Facebook New Conversion Bidding Methods
Published on: December 7 2022 by Nick Peroni
Facebook New Conversion Bidding Methods
Table of Contents About Facebook New Conversion Bidding Methods
| startTime | durationTime | text |
| 00:00:00 | 00:00:05 | hey what's going on everyone Nick here |
| 00:00:02 | 00:00:08 | and I wanted to make a video today to |
| 00:00:05 | 00:00:11 | tok about Facebook's new conversion |
| 00:00:08 | 00:00:12 | bidding methods this is something that |
| 00:00:11 | 00:00:14 | was just rolled out to my account I'm |
| 00:00:12 | 00:00:16 | not sure if it's completely rolled out |
| 00:00:14 | 00:00:18 | everywhere yet but man I'll tell you |
| 00:00:16 | 00:00:21 | Facebook is constantly updating and |
| 00:00:18 | 00:00:23 | updating they're making it tough to stay |
| 00:00:21 | 00:00:25 | on top of it with training but you know |
| 00:00:23 | 00:00:27 | I wanted to make this video as soon as I |
| 00:00:25 | 00:00:29 | saw that this update was getting rolled |
| 00:00:27 | 00:00:32 | out because it's actually a really major |
| 00:00:29 | 00:00:35 | it's it's a major change to the |
| 00:00:32 | 00:00:38 | appearance of how we set our conversion |
| 00:00:35 | 00:00:40 | bidding methods but it's actually the |
| 00:00:38 | 00:00:42 | same it's just like a different way of |
| 00:00:40 | 00:00:43 | explaining it so I thought I would make |
| 00:00:42 | 00:00:47 | this video to tok about what it looks |
| 00:00:43 | 00:00:48 | like now and also rheic splain I guess |
| 00:00:47 | 00:00:51 | the different types of bidding methods |
| 00:00:48 | 00:00:52 | and and why they work and I know that |
| 00:00:51 | 00:00:54 | this will be a really good video for |
| 00:00:52 | 00:00:56 | people who are newer to advertise and |
| 00:00:54 | 00:00:58 | just getting involved or maybe don't |
| 00:00:56 | 00:01:01 | understand the switch now I'm gonna warn |
| 00:00:58 | 00:01:04 | you first of all that this is not gonna |
| 00:01:01 | 00:01:06 | be like an exciting video I just put |
| 00:01:04 | 00:01:08 | together this sideshow really quickly |
| 00:01:06 | 00:01:10 | you know it's a lot of information it's |
| 00:01:08 | 00:01:13 | not gonna be too long but I mean it's |
| 00:01:10 | 00:01:15 | toking about conversion bidding methods |
| 00:01:13 | 00:01:17 | I know that this stuff is not exciting |
| 00:01:15 | 00:01:18 | but it's really important so that we |
| 00:01:17 | 00:01:20 | understand the options we have when |
| 00:01:18 | 00:01:23 | we're going through our Facebook |
| 00:01:20 | 00:01:25 | campaigns and I set myself up down here |
| 00:01:23 | 00:01:27 | in the little webcam corner so maybe |
| 00:01:25 | 00:01:28 | it'll make it a little less boring if |
| 00:01:27 | 00:01:31 | you guys can see me as we go through |
| 00:01:28 | 00:01:34 | this but here's the deal Facebook is |
| 00:01:31 | 00:01:36 | updated the way it lets advertisers use |
| 00:01:34 | 00:01:37 | automatik and manual bidding all right |
| 00:01:36 | 00:01:39 | that's what it used to be called |
| 00:01:37 | 00:01:42 | automatik bidding manual bidding now |
| 00:01:39 | 00:01:44 | they've they've renamed it I guess and |
| 00:01:42 | 00:01:47 | what they say is they've they've named |
| 00:01:44 | 00:01:49 | it to identify more clearly what each |
| 00:01:47 | 00:01:52 | type of bidding method does so now they |
| 00:01:49 | 00:01:55 | have lowest cost bidding and target cost |
| 00:01:52 | 00:01:59 | bidding alright and they did that based |
| 00:01:55 | 00:02:01 | on I guess the main benefit of each like |
| 00:01:59 | 00:02:02 | they looked at automatik bidding and |
| 00:02:01 | 00:02:03 | they said what's the main benefit of |
| 00:02:02 | 00:02:05 | this really and the main |
| 00:02:03 | 00:02:07 | benefit is to get the lowest-cost over |
| 00:02:05 | 00:02:09 | your budget so now they're calling it |
| 00:02:07 | 00:02:12 | lowest cost bidding then manual bidding |
| 00:02:09 | 00:02:15 | they split up into its two parts maximum |
| 00:02:12 | 00:02:18 | bid an average bid and the average |
| 00:02:15 | 00:02:20 | manual bidding is now target cost and |
| 00:02:18 | 00:02:22 | the max bid you'll see will go through |
| 00:02:20 | 00:02:23 | here that's part of lowest cost so |
| 00:02:22 | 00:02:26 | here's what it looks like all right you |
| 00:02:23 | 00:02:29 | can see in the bid strategy they've done |
| 00:02:26 | 00:02:31 | updates to bidding options and all this |
| 00:02:29 | 00:02:33 | information here is really stuff that |
| 00:02:31 | 00:02:36 | you can get from Facebook but I know |
| 00:02:33 | 00:02:38 | some people you know I have I have extra |
| 00:02:36 | 00:02:39 | time right I have more time than a lot |
| 00:02:38 | 00:02:41 | of people just be able to focus and |
| 00:02:39 | 00:02:44 | learn and study these things so I wanted |
| 00:02:41 | 00:02:46 | to go over it myself familiarize it with |
| 00:02:44 | 00:02:48 | myself for my own purposes of course and |
| 00:02:46 | 00:02:51 | then figured you know one of the best |
| 00:02:48 | 00:02:53 | ways I can learn it myself and then also |
