Todd Wasserman recently wrote on mashable, “There are a few dead simple ways to track ROI that don’t require a mixed media modeling program or a staff of math nerds.”
Here is our favorite from his list;
3. Conversion Measurement
Another new Facebook tool for measuring ROI is Conversion Measurement. Conversion Measurement lets advertisers track the behavior of people who click through an ad. If a customer clicks and then goes on your site to register, then you have proof that the ad was at least effective for that. Of course, the ideal scenario is when a customer clicks through an ad and then buys something on your site.
Baser says adding Conversion Measurement to your ads and webpages is as simple as cut and pasting a few lines of code. “Anybody who runs a website should be able to do it,” he says.
In theory, when used in conjunction with OptimizedCPM, another Facebook tool, you can use the conversion data to get a better idea of whom to target. For instance, Fab used that combo to cut its cost per new customer acquisition by 39%.