app
Video Views - promote your videos
Lead Generation - this is a useful option where your business can gather information about people who are interested in your business with an in-built form
Messages - get more people to have conversations in Messenger with your business
Facebook shows your ad to those people most likely to actually convert into a sale or a lead for your business.
Conversions - getting people to make purchases or become a lead
Catalogue Sales - only if you have a large product range
Store Traffic - only for bigger companies with multiple stores
Remember that the conversion objectives are the most expensive and you'll need a large audience size if you're going out cold to give Facebook the best chance of finding these action takers. However, the conversion objective can still be effective on small audiences as long as they're warm and already know you and have some brand association.
To define your audiences see What are audiences for Facebook Advertising.