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Sam Piliero · @SamPiliero
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launching, and changing campaigns right now. Okay, first things first, go into Claude, go to the bottom left corner, and click settings, and then click connectors. Once you're here, click add custom connector. Name this Facebook Ads MCP, and then paste in
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this method 100%. So, first things first, what we need to look at is our audience segments. So, if you go to breakdowns and audience segments, we're now going to see the distinction between new audiences here, existing customers, and engaged customers. Now, if you don't already know what these are, I highly
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solution from the same exact product. And so, I'm a part of Alex Hormozi's private group for $1 million plus business owners. And I posted my full take on Andromeda. And before I break this down, which I will in a second, note that the man himself replied and gave me the stamp of approval. So, just
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Opening (first 30 seconds)
Most e-commerce brands struggle to scale their ads and ultimately fail not because they can't make their ads profitable, but because they cannot scale their ads at the same time they're profitable on the very first purchase. And as a consequence, they end up in a negative cash flow position when trying to acquire new customers. This then limits the business's ability to scale quickly and ultimately leads to its failure. So, in this video, I'm going to be doing something very different. I'm going to be taking you through our entire process A to Z. This is the scientific
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What this transcript is
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Most e-commerce brands struggle to scale their ads and ultimately fail not because they can't make their ads profitable, but because they cannot scale their ads at the same time they're profitable on the very first purchase. And as a consequence, they end up in a negative cash flow position when trying to acquire new customers. This then limits the business's ability to scale quickly and ultimately leads to its failure.
So, in this video, I'm going to be doing something very different. I'm going to be taking you through our entire process A to Z. This is the scientific method best known as the M3 method revealed like literally never before. This is how you as a brand owner could optimize your meta ads by scaling profitably and increasing your return on ad spend in 30 days or less. So, I want to kick us off with the main problem. Basically, most brands right now fail because they lose money or only make a very tiny bit of profit on their first customer acquisition.
So in other words, they cannot predictably go out to the market, put an ad in front of a potential customer and acquire that customer for profit. Obviously, the question is why? Now, the full answer, as I broke down a little bit here, goes back four or five years. Four or five years ago, 2020, things were really easy in meta ads. You could basically put a dollar or two into this machine and spit back multiple dollars back.
Things were much easier. So just to keep this part short for you guys, the key point that we need to focus on here is that there has been an overreiance on this algorithm and there's been way too much giving up control to the AI when in reality because everything is now automated at this point. And let's be honest, this is why your rorowaz sucks. This is why you cannot scale your ads. So now the level of detailed media buying required to remain profitable is at an all-time high.
And in today's market, it is not the brand with the best product that wins. It is the brand with the best marketing that wins. Because ultimately, if you cannot be profitable on your very first purchase, if you cannot be seen by a maximum amount of total eyeballs, you are not going to stand out in the marketplace and ultimately lead to either a slow or in some cases a very fast death. Here's the solution. I'm going to break all this down.
And by the way, I have so much packed into this screenshots, everything that you need to do so you could action on this throughout this video. This is the proven method that we use at the Moonlighters. We call this the M3 method. Most brands that come to us, they've worked with two to three previous agencies or different consultants that just couldn't get them over that hump, right? It's the same system that we use that I personally use to help Harvest Dental go from $25,000 per month in ad revenue to over $180,000 per month in ad revenue in just 4 months.
It's the same system that we used with brands like Young Nails who could not scale and we eventually increased their total ad revenue by literally 10x and also increased their total business profit by over 100%. And it's the same exact system that I used when I was at BarkBox. When I joined, they were a $180 million business and when I left, not a typo, they were a $2.5 billion business. Now, at that time, we were working with massive budgets and they became one of the biggest direct consumer subscription brands in the world.
