How to Reduce the CPM in Your Facebook Conversion Ads and Maximize Your ROI

Abdulmalik Ghandoora
Hire Abdulmalik

How do you reduce the cost per mille (CPM) in your Facebook conversion ads and maximize your return on investment (ROI)? The general rule of thumb: the lower your CPM, the better your ROI. You need to be alert on your analytics to make game-changing adjustments. Furthermore, set up a campaign that helps lower your CPM.

In this article, we’ll go over some ways to help lower your CPM and maximize your ROI with Facebook advertising.

Why do you want to set a campaign plan before creating Facebook conversion ads? Because the costs of running Facebook ads can be very high if the campaign is not managed and done correctly.

But when done right, you can earn one of the highest ROIs across all other social channels. According to HubSpot, Facebook is the #1 social channel used by marketers with the highest return on investment.

So let’s get right into it. Here are 8 ways to reduce the CPM in your Facebook conversion ads to maximize your ROI:

1. Laser-Focused, Targeted Facebook Conversion Ads

If you want to reduce the CPM, then first, ensure your campaigns are targeted. The more narrow and focused your target audience, the better. It’s a well-known classic law in marketing. And it applies the same to online advertising.

Fortunately, Facebook allows you to target a very narrow audience for your campaign. You can target people based on demographics and interests.

Within those two categories, you have many options. They include things like gender, occupation, age, relationship status, education, location, personal interests, hobbies, lifestyle, etc.

Digital marketer and paid advertising specialist Steve Cross of iSynergy says, “Optimizing how you target and define your audience is the best and most efficient way for reducing CPM.”

So use those features when running Facebook ads. That way, your ads will have a tremendous chance to earn more engagement from an ideal audience within your market. As a result, it will help you maximize your Facebook conversion ads ROI.

Now, most Facebook marketers ask this question: “How does targeted Facebook conversion ads help lower the CPM?”

Great question, and the answer is you have to look at the relevance score. And that’s coming up next.

High Relevance Score = Low Facebook Ads CPM

If you’re not familiar with Facebook’s relevance score, it's a score Facebook sets for your ads. The more clicks and positive engagements, the higher your relevance score.

The relevance score is graded on a scale of 1 to 10. As your relevance score increases, the CPM of your Facebook ads lowers.

Facebook explained it perfectly. “Understanding relevance scores helps advertisers lower the cost of reaching people. Put simply, the higher an ad’s relevance score is, the less it will cost to be delivered.”

Here’s the thing. If you want a good relevance score, then consider segmenting your audience. That way, you can run targeted Facebook conversion ads to those specific segments of people.

For example, let’s say you’re running an ad that’s selling quality cooking products to chefs and cooks in Paris. It’s safe to say that Facebook will probably give you a high relevance score for that ad.

But if you run that ad generically to random family members in Paris, you might get a lower relevance score.

2. Keep Your Eyes Open on the Frequency

Facebook ad frequency notes how many times the average person saw your ad within your target audience. For example, an ad frequency of 4 means the average person within your target audience encountered your ad 4 times.

This doesn’t mean that everyone within your target audience has seen your ad 4 times. For some, maybe they saw it more than that, others maybe less. It’s an average number. And you want to keep that number as low as possible.

Why is that? When the same target audience sees your ad again and again and isn’t taking action—that means they don't find the ad compelling.

Facebook will see that as evidence that your ad is irrelevant to your target audience. That's going to damage your ad relevance score. When that happens, expect CPM in your Facebook conversion ads to go up.

As a safety rule, check your analytics and keep your frequency as low as possible. Once it starts to rise, it's reasonably best to consider changing the ad or pull it all together.

3. Use Eye-Catching Pictures

Remember, the more engagement, the lower the CPM in your Facebook conversion ads. Facebook ad’s copy texts look the same, especially if you’re running the ad in the newsfeed.

So how can you make someone stop scrolling and engage with your ad? One of the ways to do that is with a compelling picture that stands out.