| 00:02:51 | 00:02:55 | explain it to other people is to just |
| 00:02:53 | 00:02:57 | make a quick slideshow presentation |
| 00:02:55 | 00:02:59 | about it but you can see here where |
| 00:02:57 | 00:03:02 | that's what's changed at Facebook |
| 00:02:59 | 00:03:05 | explains what is being changed so they |
| 00:03:02 | 00:03:07 | have lowest cost and target cost now all |
| 00:03:05 | 00:03:09 | right so here's what most cost bidding |
| 00:03:07 | 00:03:11 | is all about it used to be automatik |
| 00:03:09 | 00:03:13 | bidding okay and what it does is it |
| 00:03:11 | 00:03:16 | optimizes to get you the lowest cost |
| 00:03:13 | 00:03:19 | curve result for your optimization |
| 00:03:16 | 00:03:21 | choice so whatever you are bidding on |
| 00:03:19 | 00:03:23 | that view content at the car purchase |
| 00:03:21 | 00:03:27 | like whatever your conversion objective |
| 00:03:23 | 00:03:29 | is Facebook is going to take your daily |
| 00:03:27 | 00:03:31 | budget right it's gonna evenly spread |
| 00:03:29 | 00:03:34 | your budget so it looks at at the |
| 00:03:31 | 00:03:36 | beginning of your 24-hour cycle whatever |
| 00:03:34 | 00:03:38 | your time zone is when it hits 12 a.m. |
| 00:03:36 | 00:03:40 | Facebook's gonna look at whatever that |
| 00:03:38 | 00:03:42 | daily budget is that you've set and then |
| 00:03:40 | 00:03:45 | it's going to guess the total amount of |
| 00:03:42 | 00:03:48 | conversions that can get across that 24 |
| 00:03:45 | 00:03:51 | hour period for your budget okay and the |
| 00:03:48 | 00:03:52 | lowest cost bidding what it means |
| 00:03:51 | 00:03:54 | same thing with automatik bidding is |
| 00:03:52 | 00:03:58 | that Facebook's always gonna go out and |
| 00:03:54 | 00:04:03 | try to find the lowest cost per result |
| 00:03:58 | 00:04:05 | for that a for that objective okay so if |
| 00:04:03 | 00:04:07 | you're going for purchases Facebook's |
| 00:04:05 | 00:04:10 | going to go out and try to find the |
| 00:04:07 | 00:04:12 | lowest cost per purchase for you based |
| 00:04:10 | 00:04:15 | on whatever your daily budget is okay so |
| 00:04:12 | 00:04:17 | hopefully that makes sense it's gonna |
| 00:04:15 | 00:04:19 | look at your total daily budget |
| 00:04:17 | 00:04:21 | how much money you're willing to spend |
| 00:04:19 | 00:04:22 | in the 24 hour period and then it's |
| 00:04:21 | 00:04:25 | gonna go out there and try to find the |
| 00:04:22 | 00:04:28 | lowest-cost the maximum amount of lowest |
| 00:04:25 | 00:04:31 | cost per results that it can for that |
| 00:04:28 | 00:04:32 | okay and as we know with automatik |
| 00:04:31 | 00:04:34 | bidding what this means is as you |
| 00:04:32 | 00:04:36 | increase your budget your cost per |
| 00:04:34 | 00:04:38 | result will naturally increase as well |
| 00:04:36 | 00:04:41 | because Facebook's going to spend more |
| 00:04:38 | 00:04:43 | money to fill up that total daily budget |
| 00:04:41 | 00:04:47 | to find you as many conversions as |
| 00:04:43 | 00:04:50 | possible okay but now as you saw here |
| 00:04:47 | 00:04:52 | there's something that is a big cap now |
| 00:04:50 | 00:04:54 | you can read a blank all right you don't |
| 00:04:52 | 00:04:57 | have to set a big cap so what this looks |
| 00:04:54 | 00:04:59 | like here is you have the lowest cost |
| 00:04:57 | 00:05:00 | okay just lowest cost on its own is |
| 00:04:59 | 00:05:02 | automatik bidding where it's gonna go |
| 00:05:00 | 00:05:04 | out and do what Auto bit did just gonna |
| 00:05:02 | 00:05:06 | do its thing and try to get you the most |
| 00:05:04 | 00:05:12 | conversions it can within your daily |
| 00:05:06 | 00:05:15 | budget if you set a big cap this is the |
| 00:05:12 | 00:05:18 | new version of max bid manual bidding |
| 00:05:15 | 00:05:20 | okay and the reason it's doing that is |
| 00:05:18 | 00:05:22 | because when you've set a cap the true |
| 00:05:20 | 00:05:24 | purpose of setting a cap right like we |
| 00:05:22 | 00:05:26 | know all these videos came out and gurus |
| 00:05:24 | 00:05:29 | out there toking about using max big |
| 00:05:26 | 00:05:31 | manual bidding as a way to like scale |
| 00:05:29 | 00:05:33 | quickly and I made a similar video as |
| 00:05:31 | 00:05:35 | well because it was a way that you could |
| 00:05:33 | 00:05:38 | scale quickly based on knowing your |
| 00:05:35 | 00:05:42 | conversion cost but the real goal of |
| 00:05:38 | 00:05:44 | using a max bid with manual bidding is |
| 00:05:42 | 00:05:46 | to tell Facebook that there's a maximum |
| 00:05:44 | 00:05:48 | amount that you're willing to spend and |
| 00:05:46 | 00:05:50 | you don't want to go over that right |
| 00:05:48 | 00:05:52 | that's why it's called a big cap |
| 00:05:50 | 00:05:56 | Facebook's not going to go over that |
| 00:05:52 | 00:05:59 | maximum amount so you should only be |
| 00:05:56 | 00:06:00 | setting a big cap if you if you want to |
| 00:05:59 | 00:06:02 | be manual bidding for your conversions |
| 00:06:00 | 00:06:04 | because you're taking away the ability |
