If you've done any sort of advertising on Facebook before, you probably know that one of the most important elements of a successful FB campaign is finding the right budget. Too little, and your ads won't be seen by enough people. Too much, and you'll be wasting money.
That's where Facebook's Campaign Budget Optimization tool comes in. CBO is a relatively new feature that lets you automatically optimize your ad spend across multiple campaigns to get the best results.
In this article, we'll take a look at some of the benefits CBO can offer your eCommerce business and give you some tips on how to get the most out of this powerful tool.
The Benefits of CBO for eCommerce Businesses
There are a number of reasons why you might want to consider using CBO for your eCommerce business. Here are some of the most important benefits:
1. Save Time and Money
With CBO, you no longer have to adjust your budgets for each individual campaign manually. Facebook will do it for you automatically, which can save you a lot of time and money in the long run since you won't have to monitor and adjust your campaigns continually. Plus, you'll only have one overarching budget to keep track of instead of multiple smaller budgets.
2. Get More Out of Your Ad Spend
Since CBO automatically optimizes your ad spend across multiple campaigns, you're more likely to get a better return on ad spend (ROAS) than if you were managing your budget manually. In other words, you'll be able to get more sales and leads for your eCommerce business without having to increase your overall budget.
3. Improve Your Targeting
CBO can also help you improve your targeting since it gives Facebook more data to work with when it comes to finding the right people to show your ads to. With better targeting, you'll be able to improve your conversion rates and get more sales from your campaigns.
4. Take Advantage of Automation
One of the best things about CBO is that it's an automated tool. Once you set up your campaign and budgets, Facebook will take care of the rest. This frees up your time so that you can focus on other aspects of your business while still getting the most out of your ad spend.
5. Scale Your Campaigns Quickly and Easily
If you're running a successful ad campaign and want to scale it up, CBO makes it easy to do so. With CBO, you can quickly and easily increase your budget without having to make any major changes to your campaign. This is a great way to grow your eCommerce business without having to put in a lot of extra work.
Discover Campaign Budget Optimization vs. Ad Set Budget: Which To Use For Ecommerce?
Tips for Getting the Most Out of CBO
Like with any other tool, you should follow certain best practices to get the most out of CBO. Here's what to keep in mind:
1. Don't Pause Ad Sets With Low Delivery
Traditionally, one of the first things most advertisers would do when they saw that an ad set wasn't performing well was to pause it.
However, with CBO, you don't want to do this since Facebook needs data from all of your ad sets to optimize your budget properly. Otherwise, you risk throwing off your entire campaign, leading to an increase in cost per action (CPA) and a decrease in ROI.
2. Use Lifetime Budget for Your Campaigns
When you're setting up your CBO campaign, you'll have the option to choose between a daily budget and a lifetime budget.
For the best results, you should always choose a lifetime budget since it gives Facebook more flexibility to spread out your ad spend over the course of the campaign. This can help to improve your overall results and puts your ads on a schedule that's more likely to convert.
3. Don't Add More Than 70 Ad Sets
While you might be tempted to add a lot of ad sets to your CPO campaign to reach more people, it's actually better to keep your ad sets on the lower side.
Facebook recommends adding no more than 70 ad sets per campaign because of time and editing limitations. The higher the number of ad sets, the more they'll take in the learning phase, and the less editing you'll be able to do.
4. Don't Use Ad Set Spend Limits
The whole point of CBO is to let Facebook optimize your ad spend for you. As such, you don't want to use ad set spend limits since they'll just limit how much Facebook can spend on each ad set. This will ultimately lead to a decrease in reach and could impact the overall performance of your campaign.
Instead, just let Facebook do its thing and trust that it will optimize your ad spend in the most efficient way possible–only set an overall spend limit for your entire campaign if you're worried about going over budget.
5. Keep an Eye on Your Campaign's Progress
Even though CBO is an automated tool, you still need to keep an eye on your campaign's progress. This means checking in on your campaign at least once a week to see how it's performing and making changes where necessary.
However, remember that you should be looking at campaign-level data rather than ad set or ad-level data. This is because CPO optimizes at the campaign level, so that's where you'll see the biggest impact.
In Conclusion
Campaign Budget Optimization is a powerful tool that truly changed the game when it comes to online advertising, so if you're looking to take your eCommerce business to the next level, CBO is definitely worth considering. And if you need support with setting up or managing your campaign, our team at ConvertedIn can help. Just contact us today to get started!