We IPOed on the New York Stock Exchange and at the time I was the head of emerging channels. So when I tell you that this is a battle tested system, I'm not sure how many ways I could possibly prove it. The cool thing about this is that not only does this work for big brands, but the average brand that we've implemented this system for in the last 6 months alone has seen a 43% increase in rorowaz while simultaneously scaling their spend by more than 50% in the first 90 days alone.
What I'm about to go through are the exact trainings and systems we give our team internally at the Moonlighters. What I consider the true best of the best, the M3 method. I'm going to give you guys an overview. We're going to get right into it. First things first, I call my system the M3 method because it's essentially broken down into three main phases we take a brand through. First is foundational campaign structure.
Second is the fastest horse. And third is cost caps. Now, in most cases, everything here can be implemented in about 30 to 45 days. But the reality is most brands will not get to the point where they need cost caps because we really need to be spending boatloads of money. And in most cases, just one and two are going to get us to a completely different level. And eventually, after we found stability in M1 and M2, then we can move on to cost caps.
Everything that we do, this is a really important statement, everything we do is focused on minimizing wasted ad spend, creating systems and structures that are AI friendly plus human friendly. If you are too manual, then you're going to hit that negative 40% week. That essentially eliminates all of your gains from those 2 5 6 7 8% gains that you're making week over week over week. That's where the big losses and we need to avoid that.
And guys, by the way, if I haven't mentioned, this entire document is down in the description. You can go get it for free. And this next section is specifically for people that go and get the document because there's a few linkouts to things that are very important. And now getting into M1. Now M1 here, we operate always off a modular campaign structure. I have broken down this campaign structure a 100 times over, but I really want to emphasize how critical it is for everyone to execute on something like this.
Now, I don't want to tell everyone that this is the only way and there's only one way to run your ads. Period. End of story. In fact, a lot of the brands that we work with, this is just the core and then it gets expanded on from there. Those are some of the more complex things that can only be curated on a one-on-one basis. The full M3 structure, the core of this is broken down into a modular four campaign system. We have prospecting first.
Prospecting focuses on 100% net new customers. It is usually a combination of broad plus interest targeting and it excludes retargeting and retention. Now, the purpose of excluding retargeting retention is very, very important because it allows us to make sure that whenever we're spending on prospecting, we know it's focused on new customers specifically. And in this modular system, we have packs. Every single creative group is grouped into a new pack and they're 100% broad.
They also exclude retargeting and retention audiences. Now, the key of this is that new creatives get pushed into new packs every single time. And this works so well because we don't interfere with the algorithm every other time like 95% of other campaign structures and strategies do. We are not interfering with any sort of learning phase which I could debate on a little bit. We are also not interfering with any adset learnings, campaign learnings.
We are just creating a new pack of an adset. And the only thing that we're tweaking a little bit is if that pack of an adset is better, is more successful, then it will get more spend. Second, here in this prospecting campaign, we always use interest. We always use what's called single interest ad groups. This is when you are using one single interest for your targeting method, not groups of interest. This is a big red flag.
People that use groups of interest. We never ever mix them together. What we do is we use interest that contains top ads. So, we graduate our best performing ads from the broadpacks into the interest. Interests serve two very important purposes writing down here. The first is they increase efficiency. Most interest groups will drive higher return on ad spends as long as they're relevant. Second, you actually find new audiences that impact the broad performance.
This is like the golden nugget, guys. When you run an interest group, especially if you run what's called an adjacent interest group, that interest group goes out and it finds people that you weren't originally targeting, then what happens is your broad audience, by the way, go look at your reach on your broad audience. If it's only a 100,000 people, you'll notice that once you have a successful interest group, your broad audience goes from 100,000 to 120,000.
The point is that it expands. This is one of the only effective ways that you can force expansion without forcing budget. Really effective at creating new pockets of audiences that could potentially increase your overall return on ad spend. And what happens here a lot is people see that interest groups are doing okay, but broad's doing better. They pause the interest groups down and then broad does worse. That's why the system in total works together and does better together.