| 00:06:02 | 00:06:06 | for Facebook to go out and just say I'm |
| 00:06:04 | 00:06:09 | gonna find you the best cost per |
| 00:06:06 | 00:06:11 | conversion for this budget when you set |
| 00:06:09 | 00:06:14 | that big cap you're now saying I want to |
| 00:06:11 | 00:06:15 | control what you're going to spend all |
| 00:06:14 | 00:06:17 | right so it's gonna keep your cost |
| 00:06:15 | 00:06:19 | stable over time but it's manual bidding |
| 00:06:17 | 00:06:23 | because you may have to adjust that bid |
| 00:06:19 | 00:06:25 | cat all right so the next question |
| 00:06:23 | 00:06:27 | logically is should you set a big cap or |
| 00:06:25 | 00:06:28 | not right well important distinction do |
| 00:06:27 | 00:06:30 | you want to be manual bid |
| 00:06:28 | 00:06:32 | your automatik bidding okay if you're |
| 00:06:30 | 00:06:34 | just testing ads and you're looking to |
| 00:06:32 | 00:06:38 | get started in remember for those of you |
| 00:06:34 | 00:06:40 | who got my email about the econ summit |
| 00:06:38 | 00:06:42 | by the tan brothers in Singapore one of |
| 00:06:40 | 00:06:43 | the things that they toked about in |
| 00:06:42 | 00:06:46 | their presentation they're two million |
| 00:06:43 | 00:06:47 | dollar case study is that they use auto |
| 00:06:46 | 00:06:48 | bidding for almost everything that they |
| 00:06:47 | 00:06:50 | do |
| 00:06:48 | 00:06:52 | they said that seventy percent of all of |
| 00:06:50 | 00:06:54 | their campaigns and the money that they |
| 00:06:52 | 00:06:57 | make revenue that they generate is auto |
| 00:06:54 | 00:07:00 | bid okay so the first thing to remember |
| 00:06:57 | 00:07:02 | is you know what kind of bidding do you |
| 00:07:00 | 00:07:03 | want to do alright because if you're |
| 00:07:02 | 00:07:06 | just looking to do automatik bidding |
| 00:07:03 | 00:07:08 | then don't set a bid cap alright but |
| 00:07:06 | 00:07:11 | it's smart to set a bid cap when you |
| 00:07:08 | 00:07:13 | basically when you already know what |
| 00:07:11 | 00:07:15 | your average cost per result is going to |
| 00:07:13 | 00:07:17 | be so if you've been testing a campaign |
| 00:07:15 | 00:07:19 | and say you've been getting a steady |
| 00:07:17 | 00:07:21 | cost per conversion at ten dollars right |
| 00:07:19 | 00:07:23 | you're already you know you've spent |
| 00:07:21 | 00:07:25 | maybe you've spent five hundred dollars |
| 00:07:23 | 00:07:27 | on this campaign already so you've |
| 00:07:25 | 00:07:29 | already gotten fifty conversions at ten |
| 00:07:27 | 00:07:31 | dollars that's your average cost per |
| 00:07:29 | 00:07:33 | purchase now so you know you're out of |
| 00:07:31 | 00:07:35 | the learning phase and Facebook has |
| 00:07:33 | 00:07:38 | basically given you the data that it |
| 00:07:35 | 00:07:40 | costs you $10 to get a purchase acquire |
| 00:07:38 | 00:07:42 | a customer on that campaign so now maybe |
| 00:07:40 | 00:07:45 | you want to duplicate it and see if it |
| 00:07:42 | 00:07:46 | holds up at a thousand dollar budget |
| 00:07:45 | 00:07:48 | right or maybe you were spending a |
| 00:07:46 | 00:07:50 | hundred dollars a day and that happened |
| 00:07:48 | 00:07:51 | over a five day period now you want to |
| 00:07:50 | 00:07:52 | spend five hundred dollars a day |
| 00:07:51 | 00:07:55 | whatever it whatever it is |
| 00:07:52 | 00:07:59 | so you can set that campaign now to five |
| 00:07:55 | 00:08:02 | hundred dollars a day and set a bid cap |
| 00:07:59 | 00:08:04 | at whatever you want to set it so if |
| 00:08:02 | 00:08:06 | it's spending ten dollars average cost |
| 00:08:04 | 00:08:08 | per purchase you might set your big cap |
| 00:08:06 | 00:08:11 | at twenty dollars right two times the |
| 00:08:08 | 00:08:13 | average cost okay you're telling |
| 00:08:11 | 00:08:18 | Facebook that you won't spend more than |
| 00:08:13 | 00:08:19 | $20 to bid per a customer at an auction |
| 00:08:18 | 00:08:21 | right at the auction you're not willing |
| 00:08:19 | 00:08:25 | to spend more than $20 to win that |
| 00:08:21 | 00:08:27 | customer but you're protecting your |
| 00:08:25 | 00:08:30 | spend right so if you're spending that |
| 00:08:27 | 00:08:33 | $500 a day and you did it on auto bid it |
| 00:08:30 | 00:08:35 | might just fluctuate and go crazy you |
| 00:08:33 | 00:08:37 | don't know but if you're and it |
| 00:08:35 | 00:08:39 | shouldn't but when you jump that big and |
| 00:08:37 | 00:08:41 | you're not scaling gradually sometimes |
| 00:08:39 | 00:08:43 | it can so if you want to make |
| 00:08:41 | 00:08:45 | big jump sending a big cap is a way that |
| 00:08:43 | 00:08:46 | you can control what Facebook is gonna |
| 00:08:45 | 00:08:48 | go out there and spend on your daily |
| 00:08:46 | 00:08:51 | budget all right |
| 00:08:48 | 00:08:53 | it requires careful monitoring though |
| 00:08:51 | 00:08:56 | that's why that's in parentheses there |
| 00:08:53 | 00:08:58 | because you may not get any traffic if |
| 00:08:56 | 00:09:00 | you don't set your bid cap high enough |
| 00:08:58 | 00:09:02 | all right so when you're setting your |
