I've worked with several businesses over the years, and spoken to even more Entrepreneurs. Here's the top 5 mistakes I commonly see that will helpfully help you on your mission to becoming a Facebook ads expert.
#5. Inventory management
This relates more towards the operational side of your business, but once you've found the winning product on Facebook, you need to get it ordered in. Don't spend £100's advertising a product you only have 20 in stock of, because once your data has built up, it will be too late and you'll need to kill the ad.
Solution: Only advertise products you can afford to buy large amounts of in quick turnarounds, or be able to drop-ship.
#4. Ad set attachment
Ad set attachment. You spend all afternoon working on an ad, after being inspired by the next up-and-coming Drop-shipping Guru on YouTube. Your team all agree with you, it's an awesome ad. You go ahead and upload it into Facebook Ads Manager, create a couple of Ad Sets using your usual winning audiences and off to review it goes.
You check back 24 hours later, and notice it's barely getting any web view contents and it's already spent £20! This can't be, so you duplicate it again and tweak the audience, another £20 is gone, now your -£40, but you're positive the Ad is working so you plough on.
Sometimes, the best designed ads can still fall flat on their face - it could be for a number of reasons such as algorithmic reasons (think text percentage) or just product fatigue for the audience you're advertising to.
Solution: My advice is, once you go past the profit per purchase, you should kill the ad and start over. Always try to make your ads in this mercenary manner.
#3. Killing Ads too early (on low budget ads)
So you've set up your £5 a day ads. Two days go by and you've only had 1 measly sale giving you just enough to break even, not enough clicks so you kill the ad.
Here's the thing, if your audience is 250,000 for example, and you're only spending £5 a day, you might only be reaching 1,000 of those. So it'd take you 250 days (Quick maths!) to reach all of them, assuming your CPM stays low enough. A lot can change within 250 days, especially ecommerce trends. The point here is, low budget as can be almost like rolling a dice, you've got a 1/250 chance each day of getting that 1,000 audience that contains the person who wants to purchase your product.
Solution: Create your adsets and try not to check them for at least 48 hours, even at £5 adsets this is a push but it can give enough data for you to know if it's going to work or not. As per my previous point, you should kill the ad if it's giving you a negative ROAS (Return on ad spend) and make a new.
#2. Not "Starting with Why"
Simon Sinek's "Start With Why" is definitely a must-read book for anyone in e-com (TED Talk here), as it breaks it down to the very core. Why does your customer need your product? Too often, I've seen entrepreneurs in Facebook groups and blogs questioning why their ad isn't converting. They've got nice product imagery and "Free Shipping" in the caption, it should be perfect right?
The common mistake is, as a store owner, you know everything about the product you're selling. You've spent countless hours researching and ordering this product (or designing it yourself) so you've already sold yourself on it.
You need to imagine you're the customer, imagine you've never saw it before. Tell a story, use emotion. This is why you'll often see guru's say "copy-writing is important", because telling that story is what's going to set you out from the rest.
#1. Placement Choice
Facebook will tell you something like "Your reach will be harmed if you only advertise on Stories" for example. True, you will lessen the reach by using single-placement ads, but depending on your target audience you can increase your ads value.
The best way to do this, is to think of your customer. Let's use an example of the Fashion industry - your typical 18-24 year old Female is pretty much guaranteed to spend more time in Instagram Stories than Facebook at all, I've even noticed a trend of the Instagram Feed as "Cba" territory in the past year or so.
This means if you spent £50 in ads purely in Stories, you're going to reach a lot more of your target audience. Going all out and blanketing your placements across feeds, marketplace, right column etc is just going to burn through your budget quicker.
Nug: I've actually seen 8x ROAS by using only Instagram stories with a similar demographic across multiple companies ads. However, it's key that the content is organic looking, has a swipe up CTA (use the stories app on your phone, export then upload) so it looks like it was made on the Instagram mobile app. This will reduce the skip rate of your ad. CPM seems to be lower in stories at the min, I predict it's due to the fact that you have to spend longer making the content rather than being able to use 'common' square or landscape formats (like you can on feeds)