The next piece after our prospecting campaign is our retargeting setup. Now, generally speaking, retargeting is going to consist of site visitors, add to carts, Instagram and Facebook engagers, and we're excluding all of retention. There's a lot of ways you can break this down. This is brand per brand. There might be brands that are 90-day ad toarts versus 180day ad toarts versus 14-day ad toarts. The point here is that you're hitting your site visitors, your ad toart, and your engagers.
The third part of this modular system and this structure is retention. Retention is just composed of existing customers. Again, you might have different breakouts of your existing customers, but don't skip on your existing customers. You need to be touching them even if your touch points are light. This is a critical point that you can attack your existing customers in your retentionbased campaign. And then finally, the good old scale.
The scale is a 100% broad net new excluding retargeting, excluding retention. And this is the place where your top performing ads live. These are graduated from the prospecting CBO campaign in most cases. And the key of the scale campaign, don't get this twisted, guys. The key of the scale campaign is that all it does is it hosts your top ads. It guarantees spend on your top ads. Now, the concept of the modular system is not new.
This has been around since basically the start of Facebook strategy. However, it is completely pushed to the side these days. And I want to explain why. why we create what I call swim lanes inside the ad account. I've heard swim lanes quite a few times. I know some advanced marketers do call it swim lanes, but I was just at a meta conference yesterday and the keynote speaker mentioned swim lanes and I haven't heard anyone from Facebook mention swim lanes in a very long time.
So, this is a signal to me that either A, I'm talking too loud and everyone's listening, or B, which is most likely the case, that swim lanes and structures and strategies like this are becoming more and more popular, meaning they are working. Swim lanes, as I kind of illustrate in this graph above, are very simple. If you think about an Olympic swimming pool or just any swimming pool, there's ropes in between or whatever they call those, there's lanes in between.
And even though the swimmers are in their respective lanes, the water is flowing between. So the idea of a swim lane is not that there's concrete walls between your new audiences, your engage, and your existing. It's just that we want general guidance to make sure that 90% of the time our new audiences are being targeted properly. 90% of the time our engage are being targeted properly. 90% existing customers are being targeted properly.
If there's a little flow in between because the conversions API or the pixel doesn't track perfectly, it's okay. We care more about targeting everyone and making sure that the spend gets focused on the new audiences which we outline right here. Now, I kind of broke this down already, but I want to show you some examples of how you could look for your swim lanes right now already in your ad account. We want to separate our cold prospecting from our warm prospecting so that Meta doesn't dip and overspend on warm audiences and create a blended return on ad spend.
Basically, we want cold prospecting to be 100% net new customers. Basically, customers who have not purchased from us before. You could see your swim lines. I got a little screenshot here for everyone. You could see your swim lines very easily. You just need to click this button on breakdowns in the top right corner and click on audience segments and then you can see new, existing, and engaged. As long as you have set these up in your advertiser settings.
I hope everyone has at this point. If you haven't, if your agency hasn't, if your consultant hasn't, then dear God, click the link down below in the description where you can apply to work with us because that is one of the biggest red flags. And this is one of the things we have in our initial checklist right off the bat. Now, the main benefit of this is that our return on ad spends for new prospects versus retargeting versus retention is individual and not blended.
And not only is it individual, because we could technically see that, is that we can control when we want to increase spend on new customers. I mentioned this before. If you've gotten this far, you know the key to scaling a brand in today's market is to profitably acquire new customers on the first order. What do you think's going to happen if you're overspending on retention? If you're overspending on retargeting, if a lot of people who are going to convert anyway, you're spending an additional 10, 20, 30% on.
Overall, you are spending money in the wrong places. So, it's critically important that we can control where the cash is going. Now, I'm probably hitting this point a little too hard, but it's really, really critical. Don't be one of those brands that overspends on the wrong cohort. Frequencies are a critical metric to evaluate if you are actually overspending or underpending. I put together a calculator. Basically, it's just showing us exactly how much our frequency should be.