| 00:09:00 | 00:09:04 | bid cap looking at some ideas here it's |
| 00:09:02 | 00:09:07 | the same as it used to be with max |
| 00:09:04 | 00:09:09 | manual bidding right and generally what |
| 00:09:07 | 00:09:11 | I mean some people suggest just starting |
| 00:09:09 | 00:09:14 | out of the number like 30 or 40 right |
| 00:09:11 | 00:09:16 | like your suggested max bid or suggested |
| 00:09:14 | 00:09:18 | bid cap I was always doing like if I had |
| 00:09:16 | 00:09:20 | a campaign where I saw myself getting a |
| 00:09:18 | 00:09:22 | pretty consistent average cost per |
| 00:09:20 | 00:09:25 | purchase or whatever my result is I |
| 00:09:22 | 00:09:27 | would usually do it two times or two and |
| 00:09:25 | 00:09:28 | a half times the average cost per result |
| 00:09:27 | 00:09:30 | and here's why |
| 00:09:28 | 00:09:31 | all right here's why this strategy works |
| 00:09:30 | 00:09:35 | in facebook again this is information |
| 00:09:31 | 00:09:38 | from Facebook Facebook is only going to |
| 00:09:35 | 00:09:40 | spend the minimum amount required to win |
| 00:09:38 | 00:09:43 | that bid in the auction process all |
| 00:09:40 | 00:09:45 | right so even if you spend 30 or I'm |
| 00:09:43 | 00:09:48 | sorry even if you set your big cap at |
| 00:09:45 | 00:09:50 | $20 max bid that's your bid cap that |
| 00:09:48 | 00:09:53 | you're willing to tell Facebook to go |
| 00:09:50 | 00:09:55 | out and spend that's just an indication |
| 00:09:53 | 00:09:57 | that you're telling Facebook to go out |
| 00:09:55 | 00:10:01 | and get you those conversions and you're |
| 00:09:57 | 00:10:03 | willing to spend more to get them but if |
| 00:10:01 | 00:10:06 | you win the auction Facebook is still |
| 00:10:03 | 00:10:08 | only going to spend the minimum amount |
| 00:10:06 | 00:10:11 | that was required to win that auction so |
| 00:10:08 | 00:10:13 | that's why you can set your budget |
| 00:10:11 | 00:10:17 | I'd say or I'm sorry say setting your |
| 00:10:13 | 00:10:19 | bid cap at $20 but still be getting a |
| 00:10:17 | 00:10:21 | cost per purchase at $10 same thing with |
| 00:10:19 | 00:10:24 | leaves if your cost per lead that you're |
| 00:10:21 | 00:10:26 | getting was $5 you can still set it for |
| 00:10:24 | 00:10:29 | 10 or $15 that you're willing as a max |
| 00:10:26 | 00:10:30 | bid to spend but that doesn't mean |
| 00:10:29 | 00:10:32 | Facebook's going to spend it you're just |
| 00:10:30 | 00:10:34 | indicating the Facebook that you're |
| 00:10:32 | 00:10:36 | willing to pay for the quality |
| 00:10:34 | 00:10:38 | conversions so you win the auction |
| 00:10:36 | 00:10:41 | process but they only spend whatever |
| 00:10:38 | 00:10:44 | that minimum required amount was all |
| 00:10:41 | 00:10:45 | right but here's the deal with bid caps |
| 00:10:44 | 00:10:48 | is that it's manual so it requires |
| 00:10:45 | 00:10:50 | monitoring and adjusting in response |
| 00:10:48 | 00:10:52 | sometimes on a daily basis to whatever |
| 00:10:50 | 00:10:53 | the results you're getting okay if you |
| 00:10:52 | 00:10:55 | have your bid |
| 00:10:53 | 00:10:58 | kappa $20 and you're not getting any |
| 00:10:55 | 00:10:59 | traffic then it's set too low and you're |
| 00:10:58 | 00:11:01 | gonna need to increase it to start |
| 00:10:59 | 00:11:03 | getting traffic if you have it set to |
| 00:11:01 | 00:11:05 | $20 and you're getting your cost per |
| 00:11:03 | 00:11:07 | purchase is coming in at fifteen |
| 00:11:05 | 00:11:09 | seventeen dollars and you want it to be |
| 00:11:07 | 00:11:11 | at ten then maybe you need to drop your |
| 00:11:09 | 00:11:16 | max bid cap a little bit you know and |
| 00:11:11 | 00:11:18 | find find that area that works okay so |
| 00:11:16 | 00:11:21 | it's the same thing as the manual bid |
| 00:11:18 | 00:11:23 | max bit and you still need to watch it |
| 00:11:21 | 00:11:25 | closely and make sure you're adjusting |
| 00:11:23 | 00:11:27 | it in response to the results that |
| 00:11:25 | 00:11:30 | you're getting all right another |
| 00:11:27 | 00:11:34 | important part of manual bidding and |
| 00:11:30 | 00:11:37 | using the max oh I'm sorry using the big |
| 00:11:34 | 00:11:41 | cap is your bid to budget ratio all |
| 00:11:37 | 00:11:45 | right so you're however much you're |
| 00:11:41 | 00:11:49 | you're willing to spend on a bid is only |
| 00:11:45 | 00:11:51 | one actual part of what face book looks |
| 00:11:49 | 00:11:54 | like they also look at your total budget |
| 00:11:51 | 00:11:56 | okay because they want to spend your |
| 00:11:54 | 00:11:58 | money for the optimal conversion cost |
| 00:11:56 | 00:12:01 | and based on how much money you have in |
| 00:11:58 | 00:12:04 | a daily budget that's going to affect |
| 00:12:01 | 00:12:06 | like whatever your bid is do they feel |
| 00:12:04 | 00:12:07 | like they can actually fit a certain |
| 00:12:06 | 00:12:09 | amount of conversions in that budget |
| 00:12:07 | 00:12:11 | basically all right so face book |
| 00:12:09 | 00:12:12 | suggests setting your daily budget at |
