April 4, 2020
6 Facebook Ad Tips for Aliexpress Dropshipping Stores

6 Facebook Ad Tips for Aliexpress Dropshipping Stores

Sarah: Hey, guys. In this video, I’m gonna give you six tips
for advertising on Facebook when promoting your AliExpress dropshipping store. These tips are gonna help you increase your
sales, your engagement, and your conversion rates, and they’re gonna help you make more
money. And I have a special guest with me on this
video today, my personal friend, Fred Lam. He is an expert at creating profitable Facebook
advertising campaigns for AliExpress dropshipping stores. He’s made millions of dollars with his dropshipping
stores and he also spends thousands of dollars a day on his Facebook advertising campaigns. So I’m really glad to have someone with so
much expertise with me on this video today. And Fred has actually been on our channel
before, in our video, “10 Tips for Selling Online and Dropshipping” and I’ll have a link
to that video in the description below. All right, let’s jump straight into it. Tip number one, spy on your competitor’s ads
for free using the search bar. When it comes to online marketing, one of
the easiest ways to see what works is looking at what is working for your competitors. After all, if they have found a product that
is profitable, then obviously, if that product is promoted right, it can make money. And if they have an ad that they are continuously
running, then there is a really good chance that that ad is earning them money, which
means that there are a lot of lessons that you can learn from it. Now, there are paid tools to help you spy
on your competitors and these are awesome but if you’re just starting out and your budget
is low, you can do it for free. Let me switch over to my computer and show
you exactly how to do this. All right. All you’ve got to do is come to Facebook and
type something like this in, making sure that you use the quotation marks like I am. You can replace free shipping with some other
type of pitch like 50% off and replace coffee cups with whatever your niche is. Then, click “Search.” As you can see, we’ve been given a list of
posts that include this text. I’m just going to click on this one, this
cat face cup. So this here is an ad that has clearly had
a fair amount of money spent on it and fondly enough, if you’re a regular from this channel,
you may actually recognize this item from my other videos. Now, this post has received a lot of likes,
comments, and shares so it’s very clear that a fair amount of money was spent when advertising
this post. And keep in mind, just because a lot of money
was spent on this ad doesn’t mean that there was necessarily a good ROI. The person may not be very good at running
ads or they may have just spent frivolously thinking that they were eventually going to
make it up. The truth is, you never quite know. Interestingly enough, I checked what they
were charging for it. Their price was a cool $29 and if we go to
AliExpress, you can see it’s only selling for roughly $6.50 once you take into account
ePacket for shipping. All right, let’s switch over to Fred so he
can give you our next tip. Fred: Hey, Fred Lam here. Now, for tip number two, on what you gotta
do when it comes to advertising on Facebook with AliExpress dropshipping is choosing the
right objective. Now, on Facebook, there’s a total of 11 different
objectives for you to choose from. There are a lot of rumors that you gotta use
pulse engagement, website click, but I gotta tell you, throw that all away and the only
objective that you need when you’re advertising an AliExpress product on Facebook is simply
website conversion. Now, let me take a step even further. Not just a typical website conversion, you
need to specifically choose a product conversion. Now, for any of you that want exponential
results, don’t just go with the purchase pixel. The best result is actually choose product-based
conversion. So, let’s say that you are selling a bracelet,
okay. When you’re selling a bracelet, make sure
that you go ahead and create a specific product conversion based on that bracelet. You want Facebook to actually find people
that will most likely buy that bracelet. So you want to create that conversion inside
your Facebook account. So simply ignore all the objective. Make sure you actually install your pixel
and make sure that when you set up your ad, choose website conversion and choose purchase,
all right? So that’s it for tip number two. Sarah: Tip number three, the higher your ad
budget, the better the buyers that you target. This is actually a tip that I learned from
Fred while I was taking his Zero Up coaching program and yes, I still do take training
programs. I’m constantly looking to upskill myself. So something that Facebook doesn’t really
advertise or tell you is that the more money that you spend on your ad campaign, the better
the buyers that you target. Now, this sounds really cynical but trust
me when I say that Facebook isn’t doing this to squeeze more money out of you. They’re actually doing this to help you. You see, not all Facebook users are equal. There are some people like me who are more
active. They go on daily, they engage more, and they
buy things. But not everybody is like that. It’s a bit of a cliché but think about people
who have grandparents that are on Facebook. These users tend to go on less, they have
a smaller amount of friends, they engage less, and they’re less likely to buy things because
they didn’t grow up with the internet in the same way that the millennial generation did. Now, I know that that’s not always the case. I’m sure that there are plenty of savvy grandmothers
and grandfathers that are watching this video so please don’t be offended by that. Now obviously, there is a sliding scale, right? You’ve got people like me on one extreme and
then you’ve got the grandmothers and the grandfathers that are not tech-savvy on the other. Well, because of the fact that I am more likely
to engage and respond to your ad, it costs a lot more money to have your ad put against
me because obviously, Facebook charges more for users like me. So when you start out with your $2 or your
$3 or your $5 a day ad budget, you’re probably gonna be targeting people that are in the
lower third of that sliding scale. And it’s not to punish you. It’s to help you not go over your daily budget. And then once you scale and you scale to about
$40 to $200 a day in your advertising budget, well, then you start to hit the people that
are in the middle third of that scale. And then once you start going over that $200
a day ad budget, well, then you’re suddenly gonna be hitting people in the upper third
of that sliding scale and your cpm is going to greatly increase as well. Ultimately, through testing, you’re gonna
find what Fred calls “the sweet spot.” It’s the ad budget that targets the right
group of users to maximize your profits. All right, let’s switch over to Fred so he
can give you our next tip. Fred: Don’t get penalized with audience overlap. So what that means…everyone will be like,