As a general rule of thumb for prospecting, you never want it to be more than three or four, even over a 30-day period. Now, a key part of our structure and our system is CBO. CBO, campaign budget optimization, whatever you want to call it, is basically the simple concept that meta allocates the spend to the adset that gets the most results for the business owner. If you don't do this and you're using adset budget optimization, then I'm telling you straight up, everything I showed you up here in terms of the structure is irrelevant.
It will not work. This structure can be thrown out if you're using You have to use CVO. You must use campaign budget optimization. Now, for one of the things that so many brands get wrong, I audit dozens of brands every single week. This is one of the biggest problems I see. We have a solution for it. This is how you and your brand should attack creative testing. One of the biggest issues I see is that people don't have a specific system for creative testing.
Now, the problem with not having a specific system set up for creative testing is it results in the poor performing creatives getting too much spend. And even worse, this is the most terrifying thing I ever see. Winning creatives are not identified and sometimes are even paused because winning and losing is not clearly defined in advance. It sounds really simple, but basically winning creatives are creatives that have the ability to generate both top and bottomfunnel metrics that are inside of your KPI.
So, we don't care on our side if there's a creative that drives a 15x return on ad spend, but only spends 20 bucks. Because if these creatives were actually scalable, then Facebook would push them up to the top. The algorithm would push them up to the top and give them more budget. We care about creatives that drive rorowaz that is above or at target. Basically, you're setting your rorowaz target to an x number. If it's above it while they spend a disproportionate amount of your budget.
So, in simple terms, if your ad is spending a lot and it's above your target, we want that ad to keep spending. We want to graduate that ad. And not only do we want to graduate that ad, but that is the definition and epitome of a successful ad. Some basic criteria for everyone. High spend plus at or above target rorowaz means you graduate means you scale. You never cherrypick. Low spend plus high rorowaz. We don't touch, we let it run.
Now the next part of this creative bucket all stuck into M1 here is creative iteration. The best way to build creatives is to apply the 8020 rule, also known as the Pareto principle. The Pareto rule is very simple. It states that 80% of your outcomes come from 20% of your inputs. So 80% of your time and effort should go to creating new variations of existing winning creatives. You have proven that they worked. The remaining 20% should go to testing new creative formats.
Think about this from a time perspective. 80% of the time goes to building more of what's already working. 20% of the time goes to trying new things. So just to give everyone example, I have one written out here already. If you have a static image of a woman holding your product, then you should create as many different variations of this exact format with core elements changed. For example, if I'm holding my AirPods here and this was my shot, my thumbs up with the AirPods.
We then want to have one variation with the AirPods open, one variation with my hat on backwards, one variation with no hat, maybe a variation of me doing jumping jacks, who knows? We just want to have different variations of the best performing ads. The goal is not to find a 30% improvement. The goal is to continue to beat baseline by two, three, four, 5% week over week, month over month because that is actually how you scale.
That is what the biggest brands do long term. The cool part about creative iteration these days is that there's AI. You can create more iterations of your creative than ever before, especially static images and AI UGC better than ever. I have a full list of my approved AI creative tools in this document. And then I also put together a creative library that everybody can get whether you're in the blueprint or not completely for free.
You can click the button right in this document here. That's just going to take you to a magic brief complete document of all creative concepts that I really like. Right now, moving past creative iteration, we're now moving on to creative packs and signal density. So, because we're working in this modular system, the prospecting campaign is always grouped with packs of creatives, usually around four to eight creatives at a time.
The goal here is we always want to give meta a good amount of variation to identify winners without diluting performance with too many ads. We don't want to upload 50 ads at once. We want to upload a group of ads, a pack, something like four to eight ads. Here are the key principles that you need to understand. If you've gotten this far, you get a value bomb right now. New creative equals new packs. High performing creatives equals graduate.