| 00:12:11 | 00:12:15 | least five times higher than your bid |
| 00:12:12 | 00:12:17 | cap okay so if you want ten dollar |
| 00:12:15 | 00:12:19 | purchases and you set your bid kappa |
| 00:12:17 | 00:12:22 | twenty dollars then your daily budget |
| 00:12:19 | 00:12:26 | they're suggesting should be at least a |
| 00:12:22 | 00:12:28 | hundred dollars a day okay and again |
| 00:12:26 | 00:12:30 | it's that's important because that gives |
| 00:12:28 | 00:12:33 | facebook enough of the daily budget to |
| 00:12:30 | 00:12:35 | actually use your bid cap all right and |
| 00:12:33 | 00:12:36 | if you're not bidding enough you're not |
| 00:12:35 | 00:12:38 | gonna get traffic but also if you're |
| 00:12:36 | 00:12:40 | bidding a certain amount but your |
| 00:12:38 | 00:12:42 | budgets not high enough then facebook |
| 00:12:40 | 00:12:44 | might not know how to go out and |
| 00:12:42 | 00:12:47 | actually use your bid within that budget |
| 00:12:44 | 00:12:49 | to win the auction process all right so |
| 00:12:47 | 00:12:52 | that's important to understand now a |
| 00:12:49 | 00:12:53 | suggestion that you can use if you only |
| 00:12:52 | 00:12:55 | have a certain budget that you're |
| 00:12:53 | 00:12:57 | willing to spend on a day |
| 00:12:55 | 00:12:59 | you want to use this method say you had |
| 00:12:57 | 00:13:01 | a hundred dollars that you're willing to |
| 00:12:59 | 00:13:03 | spend well another way you could do it |
| 00:13:01 | 00:13:05 | is divide by five and then use that the |
| 00:13:03 | 00:13:07 | Citra max bid because that's stiking |
| 00:13:05 | 00:13:09 | within the best practikes of what |
| 00:13:07 | 00:13:11 | facebook wants to go out and get you the |
| 00:13:09 | 00:13:13 | best results and so that lets you know |
| 00:13:11 | 00:13:15 | where your max bid needs to be and then |
| 00:13:13 | 00:13:17 | you can just start testing and if that |
| 00:13:15 | 00:13:19 | max bid doesn't work then you can start |
| 00:13:17 | 00:13:21 | adjusting to you get results and that |
| 00:13:19 | 00:13:23 | will give you an idea of where your |
| 00:13:21 | 00:13:25 | daily budget needs to be right because I |
| 00:13:23 | 00:13:26 | imagine you're willing to spend the |
| 00:13:25 | 00:13:28 | money if you're gonna get the results so |
| 00:13:26 | 00:13:30 | if you if you have something and say you |
| 00:13:28 | 00:13:32 | have a $50 budget that you're willing to |
| 00:13:30 | 00:13:36 | spend and so you divide by 5 and that's |
| 00:13:32 | 00:13:39 | $10 a day for a max bid and that's what |
| 00:13:36 | 00:13:41 | you're using is your a bid cap right but |
| 00:13:39 | 00:13:43 | it's not getting you results then maybe |
| 00:13:41 | 00:13:46 | this is not a strategy that's gonna work |
| 00:13:43 | 00:13:47 | for you yet right at $50 it's just you |
| 00:13:46 | 00:13:50 | know it's not working for you because |
| 00:13:47 | 00:13:53 | maybe that bid is not able to get you |
| 00:13:50 | 00:13:55 | the conversions that you need and so you |
| 00:13:53 | 00:13:57 | should just be using lowest cost bidding |
| 00:13:55 | 00:13:59 | until you're able to use a higher bid to |
| 00:13:57 | 00:14:01 | budget ratio all right hopefully that |
| 00:13:59 | 00:14:03 | makes sense this is just all you know |
| 00:14:01 | 00:14:06 | trying to explain the way that the |
| 00:14:03 | 00:14:07 | process works so you understand the |
| 00:14:06 | 00:14:09 | options available to you when running |
| 00:14:07 | 00:14:11 | your ads and you can test different |
| 00:14:09 | 00:14:12 | things within the best practikes of how |
| 00:14:11 | 00:14:15 | they're actually intended and designed |
| 00:14:12 | 00:14:17 | to be used in your e-commerce business |
| 00:14:15 | 00:14:19 | all right so here's a graphic example |
| 00:14:17 | 00:14:22 | that comes from Facebook that you can |
| 00:14:19 | 00:14:24 | see an example auction based on and this |
| 00:14:22 | 00:14:26 | is this is a simplified version right so |
| 00:14:24 | 00:14:29 | based on the bid amount over here okay |
| 00:14:26 | 00:14:31 | this is the auction process over the 24 |
| 00:14:29 | 00:14:35 | hour period going forward and then |
| 00:14:31 | 00:14:39 | here's the amount being bid per |
| 00:14:35 | 00:14:42 | conversion to get to get a result okay |
| 00:14:39 | 00:14:44 | so from $1 bid to $5 now obviously these |
| 00:14:42 | 00:14:46 | are really small pin caps but it's just |
| 00:14:44 | 00:14:49 | an example right so you can see that if |
| 00:14:46 | 00:14:51 | you were to set your bid cap at $3 right |
| 00:14:49 | 00:14:55 | here these are the conversions that you |
| 00:14:51 | 00:14:57 | could win everything here and under but |
| 00:14:55 | 00:15:00 | you may miss conversions that would be |
| 00:14:57 | 00:15:02 | valuable to your business by not having |
| 00:15:00 | 00:15:04 | by not using just the lowest cost |
| 00:15:02 | 00:15:06 | automatik bidding so it's just to show |
| 00:15:04 | 00:15:08 | you the difference between what will |
| 00:15:06 | 00:15:10 | happen if you're using a max |