First, find or create a compelling image that correlates with your ad. Second, you want the picture to look professional. It’s going to be many people’s first impression of your company. Make sure it’s a great impression.

A tip to catch your audience’s attention: Use pictures that create curiosity or convey an emotion. For example, if you want your audience to feel responsible, then show a family picture. If want them to feel happy and glad to take the next step, show a happy picture.

And don’t forget to follow Facebook's recommendation and use an image that's 1,200 x 628 pixels.

Here’s the thing I don’t want you to miss. A lot of companies get their ads declined because they used excessive text on their images. According to Facebook’s advertising policies: “Excessive text in ad images may result in your ad reaching fewer people or not running at all. Try to use little or no image text when possible.”

4. Get It Right with Your Copy

Have you heard of these spam-emails where a millionaire tries to share his fortune with you? But there’s one condition. You have to pay a fee to get a piece of the pie.

How credible did you find it—besides the bizarre claim? Those emails usually are full of typos and written poorly.

Now imagine a prospect reading Facebook ad copy that has poor quality or a false claim. How will the prospects react? They might report the ad. And that will hurt the CPM. Even worse, the business might get their account banned.

You see, your copy should not have vague claims or promises. Instead, set clear expectations for the reader, so they know what they’re getting into. Nobody likes to feel misled. It should clearly state what the user can gain from your ad.

What’s more, help reduce your CPM in your Facebook conversion ads. Make the copy engaging and focused on your audience’s interests and goals. Talking about features and benefits is not enough in today’s marketing.

Because today’s buyer is more skeptical than ever before, they’ve seen and heard it all. A tip to earn their interest and trust is to tell a story they will resonate with. Then tie it to what you’re offering.

Or show them a problem and how your product is going to help solve that problem. This way, they’re more likely to engage with your post, and that reduces your CPM.

5. Use Facebook Ads for Remarketing

If you’ve been in the marketing world for a while, you’ll find out people usually don’t buy instantly. Sometimes it takes several tries to get prospects through the lower end of the sales funnel.

That’s why retargeting the same person with Facebook ads is a great idea. Keep them reading to learn more.

Fortunately, Facebook is an advocate of remarketing. This makes it easy to run ads that will have the potential to earn high engagement and increase your relevance score. Thus, you'll reduce the CPM in your Facebook conversion ads.

If you’re unfamiliar with remarketing (retargeting): It’s a way to reach prospects after they’ve already shown an interest in your company. This applies to website visitors, for example.

What you want to do is have a Facebook Pixel. This is a code that you put onto your website so that you get insights on your visitors.

It tells you who your visitors are, and can provide you with information on their Facebook page. Furthermore, it enables you to retarget previous visitors on your website using Facebook ads.

For example, let’s say someone visited your website today. But that person left without taking action. They are considered a warm lead. So the next step is to retarget the same person again with your Facebook conversion ads.

As an incentive, your Facebook conversion ads include a special discount code of 15% for a limited time. The prospect who visited your website sees the ad and might be impressed with the offer.

The chances of that person taking action are maximized. And that’s how remarketing using Facebook ads helps you save costs in your advertisement.

6. Show Social Proof

Social proof can be used in any advertising campaign. But why is it a phenomenal idea to show social proof on your Facebook conversion ads?

Because ads with social proof are more persuasive and trustworthy. As a result, they get more engagement. And that helps to reduce your CPM and maximize ROI.

You can show social proof on Facebook conversion ads in multiple ways:

  • Testimonials from happy clients.

  • Show your awards and credentials.

  • Add a list of brands that used your product or service.

  • Mention an influencer's endorsement.

  • If you have a large following on social media—show it.

Companies and brands scream at consumers every day for their attention. There are so many sales messages thrown at the consumer daily.

That makes them more skeptical or very precise with their buying decision. But with the use of social proof, you can turn the barrier of skepticism into dust.