Average performance, leave it. High spend plus low performance equals it's a catchy ad that doesn't convert. aka iterate low spend plus poor performance. Pause. Cut it. You will see your ad account start to look like this. This is just an example from a client that we manage. You will eventually have dozens of active broad prospecting packs within your prospecting campaign. And I don't even have room here to show you all the interest groups below.
The next piece of this M1 is the graduation system. This works so well because it focuses the majority of spend on the best performing creatives and it continuously graduates winners into the scale and interest adsets/ campaigns. Winning ads from prospecting are graduated into the scaling campaign. Winning creatives are also duplicated into the interest group. Now, the reason we hard duplicate, we don't move them, we don't pause them, is we are completely comfortable having multiple products or multiple ads that are the exact same copies in our ad account active at the same time.
The biggest sleeper here that no one really understands completely is the interest part of it. I've mentioned this a little bit before, but this is skipped by most advertisers. I'd say probably around 80% of advertisers do not do this, and a small 20% actually do this successfully. We use winning creatives and graduate them into the interest groups. We don't test with interest groups because then it isolates a single variable.
That single variable is the interest group. This is the important part. Now over time, as I mentioned previously, the interest adset expands your pixels audience pool. This is super super important. And a very important part here is we never pause a high performing ad for any organization purpose. I don't care if there's an ad in a campaign you ran four years ago. If it's above your KPI, keep that thing rolling. It doesn't matter.
I don't care if there's one ad in one campaign, one ad set and it's an ad that is ugly and you don't like it, but it's still above KPI. Rip that thing. Keep it going. In our audiences, just to break down the core parts here, we have interest audiences. These are always single interests. We want to inform and learn based on one interest, not a mix 10. We very rarely use lookalikes. We almost exclusively run broad with interest.
And then all retargeting and retention campaigns are enhanced with our CRM. Usually this involves the Clavio integration. That's a wrap on M1. M2, this is when we start to get advanced. This is for you advanced operators. This is for you media buyers out there. This is called the fastest horse. Advanced breakdowns are basically the most powerful way to uncover hidden efficiencies and inefficiencies in your ad account.
We're looking at very, very simple yet hard to wrap our head around breakdowns. Day of week breakdowns, placement, geography, demographics, platform, landing page, you name it, we want to analyze it here. I'm going to break down the most important parts of Fastest Horse. There's a lot of different breakdowns you can actually get your hands around. Some might apply to your business, some might not apply to your business.
I would encourage you to look at all of them. The first is my favorite, the day of week analysis. I have been talking about the day of week analysis for what now six years or so, seven years. 99% of advertisers spend the same amount of money every single day. I'm looking at you because you are likely spending the same $1,000 1,000 1,0001,000 Monday through Sunday like clockwork. You think your budget's $1,000 a day and therefore you're spending $7,000 for the week.
Why would you spend the same amount of money every single day of the week if certain days actually convert better? Now, as you can see from this example right here, I just screenshotted this from a client. We are just onboarding now. So, we haven't implemented the fastest horse just yet. But what you can see right off the bat here is just like most people, they're spending the same amount of money every single day of the week, but they're getting very different results. 20% different results.
So, you can see in this example, Sunday, Monday, and Tuesday convert at around a two to a 2.13, where Wednesday, Thursday, Friday, Saturday convert at peaks up to a 2.49. That's a very big difference. That's a 20% difference. If I could add 20% to your pocket, 20% to your bottom line right now, you would take it, right? I would. I'd be pretty happy with that. So, I call this the fastest horse because you would never bet on a slow horse in a horse race.
You would never spread your bets evenly across all horses. You want to pick the one or two or group of horses that you believe are most likely to be the winner and bet on those horses. This is not gambling advice. I'm no better. But in this case, we want to make sure we are putting our money on the days of the week that are most likely to convert. And the same principle of this applies to many other breakdowns. So the important part that we just need to understand is that conversion rates fluctuate by day.
