I’m sure you know the term “you need to spend money to make money,” right?

(Right.)

And, here’s the thing: you know this term because it’s (mostly) true. However, I’d like to reframe it to this: you need to spend money to make money, but you can spend less money to make more money AND you can spend your money to make money well.

Say that 10 times fast, yeah?!

See, as a Facebook ads strategist, I KNOW that spending money can make you tenfold on your investment… and quickly. However, at the same time, I think you can (and should) maximize every dollar you’re spending. I never, ever believe that you should just throw money at a problem — instead, I believe that you should be strategic and thoughtful with each investment you’re making… and that goes for Facebook ads, too.

Enter: your cost-per-lead (CPL)

One of the best ways to do this is by optimizing your cost-per-lead — also known as your CPL. This figure points to the amount of money you’re spending in order to get a lead for your business. Ideally, you want that number as low as possible.

Let’s take a $100/day ads budget. In 1 example, let’s say you have a CPL of $3. That means that, each day, you’re getting around 33 leads.

But, let’s say that on another campaign, you’re averaging 14 leads a day — around $7 per lead.

Or, let’s say you’re averaging $10 a day… or 10 per lead. 

I’m sure you can immediately pick up on the CPL you’d prefer, right? Right.

So, here’s how to start optimizing your ad spend to get more leads for a lower cost. 

3 ways to boost your cost-per-lead (CPL)

1. Do a LOT of testing: If you’ve been around here for awhile, you know I love testing… and there are a lot of reasons for this. Testing different creative (copy and image/video), CTAs, and targeting can make all the difference in the world in figuring out what’s aligning with your audience and what isn’t. By testing your ads in a variety of forms, you can quickly see what’s resonating… and then optimize it.
2. Refine your targeting (and, surprise… test it!): Making sure you’re targeting the right audience is arguably the most important piece of the puzzle when it comes to optimizing your CPL. After all, if you’re not targeting the right people, you’re diluting potential solid leads. If you’re running your ad campaigns solo, get detailed with optimizing your demographics, interests, behaviors, and custom audience opportunities. You can test different segments to see which are giving you a lower CPL (and a higher quality lead).

Psst… want bonus points? Utilize Lookalike Audiences. These reach Facebook users who are similar to your existing leads, and it can be a great way to improve your lead pool and your CPL.

3. Optimize your landing pages: Likely, your ads are pointing to some sort of landing page; but this is really often the place that your audience — AKA those potential leads — gets lost in the sauce. Make sure that your landing page is well-written, well-designed, and built to perform well on both mobile and web. Then, make sure that you’re accurately representing what’s on your ads on your landing pages, and vice versa. Confusing your audience never builds trust, and it will likely cause you to lose leads. 

—

When it comes to improving your CPL, those are some quick, easy-to-implement tips that will get you started on the right track. However, here are a few things to remember: ad optimization is a holistic strategy, and there’s never a one-size-fits-all approach or an immediate fix. Things do take a while, but with the right approach they will pay off! 

And, as always, keep a close eye on your data. Adjust your scheduling and targeting as the data tells you to, and be fluid with your approach when you can. 

You’ve got this, my friend.