| 00:15:08 | 00:15:11 | cat and you're not and you don't really |
| 00:15:10 | 00:15:13 | know where you're sending it if you're |
| 00:15:11 | 00:15:15 | bidding at three dollars and this is |
| 00:15:13 | 00:15:18 | what you set your bid cap to Facebook's |
| 00:15:15 | 00:15:19 | not gonna bid anything higher than that |
| 00:15:18 | 00:15:21 | right |
| 00:15:19 | 00:15:23 | and if you were to look at the total |
| 00:15:21 | 00:15:25 | amount of conversions here your average |
| 00:15:23 | 00:15:27 | cost is probably going to be three |
| 00:15:25 | 00:15:29 | dollars but you're not setting it as an |
| 00:15:27 | 00:15:31 | average cost you're setting it as a max |
| 00:15:29 | 00:15:32 | bid so if you're setting three dollars |
| 00:15:31 | 00:15:35 | is your max bid you're missing out on |
| 00:15:32 | 00:15:37 | these potential conversions up here some |
| 00:15:35 | 00:15:39 | of them may be more expensive some of |
| 00:15:37 | 00:15:41 | them are less expensive but that's what |
| 00:15:39 | 00:15:44 | Facebook looks at you know when you |
| 00:15:41 | 00:15:45 | consider an auction process overall and |
| 00:15:44 | 00:15:48 | so if you're using the lowest cost |
| 00:15:45 | 00:15:50 | bidding Facebook is just going to go out |
| 00:15:48 | 00:15:52 | here and try to get the most conversions |
| 00:15:50 | 00:15:55 | for whatever your budget is right if |
| 00:15:52 | 00:15:57 | you're using a max cap that were a big |
| 00:15:55 | 00:16:00 | cap then you're telling Facebook where |
| 00:15:57 | 00:16:03 | you're not willing to go higher than to |
| 00:16:00 | 00:16:04 | bid on the conversions that you want all |
| 00:16:03 | 00:16:06 | right hopefully that makes sense as a |
| 00:16:04 | 00:16:10 | graphic explanation of this visual |
| 00:16:06 | 00:16:12 | explanation okay so a few tips don't set |
| 00:16:10 | 00:16:14 | a big cat if you want traditional |
| 00:16:12 | 00:16:15 | automatik bidding where Facebook just |
| 00:16:14 | 00:16:17 | doesn't stay okay |
| 00:16:15 | 00:16:20 | sometimes your price will fluctuate with |
| 00:16:17 | 00:16:22 | the with the lowest cost bidding |
| 00:16:20 | 00:16:23 | automatik bidding but Facebook's always |
| 00:16:22 | 00:16:26 | gonna spend your budget evenly to |
| 00:16:23 | 00:16:27 | maximize the lowest cost conversions so |
| 00:16:26 | 00:16:30 | basically if you have a winning product |
| 00:16:27 | 00:16:32 | all right and you're you have a good |
| 00:16:30 | 00:16:34 | audience a winning product and your ad |
| 00:16:32 | 00:16:37 | is working then using the automatik |
| 00:16:34 | 00:16:39 | bidding using the lowest cost bidding is |
| 00:16:37 | 00:16:40 | going to work because Facebook is just |
| 00:16:39 | 00:16:42 | gonna go out there whatever your daily |
| 00:16:40 | 00:16:44 | budget is and it's just gonna try to |
| 00:16:42 | 00:16:46 | fill that budget with as many of the |
| 00:16:44 | 00:16:48 | lowest cost conversions as it can all |
| 00:16:46 | 00:16:50 | right but as you scale of course over |
| 00:16:48 | 00:16:53 | time the more money that you're spending |
| 00:16:50 | 00:16:55 | and telling Facebook it has to spend the |
| 00:16:53 | 00:16:57 | more the price is gonna fluctuate up |
| 00:16:55 | 00:16:59 | because it's gonna go out there chasing |
| 00:16:57 | 00:17:01 | more conversions to spend that money all |
| 00:16:59 | 00:17:03 | right so if you want to keep your cost |
| 00:17:01 | 00:17:05 | per result capped at a maximum amount |
| 00:17:03 | 00:17:07 | then you use that big cap okay and you |
| 00:17:05 | 00:17:09 | can use that as a way to control higher |
| 00:17:07 | 00:17:11 | budgets and push more traffic through |
| 00:17:09 | 00:17:14 | while keeping your cost in check all |
| 00:17:11 | 00:17:16 | right after the learning fees when you |
| 00:17:14 | 00:17:18 | get that 50 conversions is when you'll |
| 00:17:16 | 00:17:22 | get a most accurate look to how your bid |
| 00:17:18 | 00:17:24 | is performing so a lot of times you know |
| 00:17:22 | 00:17:26 | as me personally for example I'm usually |
| 00:17:24 | 00:17:29 | gonna want to go through the learning |
| 00:17:26 | 00:17:32 | phase and get 50 conversions on an ad |
| 00:17:29 | 00:17:34 | set on a product before I consider |
| 00:17:32 | 00:17:37 | really scaling it with something because |
| 00:17:34 | 00:17:40 | that learning phase Facebook has |
| 00:17:37 | 00:17:41 | identified 50 conversions because it |
| 00:17:40 | 00:17:43 | knows when it's it's gone through that |
| 00:17:41 | 00:17:45 | learning phase and had 50 conversions |
| 00:17:43 | 00:17:48 | that it's basically pretty narrowed in |
| 00:17:45 | 00:17:51 | to what your average cost is going to be |
| 00:17:48 | 00:17:53 | for that audience all right that's not |
| 00:17:51 | 00:17:55 | saying going to new audiences but for |
| 00:17:53 | 00:17:57 | that audience that you have you have a |
| 00:17:55 | 00:18:01 | pretty good look at what your cost per |
| 00:17:57 | 00:18:03 | conversion is going to be so looking at |
| 00:18:01 | 00:18:06 | target cost bidding now which is the |
