How to Track the ROI of Your Facebook Ads 

Katie Holmes
12th September 2022

Track your Facebook ROI and build better campaigns to increase your revenue.

When it comes to paid social, it’s so easy to get distracted by vanity metrics, such as clicks, comments and social shares.

In all honesty, these metrics can be useful in gauging what your audience thinks of your content and, to that extent, can inform the rest of your marketing.

But while increased traffic and engagement are all wonderful benefits, they don’t highlight how your ad campaigns drive business revenue. 

What your CEO wants—more than clicks and engagement—is more revenue. 

And rightly so. Revenue is the lifeblood of every business. 

So what is the best way to track the impact of your ad campaigns on revenue?

By tracking your Facebook ROI, of course.

And, we’re going to help you get there.

For this article, we’ll discuss:

Pro Tip

Ruler breaks down the barrier between your Facebook ads and won deals by identifying which campaigns contribute the most revenue, not just clicks. It attributes revenue data from your CRM to your Facebook ads, allowing you to calculate your ROI more accurately.

How businesses use Ruler to improve their ROI


What is Facebook ROI?

So that we’re on the same page, let’s quickly define Facebook ROI. 

Return on investment (ROI) is a metric you can use to evaluate the profitability of your Facebook ad campaigns. 

Calculating your Facebook ROI is easy when you know how to do it. All you do is take the net investment gain and divide it by the cost of investment and multiply it by 100. 

Being able to track your ROI is non-negotiable, especially for Facebook advertisers. 

Related: How to definitively prove your marketing ROI 

It’s the most effective way to prove which investments work for your marketing.

If you don’t know how to track Facebook ROI, you cannot determine what campaigns contribute the most revenue.

As a result, you run the risk of wasting your budget on campaigns that underperform, or worse, don’t deliver any value at all.

What is the difference between Facebook ROI and ROAS?

If you’ve been in the marketing game for some time, there’s a good chance you’ve heard of ROAS.

Related: What is ROAS? Understanding return on ad spend

On the surface, return on ad spend (ROAS) and return on investment (ROI) may look the same, but they are different. 

ROI considers all the costs that go into building an ad campaign and puts it against your revenue. 

ROAS doesn’t. 

Instead, ROAS only considers the cost of advertising when looking at returns. 

Differences aside, ROI and ROAS are equally important and should be utilised to track the success of your ad campaigns.

The problem measuring Facebook ROI for lead generation

Calculating ROI is relatively straightforward if you sell products online.

A little bit of code in your shopping cart, and you can track which of your Facebook ads are driving the most sales.

Easy right? 

Unfortunately, the same can’t be said for businesses that focus on generating leads. 

In most cases, it’s impossible to determine the value of a lead until it’s qualified or processed. 

As a result, advertisers are left with no option but to measure and optimise their campaigns based on lead volume.

But optimising for leads is a dangerous game to play.

Why?

Well, not all leads are created equal. 

Your Facebook campaigns all deliver different results. 

Take the example below. 

CampaignLeadsCostCost per lead
Campaign 125£500£20.00
Campaign 25£500£100.00
Campaign 312£500£41.66

Considering only lead and ad cost data, campaign one is the top performer. For the same cost as campaign two, it’s delivered 5x more leads. 

Any advertiser wanting to make a big impact on revenue would take the budget away from campaign two and allocate it to campaign one, right?

Let’s not get ahead of ourselves. 

Before we commit to anything, let’s add opportunity and revenue data to see how successful these campaigns actually are. 

CampaignLeadsCostCPLOpportunitesRevenueROI
Campaign 125£500£20.008£1,592218%
Campaign 25£500£100.004£1,996299%
Campaign 312£500£41.663£89779%

By adding opportunity and revenue data, we can now see that campaign two had the best impact on the business despite generating a lower volume of leads. 

It’s for this exact reason why ROI is so important in marketing. 

With ROI in their arsenal, advertisers can track how their Facebook ads impact leads and opportunities. 

They can invest their budget in the right areas and prioritise the campaigns that offer the highest returns.

How to track your Facebook ROI with attribution 

By connecting your Facebook ads and leads to revenue, you can gain an objective view of performance and make better strategic decisions for your campaigns.

You’re not alone if you’re struggling to get past tracking lead volume. 

We learned that 37% of marketers found generating high-quality leads to be one of their biggest challenges. 

So how do you connect your Facebook ads to revenue? 

There are different ways to track your Facebook ROI, but we’ll show you how we do it.

Using the tools below, we’re able to track leads from our Facebook ads and attribute revenue to understand which campaigns contribute the highest converting customers: 


1. Export ad performance data from Facebook

First, we export our ad performance data from Facebook to a Google Sheet.

This allows us to track traditional engagement metrics and compare them against our leads, opportunities and revenue data further down the line. 