7. Leverage Split Testing

Dear reader, the tips discussed here will probably work for you. However, some might not. That’s why you want to consider split testing.

You can test how effective your Facebook conversion ads are by simple A/B testing, also known as split testing. You split your target audience and test two Facebook ads against each other. It’s a powerful way to get insights into which content works better for a targeted audience.

After a specific time, check the analytics to see which version performed best. Then use the best ad out of the two and run it past your target audience.

Lucky for you, Facebook makes it easy to do split testing. Simply create a couple of ads within an ad set, and Facebook will divide your budget equally between them.

Here’s more on why split testing is important. It completely bypasses our assumptions as marketers. Multimillionaire entrepreneur Dan Lok said it best, “You don’t have to be a marketing genius. Your customer is the marketing genius who will tell you what they want, what they like, what they dislike, and what they’ll pay for.”

So you might think you have a great headline in your ad. But how do you know it’s compelling without battle-testing it?

If you want to reduce your CPM in your Facebook conversion ads, then split test. Try different images, ad copies, headlines, and even call-to-action (CTA) buttons. Then check your analytics later to see which performed better.

8. Add a Clear Call-to-Action (CTA)

A clear call-to-action helps your prospect to take the next step. In fact, you should always include CTAs in any advertising campaign. A confused mind doesn’t buy. Be their tour guide through the marketing funnel.

So, your hopes are high because you created a beautiful ad. However, if it’s without a CTA, your audience won't know what to do next. Your Facebook conversion ads should encourage your audience to take action now. This will help you to maximize your ROI.

Now, your call-to-action may vary depending on your business goals. Whether it is to buy, sign up, or watch a free webinar, it has to be clear.

One of the best ways to get people to engage with your ad is with a CTA button. Happily, Facebook gives you plenty of options.

Here are some of the CTA text choices available:

  • Sign Up

  • Book Now

  • Learn More

  • Shop Now

According to John Lincoln, CEO of Ignite Visibility, “There’s some anecdotal evidence that 'Learn More' CTA generates the highest click-through rate (CTR). That makes sense at face value because the other options include spending money or joining a mail list.”

So if you want to reduce the CPM, consider using the “Learn More” button on your ad. You can also test which type of call-to-action works for your audience.

Bonus Tip

According to Facebook for Business, one of the factors that may determine your CPM include when your ads are scheduled to run. They also give a great example: "Campaigns that run during a holiday or a major sporting event may cost more than campaigns that run during lower-traffic times of the year."


I’ll leave you with a couple of thoughts. Remember, the theme of the day is, the lower the CPM, the better your ROI. So consider using the 8 ways to reduce your CPM as mentioned in this article. When done right, it will help you to maximize your ROI and lower your costs.

Simply put, the 8 ways to help reduce your CPM in Facebook conversion ads to maximize your ROI are:

  • Create targeted campaigns for better engagement and a higher relevance score.

  • Keep an eye on the ad frequency.

  • Use compelling pictures for more engagement.

  • The copy should be engaging and clearly state what the reader gains from your ad.

  • Remarket to your prospects by leveraging Facebook Pixel.

  • Show social proof to earn their trust and loyalty.

  • Do simple A/B testing (split testing).

  • Add a clear CTA.

  • Bonus: Consider when to schedule your ads.

If you want to reduce the CPM in your Facebook conversion ads and maximize your ROI, you’re in good hands. We provide you with proven marketers and copywriters to help you with your Facebook campaign. If you’re interested, then contact us today. We’ll be happy to help you.

Abdulmalik Ghandoora

Abdulmalik Ghandoora is a pioneer experienced copywriter through Dan Lok™ Education Inc. He will live and breathe your brand, his role is to help you get consistent ROI-focused copy. He has the skill to influence, and inspire people to take action through well-put-together written words. Abdulmalik is also an SEO content writer. A certified inbound marketer.

Hire Abdulmalik

Ready to find the top Copywriters?

Get Started