When it comes to Facebook ads there are four different levels of engagement which indicate how well your advert is doing.

Here they are:

1) Entertainment

Entertainment is measured by page post engagements. If you’re getting likes, comments and shares then it means that people are amused, intrigued or entertained by the ad in a positive way.

However, most people that engage with your ad won’t click.

They are entertained by the product or service you’re selling, but they aren’t interested to learn more about it or purchase it for themselves.

A lot of people get some engagement on their ads but nobody clocks or adds the item to the cart. Don’t mistake your engagement as interest or buying intent, because it’s not. Ultimately, having engagement on your ad doesn’t mean your item is hot.

2) Interest

Interest is best measured by clicks.

If someone sees your ad and is interested to learn more about what you’re offering, they will click on the ad to receive price information, product specifications and more.

Clicks are an important first metric to determine if there’s an interest for your product or service, or if people are just entertained by it.

But that’s not all.

However, try and get your cost per click between $0.10-$0.50 in the English speaking market and between $0.03-0.20 when targeting Europe and other places where ad costs are cheaper. If you have a cost per click of $1 or more, that’s probably a red flag indicating lack of interest.

3) Buying Intent

Buying intent is best measured with add to carts. If someone clicks on your ad and adds the item to the cart, it means they have buying intent. They are interested and they actually want to own the item or service you’re offering. So they go ahead and add it to the cart.

Before you make your first sales from a particular ad set, add to carts are the most important indicator to look out for. If you’re getting a ton of engagement and clicks and no add to carts, that is a red flag.

Add to carts are a great sign that people want to own the item. It’s an indicator that your product or service is “hot” and in demand.

However, 80-90% of people will abandon the cart.

4) Purchases

Just because people add the item to the cart, doesn’t mean they’ll complete the checkout and purchase it. It’s totally normal that about 80-90% of people will abandon the cart and not buy the product.

So if you’re getting a ton of add to carts and nobody is buying, it means people have buying intent but something is holding them back.

Maybe you should offer additional payment options.

Or maybe you need to reduce the shipping costs or be more transparent about the delivery time and other things. Or maybe there’s something else on your site that’s killing conversions.

For 10 add to carts, you should be getting about one purchase.

Sometimes it’s more or less, depending on the market and what country you’re targeting, but make sure you have a decent ratio.

Only if all these four levels of Facebook ads engagement are present, it means your product and audience are proven. If you just have one or two of the levels on your ads, you gotta go back to the drawing board and find a better product and improve your targeting.

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Posted by Till Boadella

My marketing agency Nexilitas™ and I have helped bootstrap startups from zero to six figures a year, doubled, tripled and even quadrupled the revenue of established businesses and broke two industry records with product launches. I have a track record of successful marketing campaigns for clients in the fitness industry, health industry, permaculture industry, motorsport industry, music industry and many other retail branches. I've built campaigns for celebrities, large corporations and many experts and "gurus". Think of me as the mastermind pulling the strings behind the scenes. I've seen what works and what doesn't work in marketing and business. And now I'm drawing the curtains and revealing everything I learned, without sugar-coating or hiding the truth. Subscribe to the Till Boadella Show on YouTube and iTunes.

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