| 00:18:03 | 00:18:07 | last version so lowest cost bidding |
| 00:18:06 | 00:18:09 | includes two different things |
| 00:18:07 | 00:18:12 | automatik bidding and then using it with |
| 00:18:09 | 00:18:14 | a big cap that is like max bid manual |
| 00:18:12 | 00:18:18 | bidding when you're looking at target |
| 00:18:14 | 00:18:19 | cost bidding this is average cost manual |
| 00:18:18 | 00:18:22 | bidding all right that's what it used to |
| 00:18:19 | 00:18:24 | be and what this does is it optimizes |
| 00:18:22 | 00:18:26 | your ad set to deliver stable costs per |
| 00:18:24 | 00:18:29 | result nearest to the target cost that |
| 00:18:26 | 00:18:30 | you set all right so it's not exact and |
| 00:18:29 | 00:18:32 | it could fluctuate up and down but |
| 00:18:30 | 00:18:35 | whatever you set that target cost at |
| 00:18:32 | 00:18:37 | Facebook is going to do its best to |
| 00:18:35 | 00:18:40 | optimize keeping your results at that |
| 00:18:37 | 00:18:42 | target cost and the same thing it does |
| 00:18:40 | 00:18:45 | is based on a 24-hour cycle so it's |
| 00:18:42 | 00:18:49 | gonna optimize your spent your daily |
| 00:18:45 | 00:18:52 | budget to get as many conversions at |
| 00:18:49 | 00:18:55 | that cap average target cost okay over |
| 00:18:52 | 00:18:56 | the 24-hour cycle now the kicker about |
| 00:18:55 | 00:18:58 | this is that if you don't set your |
| 00:18:56 | 00:19:01 | target cost correctly it may not spend |
| 00:18:58 | 00:19:03 | your full budget because of what you set |
| 00:19:01 | 00:19:05 | your target cost right so again this is |
| 00:19:03 | 00:19:07 | very manual you need to know the numbers |
| 00:19:05 | 00:19:08 | you need to know you can start of course |
| 00:19:07 | 00:19:10 | by just saying whatever your ideal |
| 00:19:08 | 00:19:12 | target cost is I want to spend 10 |
| 00:19:10 | 00:19:14 | dollars average per conversion and then |
| 00:19:12 | 00:19:16 | Facebook will go out there and try to do |
| 00:19:14 | 00:19:18 | that sometimes it might be up sometimes |
| 00:19:16 | 00:19:22 | down but over an extended period it |
| 00:19:18 | 00:19:24 | should average out to that $10 target |
| 00:19:22 | 00:19:26 | cost but if you're just pulling that |
| 00:19:24 | 00:19:29 | number out of thin air and your target |
| 00:19:26 | 00:19:31 | cost is actually in reality going |
| 00:19:29 | 00:19:33 | be higher than that then you may not |
| 00:19:31 | 00:19:35 | actually even be spending your budget |
| 00:19:33 | 00:19:39 | because Facebook doesn't have the right |
| 00:19:35 | 00:19:41 | information to work with so whatever you |
| 00:19:39 | 00:19:43 | bid okay this is how it works whatever |
| 00:19:41 | 00:19:45 | you set your target costs that's what |
| 00:19:43 | 00:19:47 | Facebook's going to optimize so the |
| 00:19:45 | 00:19:49 | other side of that we just toked about |
| 00:19:47 | 00:19:51 | the fact that if you don't set your |
| 00:19:49 | 00:19:54 | target cost high enough it may not spend |
| 00:19:51 | 00:19:57 | your budget well if you set your target |
| 00:19:54 | 00:19:59 | costs too high then Facebook's going to |
| 00:19:57 | 00:20:01 | spend more all right if you set your |
| 00:19:59 | 00:20:04 | target costs to $10 and your actual |
| 00:20:01 | 00:20:06 | average cost per result is only $8 |
| 00:20:04 | 00:20:09 | Facebook is still gonna optimize to |
| 00:20:06 | 00:20:11 | spend a $10 average cost per purchase |
| 00:20:09 | 00:20:12 | right so you need to be looking at your |
| 00:20:11 | 00:20:14 | data and knowing it because whatever you |
| 00:20:12 | 00:20:16 | set that target cost you're telling |
| 00:20:14 | 00:20:17 | Facebook okay it's manual it's manual |
| 00:20:16 | 00:20:19 | bidding |
| 00:20:17 | 00:20:21 | you are telling Facebook your target |
| 00:20:19 | 00:20:23 | cost so you could either be too high or |
| 00:20:21 | 00:20:25 | too low and you're gonna have to |
| 00:20:23 | 00:20:27 | manually monitor that unless you already |
| 00:20:25 | 00:20:29 | know having come out of a learning phase |
| 00:20:27 | 00:20:33 | and the learning objective or campaign |
| 00:20:29 | 00:20:34 | what that target cost should be and so |
| 00:20:33 | 00:20:37 | here's what you should really be using |
| 00:20:34 | 00:20:39 | at going off what I just said it's |
| 00:20:37 | 00:20:41 | really meant to use when you've already |
| 00:20:39 | 00:20:43 | identified a winning campaign okay you |
| 00:20:41 | 00:20:46 | already have the data you've already |
| 00:20:43 | 00:20:48 | gotten 50 U+ conversions okay that are |
| 00:20:46 | 00:20:50 | coming in at whatever you you know an |
| 00:20:48 | 00:20:52 | ideal conversion cost for you that you |
| 00:20:50 | 00:20:53 | know this is a winning campaign all |
| 00:20:52 | 00:20:55 | right and now you want to scale into |
| 00:20:53 | 00:20:58 | bigger budgets but you want to keep a |
| 00:20:55 | 00:21:00 | more stable cost purpose so you can use |
| 00:20:58 | 00:21:03 | a target cost of bidding because you |
| 00:21:00 | 00:21:05 | know what your target cost should be and |