“What the heck is Fred talking about?” Well, here’s one thing. When you’re advertising a product, let’s say
you’re advertising a cat necklace and you’re going after the cat market. Now, if you actually have another asset that
is advertising to the cat market at the same time, you are gonna have two ads competing
against yourself so that’s what’s called audience overlap. You are basically advertising on Facebook
with two of your same audiences overlapping each other within your account. And when that happens, what’s gonna happen
is that Facebook will penalize you and your cpm will go right up the roof and basically,
it will be very, very hard for you to actually make profit from selling AliExpress product. So what you gotta do, make sure you use exclusions,
okay. So when you’re setting up an ad, you can actually
click on the button “Exclude” and exclude any interests that already have active ads
running in your account. By doing so, you are basically eliminating
and actually reducing your risk of getting audience overlap and the more audience overlap
you have, listen, you will pay a fortune and you will get penalized by Facebook for doing
that. So make sure, okay, you don’t advertise different
products to the same target audience. Make sure you actually exclude those audience
in your Facebook ads. Sarah: Tip number five, be aware of “forced
likes,” otherwise known as “likes by association.” So let’s say that you start an AliExpress
dropshipping store about coffee like I did in my Shopify tutorial. Well, you’ve created it and now you want to
run ads for your products. So you head over to Facebook, create your
ad, go to the targeting section, and type in the keyword coffee. Well, here is the thing. That phrase coffee is a very broad phrase
and it includes hundreds of millions of people, many of which will not actually like coffee. It seems crazy, right? I mean, why would Facebook include people
in their targeting for the word coffee if they don’t even like coffee? Well, it’s because of the fact that it’s a
broad phrase and it’s very easy to get included into it if you end up doing what is called
forced likes or likes by association. You see, on Facebook, we often end up interacting
with content that we don’t really care about because our friends are posting about it. So let’s say a good friend of yours posts
a picture of them in a café holding a cup of coffee and they say, “Having a great day. Relaxing with my favorite cup of coffee.” Now, you may hate coffee but you like your
friend and so you click like on their photo or maybe even you click heart. Well, now you’ve sent the signal to Facebook
that connects you to the word coffee and that there is called a forced like or a like by
association and they are rampant on Facebook. So it’s important then when you’re doing your
targeting to include precise keywords. Now, one way to do this is to look for long
tail keywords. Another way is to look for keywords that are
all in lowercase, then you know that that is a very targeted phrase. All right, let’s switch over to Fred so he
can give you our next tip. Fred: Let data tell you the story. I just can’t stress the importance of letting
data tell you if the product is selling or not. Now, by default, inside your Facebook reporting,
there are a lot of metrics that you can actually look at and by default, the ones that Facebook
shares with you are actually incorrect. What you gotta do is you gotta make sure you
customize your column and have four of these information. Number one is your cost per purchase. Number two is your cost per click link. Number three is your ctr link and number four
is basically your cpm. Now, here’s how these numbers play a major
role in your ads. Number one, you wanna find out if you’re actually
making profit or how much does it cost you in order for you to actually acquire a new
customer. So that’s why you wanna look at the cost per
purchase. You gotta make sure, okay, that your net profit
from the product, so less shipping, less cost of goods, is that it is higher than your cost
per purchase on Facebook. If it is, then congratulations, you’re gonna
make of a heck of a lot of money, all right. Now number two, sometimes when you’re running
the ads, you may just basically not have enough data to actually get a purchase. So what I would do is I would look at the
second piece of element which is the ctr link. Now, inside Facebook, there’s something called
the ctr all and the ctr link. The ctr all is something that you wanna ignore
because Facebook actually combines all the like, share, comment to actually factor in
that click through rate all. What you wanted to do is specifically look
at ctr link. Now, when you’re looking at that data, you
gotta make sure that your ctr is above 1.5%. That is the average that you want it to hit. If it is lower than 1.5%, just pause the ad,
all right? Now, number three is your cost per click link. So again, you gotta make sure you look at
the cost per click link. Now, in the cost per click link, this is a
great indicator. If you cannot get your cpc link under a dollar,
I have to say, it’s very hard for you to actually turn it into profit because you need a very,
very high conversion rate in order for you to actually profit from that product. So what you gotta do is you gotta aim the
cpc as low as possible, under a buck, and your cpc is actually affected by your click
through rate so that means that your ad really plays a major role in this. Now, the last thing is the cpm. Now, again, Facebook is actually an auction-based
marketplace so what it means is that the more advertisers that are bidding at the same keyword
as you are, the cpm drives up and that magic number to actually be at is less than $15. If you can get less than $15 cpm, chances
are it’s easier for you to actually make a profit with your AliExpress product. Now, with these four indicators, one of the
most important things is let these data tell you the story. I see a lot of people too attached to their
products and they say, “I gotta make this work. I gotta make this work.” But ultimately, that product may not just
sell. So what you gotta do, you just pause the ad,
find a new product, and keep rinse and repeating, all right? So that’s it for all the tips. Thank you, Sarah, for actually having me on
here to share all of these with you guys. Sarah: Thanks for watching this video. If you liked it, I’d appreciate it if you
gave us a thumbs up and subscribed to us here at Wholesale Ted for more great videos about
making money selling online. Fred also has an excellent YouTube channel
where he’s regularly sharing tips about how to make money with Facebook ads and I’ll have
a link to that channel in the description below. And if you would like to learn more about
starting your own online business, then you should be sure to download our free eBook,
“How to Make $10,000 a Month Online with Dropshipping.” You’ll find a link on how to download this
incredible, life-changing eBook in the video description below.