They fluctuate in your business, they fluctuate in most businesses. Spending evenly on all days is very, very inefficient. It weighs spend on low performing days and it caps growth on high performing days. We always want to redistribute the budget to the top performing days of the week and that doesn't mean we're even going to increase our total ad spend. So after we do day of week analysis, we go through all of the others.
This is audience, platform, placement, landing page analysis. Now we start with placement analysis. So as you can see here, we have spreadsheets for all this stuff. It's fully automated, but you could break this down in your breakdowns tab within your own ads manager. Right now, what I like to look at is each placement and understanding a are we producing the right creative for every placement and b if we're not able to produce that right creative for every single placement than making sure we're not overspending on the wrong placements.
Second part is platform breakdowns. We want to do the same thing. We want to compare Facebook to Instagram. There's usually big gaps, especially when you're dealing with older demographics versus younger demographics. If your product is built for a younger crowd, you're going to skew more to Instagram, vice versa. Make sure you're on the right platform. Usually, you can stay on both, but there's often a pretty decent discrepancy between them.
The next is age breakdowns. This is a big one. Age breakdowns, when done properly, should look exactly like I have on screen. We got to zoom in on this one because you can see very clearly here that we are spending the most amount of money at almost identical return on ad spends in the three age groups that mean the most. 25 to 54 are all getting a 1.78, 1.78, and 1.75 return on ad spend, where the 18 to 24, 55 to 64, and 65 plus are getting significantly less cash.
This is about a 90-day look back here, and you can very clearly see that the 55 to 64 is only getting 21,000 in spend, where the 35 to 44 is getting $132,000 in spend. Therefore, we're maximizing out on the best return on ad spends possible. After that, we want to layer on gender breakdowns. This is the same piece. Even slight changes here can improve your CPI and return on ad spend. And the key here is not just to use age alone or gender alone.
You want to actually group these together. And the importance of grouping these together. Looking at a very long look back for this is now we can see age plus gender to actually put some cohorts together like 25 to 35 year old women do really well or they don't do really well. You could actually understand different breakdowns in terms of who you're actually targeting and who you're talking to. The next thing we do is we want to evaluate landing pages because sometimes the issue isn't your audience at all.
It's actually where you're sending them. What I always like to do is just look at all our URLs. Where are we silently leaking spend? There are many cases where one page converts literally three times better than another page. And if you are delivering your traffic to the wrong page, you're driving your traffic to the wrong page, you are leaving so much money on the table. Finally, last but not least, and to be honest, this one can actually go a little bit earlier if you want to.
We run country breakdowns. This reveals where your money works the hardest. I like saying it this way, where your money works the hardest because different countries have different CPMs, CTRs, clickthrough rates. They have different trends, and they can vary massively country by country. We need to be able to identify and see where we can scale in the most profitable regions and cut or reduce the ones that are quietly burning cash.
The key of all this in M2 is stacking these breakdowns on one another. You go from blindly pushing spend into the algorithm to actually engineering an ad account around what actually legitimately works. And I think the key of this here is that I'm not telling you that every one of these breakdowns is going to get a 30% boost in your return on ad spend and you're going to go walk around and collect money off of your trees.
The reality is each of these compound on one another. So, when your placement breakdowns get you a 5% improvement and then your age breakdowns get you a 6% improvement, these are all stacking on top of one another. And as I wrote here, it's absolutely no surprise if you see a 30 to 50% increase in your return on ad spend after each of these are implemented. Plus, you've done M1 properly and you've implemented a proper structure.
And again, this is what the successful brands do. They're not looking for a hack. They're not looking for a 500% increase. They're looking to stack wins over and over and over every single day. Show up, stack wins, stack wins, stack wins. The key here, too, is that most brands don't actually need to see a 200% improvement in return on ad spend to scale. You just need to break profitability. And based on my experience, somewhere around even 20 to 40% usually does the trick to allow brands to scale a lot.
