Ads to Facebook pages work better in my experience. I convert a lot of new fans through Facebook ads.
I'm actually driving a lot of traffic to an external site through Facebook ads. My current CTR is .061% and I'm paying $.44 a click for one particular campaign.
Facebook retargeting is also getting a lot of good buzz, but I have yet to use it.
Personally, I don't think a 12% conversion rate for your completed surveys is bad. Conversation rates have a lot of different variables. Your ad might have set certain expectations that your survey didn't support. Hard to say without knowing specific ad creative and survey topic.