34 thoughts on “6 Facebook Ad Tips for Aliexpress Dropshipping Stores

  1. Yeah… I got about half that. Fred rambled on about the most technical jargon. My non-CPU brain just couldn't keep up. Why does Facebook advertising have to be so technical? It's not very user friendly.

  2. So even when you start a new ad you go straight to conversion? So you don't have to season the pixel using engagement or traffic?

  3. For all those who were distracted by Fred's hand movements. I missed them because I was busy taking notes – just sayin'

  4. Sorry for my frustration, I just don't know who to trust with these videos anymore. "Technical difficulties yet again" Not the best editing with her guest & she seems to be more like a saleswoman rather than a desire to help people. This video is designed to sound confusing with ad terminology & to make you say "wtf" & consequently buy their courses & subscribe to their channels. These YouTubers are profiting by sharing their customers & by joining together because they make money on views. Must be nice. They also know FB ads are more more complex than a 13 minute video & that everyone will funnel their questions into purchases for their courses & videos. They'll never tell you the actual truth of dropshipping. We're on our own unless we pay them.

    I'd also guess she no idea what real financial struggle fees like. Like can't pay rent for example…If she did, i bet she'd be singing a different tune with her smiles & her videos.

  5. Totally lost, especially after Fred jumped in. All I wanna do is be able to sell my ONE PRODUCT without having to deal with Facebook!!!!

  6. Hi SARA, I’m really impressed with the precious information and the way you are presenting. My question is not related to all of that, but only curious to know which camera are you using? Thank you

  7. Hi there,

    Awesome Video.

    What other hints have you got?

    I am looking at other methods



  8. Never heard of tip #4 before. I use to duplicate the same adset coz sometimes one performs better than the other

  9. Hi Sarah, when u mentioned '5' dollars for facebook ads, do i still market my ads for 5 usd even doe im not from the us or should i market it at '5'pounds if im from the uk? What is your value of 5?

  10. whenever fred talks, my brain short circuts, i cant understand and im distracted by his rapid crazy hand movements, yelling and speed talking, like he isnt teaching but showing what he knows.

  11. My eyes dioleted when you said you are taking training classes. I think Im not speaking for myself when I say I thought you didnt use it.

  12. For a video of this nature, I feel you should be showing your workspace – demoing what you're talking about, instead of just showing your pretty face! People are coming here to learn about your subject matter, not to watch you speak, otherwise you should be on soundcloud or other platforms that rely on voice! Show what you're talking about, not talk about it.
    C for effort!

  13. I am confused. Let’s say you’re selling kitchenware and you have ads for pots and ads for pans. Are you saying you’d be penalized by Facebook for promoting both? Isn’t audience overlap a by-product of niche stores?

  14. For tip 2 is Fred intimating that there is some way to pick a conversion purchase objective PER PRODUCT? I see no way to do this. Am I missing something?

  15. I'm sure Fred is a sincere hardworking guy but this whole "pitchman" style of talking makes him seem like a phony. Relax and speak normally.

  16. Fred and Sarah! Thanks once again. It is awesome helpful information. I took notes of everything. Now I understand things better.

  17. You said several times that it was obvious that a lot of money was spent on the cat mug advert but did not say what about the ad made that conclusion obvious. It wasn’t obvious to me. It looked just like an ad. Would you please elucidate?

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