Paid Facebook ad metrics for SaaS

A collection of insights to understand the metrics that matter for your SaaS business.

Cost per result

Cost per result indicates your campaign’s efficiency in achieving its goals. It is useful for comparing performance across different campaigns and identifying areas for improvement.

This metric can help you determine a bid for your future ads.

screenshot of the fb ads reporting window for cost per result
screenshot of the fb ads reporting window for number of impressions

Ad impressions

This metric tells you how many times your ad was viewed. 

It is essential to monitor this metric during an awareness campaign to determine your brand's exposure.

Ad frequency

This metric tells you how many times your ad was viewed, on average, by an individual.

If you are running an awareness campaign, increasing the frequency  will improve recall. If you are running a conversion campaign, you should lower this rate to avoid annoying disinterested customers.

screenshot of the fb ads reporting window for cost per result
screenshot of the fb ads reporting window for link clicks

Link clicks

When  someone engages with your Facebook ad, there is an assumed interest in what the ad is promoting.

Therefore, link clicks can be used to gauge your audience’s interest in your ad.

Extra advice: If your clicks are high, but your conversion is low, make sure that your landing page is working properly. Also, make sure that the messaging on the landing page matches the one on your ad creatives.

Unique outbound CTR (Click through rate)

Unique outbound CTR (click through rate) measures how often people who view an ad end up clicking on an outbound link.

Split testing can help you determine an appropriate CTR for your campaign by comparing performance across different campaigns.

Extra advice:  Although many contributing factors impact this metric, if you struggle with low CTR, the first thing you should check is your audience targeting and creatives.
screenshot of the fb ads reporting window for unique outbound CTR
screenshot of the fb ads reporting window for cost per unique outbound click

Cost per unique
outbound click

The cost per unique outbound click shows how much, on average, each outbound link click costs you. For example, if your campaign generated 100 clicks at $2 unique outbound click, you would pay $200.

This metric becomes important under a conversion campaign that aims to drive revenue for a particular action (purchase, download, sign up).

Cost Per Thousand Impressions (CPM)

A $2 CPM means you pay $2 for every 1,000 impressions on your ad.

You should care about this metric, if you are running an awareness or brand engagement campaign.

Extra advice: A high CPM can mean that you have a weak campaign and your ad is not relevant for the targeted audience. However, be careful when analyzing this metric, since its results may be impacted by the 2021 iOS 14 update.
screenshot of the fb ads reporting window for cost per impressions
screenshot of the fb ads reporting window for number of conversions

Cost per conversions

This metric tells you how much you are paying for each lead or sale. 

For example, if a Facebook ad costs $100 and successfully converts 2 people, the  cost per conversion is $50.

It is up to you to determine if this is a good cost per conversion or not. However, you should always aim to decrease this cost by improving the quality of your ads.

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