Facebook ads is still one of the most effective ways to generate new leads and customers – even in 2025. As competition increases, it becomes more important to understand the strategies that actually work so you can get the most out of your ads. This guide shows you how to practically use Facebook to generate more leads and customers for your business.
Why Should You Advertise on Facebook in 2025?
Even though new social media platforms continue to emerge, Facebook remains an essential source of potential customers. This is due to several factors:
Huge user base: Facebook still has millions of active users in Denmark.
Strong targeting: The ability to segment based on age, interests, behavior, and geography is unmatched.
Effective ad formats: From video and image ads to lead forms – you can create campaigns tailored to any audience and objective.
The Truth About Getting More Leads With Facebook Ads in 2025
It’s no secret that Facebook ads have become more expensive over the years. With more advertisers fighting for users’ attention, the competition increases, and auctions become more costly. Here’s the raw truth about what you can expect:
Higher relevance requirements: Facebook’s algorithm filters ads more aggressively so only the most relevant ones are shown.
Quality content is essential: User-focused content with clear value gets rewarded with lower costs per click or conversion.
Conversion optimization pays off: The better your landing page and campaign setup convert, the lower your cost per lead.
How to Target and Use Data to Get Leads
One of Facebook’s biggest advantages is access to huge amounts of data. This data forms the basis for your audiences – and ultimately your success.
Demographics & Behavior
- Demographic information: age, gender, location, job title, etc.
- Interests: sports, cooking, technology, travel, etc.
- Behavior: purchase activity, device type, recent engagement.
Lookalike Audiences
Lookalike audiences let you reach people similar to your existing customers or email lists. Facebook analyzes your uploaded data and finds new users who match the profiles most closely, increasing your likelihood of generating high-quality leads.
Retargeting
Showing ads to users who have already interacted with your brand is a game-changer. Retargeting reconnects you with potential customers who showed interest but didn’t complete an action.
What Does Facebook Advertising Cost in 2025?
The cost of Facebook advertising depends on several factors:
- Competition: High competition in your industry usually leads to higher click and conversion costs.
- Audience size: Narrow audiences may increase competition and therefore costs.
- Relevance score: The more relevant your ad is (click-through rate, engagement, etc.), the lower your price will be.
You can easily start with a small budget, test your strategy, and optimize as you go. Once you see results, scale up.
How Facebook’s Ad System Works in 2025
Facebook still uses an auction model, where:
- Bidding: You bid for a specific action (click, conversion, impression, etc.).
- Relevance evaluation: Facebook evaluates your ad content, targeting, and relevance.
- Ad allocation: The combination of bid + relevance that Facebook deems best wins the auction.
Highly relevant ads can win auctions at a lower price than competitors who bid higher but have poor relevance.
How to Identify the Right Audience
Finding your ideal leads requires a precise understanding of who you want to reach:
- Detailed targeting: Combine age, gender, geography, and interests.
- Custom audiences: Upload your customer list or segment website visitors.
- Interest testing: Facebook updates interests regularly – test different ones to see what performs best.
Optimize Your Campaign Objective
Choose the correct campaign objective to maximize your budget:
- Leads: For lead forms or Messenger leads.
- Conversions: For sales or sign-ups on your website.
- Engagement: To get likes, comments, and shares (useful for warming up audiences).
The clearer your goal, the better Facebook can optimize for it.
Use Facebook’s Different Ad Placements
Facebook offers various placements:
- Facebook feed
- Instagram feed
- Stories
- Messenger
- Marketplace
- Audience Network
You can choose “Automatic Placements,” allowing Facebook to optimize for you. As you gather data, you can later exclude underperforming placements.
Create Effective Facebook Ads
Your ads must be sharp to attract leads:
- Eye-catching visuals: Images or short videos that grab attention.
- Clear, concise text: Explain the value clearly.
- Strong CTA: “Get your offer”, “Contact us today”, “Sign up here.”
What Does Facebook Marketing Cost in Practice?
On top of ad spend, other costs may include:
- Creative production (videos, graphics, copywriting)
- Management (ongoing optimization work)
- Software (tracking, split-testing, reporting)
Always compare costs with the value you gain in leads and customers.
Know Your Customer Lifetime Value – The Key to Profitable Facebook Marketing
What is Customer Lifetime Value (CLV)?
CLV indicates how much a customer is worth to you over their entire customer journey.
Why CLV Matters in Facebook Advertising
If the average customer spends 10,000 DKK over time, you can determine whether your lead cost is profitable. Paying 500 DKK per lead may be worthwhile if the long-term value is much higher.
How to Calculate CLV
- Average order size
- Purchase frequency
- Retention period
Multiply these to estimate total lifetime value.
The Potential for a Good Return on Investment
With the right setup and CLV understanding, Facebook marketing can be extremely profitable. The “secret” is:
- Test and adjust continuously
- Track precisely (Facebook Pixel, Google Analytics)
- Scale winning campaigns
- Stop or fix poor performers
What About the Boost Button?
The boost button is a quick way to promote a post directly from your page. But for lead generation, it’s too limited:
- Limited targeting
- No advanced conversion goals
- No A/B testing
- No retargeting flows
- Messy account structure
- Fewer ad formats
For serious lead generation, Facebook Ads Manager is the right tool.
6 Disadvantages of Boosting Posts
- Limited ad formats
- Only one audience at a time
- Limited optimization options
- Hard to build a sequence/flow
- No split testing
- Messy account structure
Getting Started With Facebook Advertising in 2025
If you want full control, Meta Business Manager is the place to begin.
What is Business Manager and How to Set It Up?
It gives you an overview of pages, ad accounts, and roles.
- Create a Business Manager
- Add your page
- Create an ad account
Campaign → Ad Set → Ad
- Campaign: Choose your objective
- Ad set: Audience, budget, placements, schedule
- Ad: Layout, visuals, text, CTA
Ongoing Optimization of Your Facebook Ads
Even the best campaign needs adjustments:
- Track conversions
- A/B test headlines, visuals, and copy
- Scale winners
- Fix or stop weak performers
Alternatives to Facebook Marketing
Consider supplementing with:
- Google Ads
- LinkedIn Ads
- Email marketing
- Instagram
Conclusion
To succeed with Facebook Ads in 2025, you must focus on relevance, high-quality content, and strong structuring in Ads Manager. Facebook rewards quality with lower costs and higher visibility. Understand your audience, define clear goals, and optimize continuously. Then Facebook Ads can be a powerful part of your lead generation and customer growth strategy.
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