Facebook sponsored ads have become an extremely popular way for businesses and individuals to promote their products and services. With over 2 billion monthly active users, Facebook provides advertisers an enormous potential customer base. However, as with any platform that involves transactions, there are risks associated with buying from Facebook sponsored ads.
What are Facebook sponsored ads?
Facebook sponsored ads, also known as Facebook ads, are paid advertisements that appear in Facebook users’ newsfeeds or on the right side of their screen. Businesses and individuals can create and pay for these ads to promote their products, services, causes, events, or Facebook pages. The ads are targeted to specific demographics, interests, and behaviors to reach the advertiser’s desired audience.
There are several types of Facebook sponsored ads:
- Photo ads – contain an image and text
- Video ads – contain a video and text
- Carousel ads – contain multiple images/videos that users can horizontally scroll through
- Collection ads – contain multiple product images with prices and Add to Cart buttons
- Lead generation ads – contain a form for users to fill out to collect contact information
Facebook charges advertisers based on the number of clicks an ad receives or the number of times an ad is displayed. Advertisers bid on what they are willing to pay Facebook per click or per thousand impressions. Facebook then runs an auction process to determine which ads to display to which users. Higher bids generally result in more delivery of the ad.
Are Facebook sponsored ads safe to purchase from?
When deciding whether or not to purchase from a Facebook sponsored ad, there are several factors to consider:
Reputation of the seller
One of the most important things is assessing the reputation of the seller behind the ad. Is this a well-known, reputable business you recognize or an individual seller you’ve never heard of? Established businesses have more incentive to deliver good products and service since they have brand reputations to uphold. Individual sellers may still be legitimate, but you’ll want to research them more thoroughly.
Reviews
Check for reviews of both the company/seller and the specific product advertised. Reviews on the business’s Facebook page, website, or third party sites like TrustPilot can give insight on customer experiences. For products, look at Amazon listings or other retailer sites to read evaluations.
Return policies
Understand the return policy for the item you are considering purchasing. Can you get a refund if you are not satisfied? Who pays for return shipping? For expensive or large items, a seller that pays for returns is preferable in case you need to send it back.
Payment method
How you pay can impact your purchase protection. Using a credit card gives you the ability to dispute charges for products that are misrepresented or never delivered. Other payment options like PayPal also offer buyer protection. Be wary of sellers requesting unusual payment methods like wire transfers, prepaid gift cards, etc.
Website legitimacy
Does the seller have a professional looking website with adequate information about the company, products, policies, and contact info? Or is it a barebones site lacking substance? Well-designed sites signal more legitimacy.
Contact information
Closely related is whether the seller provides full contact information. This includes a phone number, physical address, and customer service email. Being able to directly contact the seller builds more trust in the transaction.
Product images
Do the images match the product description? Are they high quality photos or look potentially stolen from other sites? Low quality, recycled or edited images may be red flags of a scam.
Prices
If the price seems too good to be true, it very well may be. Drastically low prices on luxury or high demand items are suspicious. Compare the price against other sellers of the same item.
Personal information requested
Be cautious of sellers asking for unnecessary personal information during a purchase or signing up for an account. Only provide what is absolutely needed for shipping, payment, or returns.
5 tips for safely buying from Facebook sponsored ads
Here are 5 recommendations when considering a purchase from Facebook sponsored ads:
- Research the seller’s reputation online
- Read reviews of the product and seller
- Understand return policies before buying
- Use a credit card for purchase protection
- Avoid giving out personal information unnecessarily
Common Facebook ad purchase scams
While there are many legitimate sellers advertising on Facebook, there are also scam artists looking to take advantage of users. Here are some commonFacebook sponsored ad scams:
Fake luxury items
Ads promoting heavily discounted designer brands like Gucci, Louis Vuitton, Rolex, etc. These are almost always counterfeit products being passed off as real.
Weight loss miracles
Questionable weight loss products like pills, drinks, or gummies that claim to help you drop 20 lbs fast. The before and after images are usually stock photos.
Get rich quick
Business opportunities that guarantee you’ll make thousands per week or millions per year. Includes work-from-home offers, investing strategies, business coaching services, etc.
Romance scams
Attractive strangers initiating romantic relationships online and eventually asking for money for claimed expenses, losses, or emergencies.
Celebrity endorsements
Using fake celebrity images or forged quotes to claim stars endorsed a product. Targets include CBD gummies, skin creams, etc.
Free trial scams
Offers for free trials of wonder products like anti-aging creams that end up auto-enrolling you into monthly subscriptions you didn’t agree to.
Data phishing
Ads promoting free giveaways, gift cards, or prizes that trick users into entering personal data that is harvested for identity theft.
How to report a Facebook ad scam
If you come across a sponsored ad on Facebook that appears fraudulent, you can report it directly to Facebook:
- Click the three dots in the top right corner of the ad
- Select “Report Ad”
- Choose “Misleading or scam ad”
- Explain why you think it is a scam in further detail
- Click “Submit Report”
Facebook reviews all reported ads and will remove those found to violate policies against deceptive, misleading or fraudulent practices.
Conclusion
Facebook sponsored ads provide a major sales opportunity for both legitimate sellers and scammers. While cheap prices and incredible claims may be enticing, it is important to thoroughly research sellers and products before purchasing. Applying skepticism and using safe payment methods can help avoid becoming the victim of a scam.
With billions of dollars now being spent on Facebook ads annually, they show no signs of slowing down. While many ad purchases will have positive outcomes, consumers need to be aware of the potential risks and approach them with caution.