And the key on top of this is that we don't care if we drive a 20x return on ad spend and spend 50 bucks. We want to spend a lot and we want to drive an efficient return on ad spend to actually drive scale. I would much rather acquire thousands of customers than I would acquire a few customers and make a bunch of money from just a few customers. At scale, the business does things that you can never imagine. The biggest being word of mouth.
People start talking about your business at scale. And in many cases, you don't need a 100% improvement in return on ad spend to get just the 100% improvement in revenue. You want to get a 100% improvement in return on ad spend, but then scale very very aggressively so that you get a multiple on top of the X return on ad spend increase. The last part of the M3 method is called cost capping. Now cost caps, a lot of people know them.
There's a lot of good, there's a lot of bad about cost caps. This is truly legitimately advanced. Cost caps let you tell Meta the maximum amount you're willing to spend for a conversion. And if it cannot achieve that cap, it should, big emphasis on should, it should reduce your ad spend and not spend until it can achieve that cap. Again, big warning here. If you jump into M3 before you lock in stability on M1 and M2 and you let this stability stay for at least three full months, I'm talking a full 90 days, this is going to break.
Your cost caps are likely to be useless. They are not going to behave how you expect. And if you think you could just rip new campaigns and start new cost caps, I really want you to think again. Cost caps are not the most complicated tool, but they often fail, especially for brands that are younger, especially for brands that aren't spending a boatload of money. So once you have true stability in your account, once you're spending at least $30,000 per month, and it really is upwards of $100,000 per month, and you truly consider yourself an expert, by the way, if you're not an expert, if you don't consider yourself an expert, or after listening to this, if you don't think your media buyer is an expert, then go down to the link in the description and go to the moonlighters.com/apply and hire one.
Wink wink. After you have achieved these three pieces where you're spending 30k a month, you're considering yourself true expert. You think you have the time to manage cost caps and you have stability in your account, then yes, cost caps are one of the most effective, most dominant tools, but they require data and they require good proper timing. Now, most advertisers fail with cost caps because they generally don't understand how to set the cost cap in the first place.
They don't understand when and how to adjust cost caps without resetting the learning phase over and over and over again. They also don't understand how to scale caps without collapsing performance. And the scariest part is they don't know how to force caps down when costs actually increase. Now, if you've ever tried cost caps before, it's very likely you've run into at least one, probably all three of these. One, campaigns stop spending entirely or adsets stop spending entirely.
Two, one adset hogs all of the spend, usually the one that has the highest cap, and all the others are set completely dead. And then three, cost blow past your cap and results tank. Meaning, you set a $50 cap and everything's at $70 and it's still spending. You're asking yourself why this isn't what it says it's going to do. 99% of advertisers that are running meta ads are running on the highest volume bid strategy. This is default, but the biggest advertisers are not.
Craziest thing, one of the most ridiculous stats that I've ever heard is that nearly 50% of the total ad spend in Meta is run in a cost control environment. Whether that's cost caps or bid caps, cost caps, in my opinion are the bridge between highest volume to controlled scale, but only when the system is truly truly truly ready. So you move from a spend my entire budget and hope for efficiency to spend only when you meet my efficiency.
This is a very important distinction. Now, literally on the label of Meta, it says Meta will aim to spend your entire budget and get the most purchases using the highest volume strategy. If keeping the average cost per result around a certain amount is important, enter a cost per result goal. Now read that one more time. You could either give permission for matter to spend your entire budget every day or you could say only buy when it's worth it.
And as I said before, this is for advanced operating and scaling only. So look, if you are one of those businesses that are legitimately struggling to scale, then I would highly, highly advise you to go back through this document again and again. And by the way, it's free in the description. No strings attached. Go and get it. And I hope everyone legitimately got value out of this video because this is one of those that took hours for me to put together.
That is all for today and I'll see you in the next
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