Facebook has launched a new conversion measurement tool that measures the return on investment (ROI) of advertisements on the social network.
Businesses can track the performance of their advertisements on Facebook and see how many registrations or transactions are being driven from the website.
“Conversion measurement and optimisation can be used on all Facebook ads and sponsored stories, and in combination with any targeting capabilities,” Facebook wrote in a blog post.
“Facebook conversion measurement is also the only solution that can report when a user views an ad on one device (e.g. mobile phone) but converts on another (desktop computer), which is useful for cross-platform ad campaigns.”
The social network has also combined optimised cost-per-thousand impressions (CPM) with the conversion measurement tool so businesses can market products and services to people who are most likely to make a purchase.
“Beta tests have shown that when the conversion measurement tool [was] used with optimised ads, [it] reduced the cost-per-conversion by 40 per cent when compared to cost-per-click ads using the same budget."
Conversion measurement is available in power editor, ads manager and API partners on Facebook.
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