Optimize Your Facebook Ads for eCommerce Store: Track These 5 Key Metrics

Optimize Your Facebook Ads for eCommerce Store: Track These 5 Key Metrics

Date & Time
May 3, 2023
Reading time
4 mins
Author Icon
Sanmaya Biswal

Can you guess on average how much a brand spends on facebook ads?

Have a look at this graph below.

Optimize your Facebooks ads

This shows the growth of ads spends by brands on Facebook platform apps This shows the popularity of this platform when it comes to advertising and especially for eCommerce brands.

Facebook is considered as one of the most powerful advertising mediums for all direct to consumer ( DTC ) brands throughout the world.

With growing time and maturity of facebook ads the platform has evolved quite a lot and now you can easily launch your facebook ads with lower budget, we also have a detailed article on it so do check that out.

Although launching campaigns is easy but managing and scaling them isn't an easy task so to make you ahead of your game we have compiled a

List of 5 important metrics to track and optimize your facebook ads campaign for success

1. Cost per purchase

Cost per Result is a measure of the expense associated with achieving each desired result (or action).

The formula for cost per result goes like - Total Advertising Spend / Results


This number is most comparable to "Cost Per Action" or CPA on other PPC channels like Google ads etc. Depending on the objectives of your campaign, the outcome (or action) could be anything from a new signup, a sale, or a form submission.

And considering you are running this campaign for DTC brand then typically you would be tracking purchases so they metric here would be Cost per purchase.

2. Conversion rate

This metric is not available in the general dashboard of facebook ads but you can create it via custom metric.Conversion rate as a metric helps us to track out of all the visitors that have visited the website how many of them actually converted in this case purchase the product.

But how does this help me in improving my facebook ads optimization.

Think of this way every DTC brand optimize their ads for end conversion i.e Purchase and purchases are directly related to conversion rates so in case if you could increase the conversion rate of your website your ads ROAS will start to increase as Now instead of getting just one purchase for the same cost you might be getting two.

3. Landing Page views

Just like conversion rate this metric is also unavailable inside the general facebook ads dashboard,so to make this you need to create e a custom metric .

And the formula is pretty simple : (Total no of landing page views / Total number of outbound clicks ) * 100.

Typically this metric is measured to keep a check on whether your product page links are working or if there is any website loading speed issue.

And if you have any website loading page issues don’t worry we also have covered an article related to it so check that out.You can also checkout Typof in this case if you are constantly facing this problem with your eCommerce platform.

Landing Page views

4. Cost per mile or CPM

In the Facebook advertising world everything is measured in impression, unlike Google ads facebook charges every advertiser based on number of impressions the brand gets.

Thus measuring or keeping an eye on CPM really helps a lot. CPM stands for Cost per thousand Mile which means the cost an advertiser has to pay when the ad reaches more than 1000 people in simple language to cost your ad to thousand people.

In case you see your CPM’s shooting there could be 3 big factors- Your ads are not getting your customers attention in short. Facebook's audiences don’t like the ad and due to this your ads are being ignored and in auction it is costing higher to show your ads to more people against other advertisers ads.

Your competition has increased. You might have seen that suddenly during the holiday season your cost of ads shoots up and the reason is rise in competition and crowded market auctions.

Your audience has been tired of seeing your ads again and again. This means typically you need to refresh your ads with a new set of creatives.

5. Return on ad spend or ROAS

ROAS is the most stressed word or metric in facebook ads this tells us what is the return you as a brand have made by spend on facebook ads. Well why is it important in the first place?

Ahh! Think of it, if you are spending some sort of your own money on a platform, what's your motive? It's definitely to get more in return and that's why ROAS is important for brands.

It measures how effective are your campaigns and are you even profitably acquiring your customers or not. So that concludes the top 5 metrics to track with regards to your facebook ads but in case I have missed something do let me know in the comments section.


What are Facebook Ads?

Facebook Ads are advertisements displayed on Facebook that can be targeted to specific audiences based on various demographics and interests.

How can Facebook Ads help eCommerce stores?

Facebook Ads can help eCommerce stores reach potential customers and drive more traffic to their website, resulting in increased sales and revenue.

What are the 5 key metrics to track when optimizing Facebook Ads for eCommerce stores?

The 5 key metrics to track when optimizing Facebook Ads for eCommerce stores are: cost per click (CPC), click-through rate (CTR), conversion rate, return on ad spend (ROAS), and lifetime value (LTV) of a customer.

What is cost per click (CPC)?

Cost per click (CPC) is the amount an advertiser pays each time someone clicks on their ad.

What is lifetime value (LTV) of a customer?

Lifetime value (LTV) of a customer is the total amount of money a customer is expected to spend on an eCommerce store over the course of their lifetime.

Why is it important to track these metrics when running Facebook Ads for an eCommerce store?

Tracking these metrics can help eCommerce stores optimize their Facebook Ads and improve their return on investment (ROI). By analyzing the data, eCommerce store owners can identify which ads and targeting strategies are generating the most revenue and adjust their campaigns accordingly.

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