To do this, we head over to Facebook Ads Manager. 

We open Facebook Ads Manager > select our time frame and the relevant metrics > click download > select CSV > export

We remove data that isn’t useful to us to stay focused on the metrics that interested us most.

Note: The numbers in this example are fictitious and are only used here as an illustration.


2. Export leads and opps from Insightly

Now it’s time to export our leads and opportunities from our Insightly CRM.

This will allow us to compare our leads and opportunities against our engagement data and gain a better understanding of Facebook’s impact on downstream funnel metrics.

First, we head over to Leads > Filter leads by last month > export to excel

Next, we navigate to “Opportunities” and repeat the same steps we used for leads.

Insightly and CRMs alike do a great job storing your leads and opportunities. 

If you’re not using a CRM, you’re certainly missing out. 

Related: What is the role of a CRM in marketing

However, there is one major flaw in today’s modern CRM systems. They don’t provide much information on your leads and the touchpoints they used to find your products and services.

Fortunately for us, we have the advantage of Ruler’s attribution.

Ruler is a marketing attribution tool that tracks each and every web visitor across multiple landing pages and marketing channels and can integrate with almost any CRM. 

Related: How to track full customer journeys with Ruler

When a visitor converts into a lead, their contact details are matched with their marketing touchpoints over multiple sessions. 

The conversion details and marketing data are then passed onto Insightly. 

This allows us to see where our highest quality leads and new customers come from and track how our ad campaigns impact pipeline generation.

Take the example below. 

With Ruler’s attribution data, we can see that this lead converted after viewing a Facebook ad campaign and converted on our marketing attribution product page. 

Pro Tip

There are a lot more benefits of Ruler Analytics. We won’t go into those here as we’ve got a blog that reveals everything you can discover in Ruler. If you have any questions on how to use Ruler, book a demo, and we’ll show you how it can help transform the data in your CRM. 

Book a demo


3. Match leads and opportunities with campaign data

Now that we have our lead and opportunity data, it’s time to match them back to Facebook. 

For this example, we’re going to stick with campaign-level reporting. You can attribute leads and opps to your ad sets and ads depending on how granular you want your reports. 

For leads, we highlight all rows and create a pivot table.

For the pivot table, we select Rows > Campaign > Ascending.

Then, we select Values > Campaign > Counta.

This shows us how many leads each Facebook campaign has added to the pipeline.

We repeat the same process for our opportunities and add the data to our reporting document. 

Note: The numbers in this example are fictitious and are only used here as an illustration.


4. Attribute revenue back to Facebook campaigns

Now for the most important stage. It’s time to calculate your Facebook ROI. 

To track our Facebook ROI or ROAS, we first need to find out how much revenue each Facebook campaign has generated. 

To do this, we go back to the Google Sheet with our leads and opportunities. We copy our “Won” opportunities for the month and paste them into a new separate sheet. 

Next, we create a pivot table and follow the same steps: Rows > Campaign > Ascending.

But, once we get to Value, instead of selecting “Campaign“, we choose “BidAmount“.

If set up correctly, we should see how much monthly recurring revenue each Facebook campaign has contributed to the pipeline. 

We add the revenue values into the spreadsheet alongside our engagement and lead data and get to work calculating our ROI and ROAS. 

Note: The numbers in this example are fictitious and are only used here as an illustration.


5. Send revenue attribution data to other marketing tools

Ruler integrates with almost any tool. One popular integration is Google Analytics. 

Marketers can feed revenue data into Google Analytics and track Facebook’s impact on revenue directly in the acquisition report. 

facebook-roi-google-revenue-www.ruleranalytics.com

Related: How Ruler enriches your attribution reports in Google Analytics

Using the comparison tool in Google Analytics and revenue data from Ruler, you can see how the data offered by each model affects your understanding of your Facebook performance. 

That’s not all. 

Ruler has call tracking and can help you quickly determine which Facebook ads are working best to drive inbound leads over the phone. 

Related: How Ruler sends offline conversion data to Google Analytics

This data can also be passed on to Google Analytics, allowing you to measure your inbound phone calls from Facebook (including the revenue) against all your traditional metrics.


Need help tracking your Facebook ROI?

If you use Facebook advertising as part of your marketing strategy, then tracking your ROI is an absolute necessity.

It’s the best indicator for determining whether or not your campaigns are generating revenue for your business.

Ruler offers a complete solution that can give you all the metrics you need to prove the ROI of your advertising campaigns.

Related: How businesses use Ruler to improve their ROI

If you would like to see benefits, book a demo with our analytics experts and see how Ruler can improve the quality of your reporting.

book demo - revenue attribution - www.ruleranalytics.com

This article was originally published in November 2020 and last updated on 12th September 2022 for freshness.