| 00:21:03 | 00:21:07 | so you're giving that to Facebook and it |
| 00:21:05 | 00:21:12 | becomes very valuable for you that to |
| 00:21:07 | 00:21:15 | scale scaling that winning campaign okay |
| 00:21:12 | 00:21:17 | you already know the lowest target cost |
| 00:21:15 | 00:21:19 | to expect and so now you can create that |
| 00:21:17 | 00:21:21 | new campaign with a bigger spend and |
| 00:21:19 | 00:21:23 | then you're using a target cost so again |
| 00:21:21 | 00:21:25 | this is more for like duplicating |
| 00:21:23 | 00:21:28 | campaigns to much higher budgets or |
| 00:21:25 | 00:21:29 | making really big bid adjustments like I |
| 00:21:28 | 00:21:32 | would never take an exit that's already |
| 00:21:29 | 00:21:35 | working and say it $10 a day and just |
| 00:21:32 | 00:21:38 | jump that budget to $100 a day I would |
| 00:21:35 | 00:21:39 | still scale gradually that personally |
| 00:21:38 | 00:21:42 | that's my scaling strategy if I'm using |
| 00:21:39 | 00:21:45 | but but the other way to do it is to |
| 00:21:42 | 00:21:46 | duplicate ad sets when you're using when |
| 00:21:45 | 00:21:48 | you're duplicating an ad set for the |
| 00:21:46 | 00:21:51 | same exact audience using the same exact |
| 00:21:48 | 00:21:52 | ad creative and Facebook's already shown |
| 00:21:51 | 00:21:55 | you the data that prove that that's a |
| 00:21:52 | 00:21:56 | winning campaign or a winning ad set |
| 00:21:55 | 00:21:59 | usually you're gonna be able to get very |
| 00:21:56 | 00:22:02 | similar results so you can duplicate |
| 00:21:59 | 00:22:04 | that ad set and use the target cost to |
| 00:22:02 | 00:22:06 | increase your budget to a lot more and |
| 00:22:04 | 00:22:09 | that gives Facebook a way of knowing |
| 00:22:06 | 00:22:12 | exactly what to optimize for all right |
| 00:22:09 | 00:22:14 | some best practikes with this keep in |
| 00:22:12 | 00:22:16 | mind that the more you spend alright the |
| 00:22:14 | 00:22:18 | more you increase the budget you may |
| 00:22:16 | 00:22:20 | need to increase your target cost a |
| 00:22:18 | 00:22:22 | little bit because of the auction |
| 00:22:20 | 00:22:24 | process alright if you're spending $100 |
| 00:22:22 | 00:22:26 | a day and your target costs that you're |
| 00:22:24 | 00:22:28 | you've been getting consistently it's |
| 00:22:26 | 00:22:30 | like ten dollars a purchase right and |
| 00:22:28 | 00:22:32 | that's your customer acquisition and now |
| 00:22:30 | 00:22:35 | you want to go to five hundred dollars a |
| 00:22:32 | 00:22:37 | day then you have to keep in mind that |
| 00:22:35 | 00:22:40 | with that increased budget Facebook |
| 00:22:37 | 00:22:42 | needs to win more auctions to be able to |
| 00:22:40 | 00:22:44 | spend that money because it's a |
| 00:22:42 | 00:22:47 | objective its goal in its optimization |
| 00:22:44 | 00:22:49 | process is to get you conversions all |
| 00:22:47 | 00:22:50 | right so the only way it can go on and |
| 00:22:49 | 00:22:53 | get you more conversions is to spend |
| 00:22:50 | 00:22:56 | more money but it may need to remember |
| 00:22:53 | 00:22:58 | to do that we looked at this it may need |
| 00:22:56 | 00:23:00 | to spend more it may need to bid higher |
| 00:22:58 | 00:23:03 | to get you these other conversions that |
| 00:23:00 | 00:23:07 | are outside of where your target cost is |
| 00:23:03 | 00:23:09 | so you need to understand that you may |
| 00:23:07 | 00:23:12 | need to increase the target cost more |
| 00:23:09 | 00:23:15 | from say $10 to $12 or something as you |
| 00:23:12 | 00:23:16 | increase the budget to make sure you're |
| 00:23:15 | 00:23:18 | getting the max amount of conversions |
| 00:23:16 | 00:23:21 | you can be all right that's why it |
| 00:23:18 | 00:23:23 | requires manual monitoring of you know |
| 00:23:21 | 00:23:26 | of that careful of audience overlap |
| 00:23:23 | 00:23:28 | because competing against yourself leads |
| 00:23:26 | 00:23:30 | to less delivery all right so this |
| 00:23:28 | 00:23:32 | matters with any ad sets really but for |
| 00:23:30 | 00:23:34 | target costs especially because you're |
| 00:23:32 | 00:23:36 | trying to stabilize your costs per |
| 00:23:34 | 00:23:39 | conversion and if you have too many ad |
| 00:23:36 | 00:23:41 | sets that are overlapping and competing |
| 00:23:39 | 00:23:44 | against each other then it's going to |
| 00:23:41 | 00:23:45 | it's gonna mess up your delivery which |
| 00:23:44 | 00:23:48 | is gonna mess up Facebook's ability to |
| 00:23:45 | 00:23:51 | hit your target cost use a longer |
| 00:23:48 | 00:23:54 | conversion window this is something that |
| 00:23:51 | 00:23:55 | be for anything really I'm gonna tok |
| 00:23:54 | 00:23:57 | about this a little bit more in the next |
| 00:23:55 | 00:23:59 | slide but you want to use a conversion |
| 00:23:57 | 00:24:01 | window that gives Facebook the best |
| 00:23:59 | 00:24:04 | information to fit your target cost |
| 00:24:01 | 00:24:06 | basically all right so you want to have |
| 00:24:04 | 00:24:08 | the most realistik view of what your |
| 00:24:06 | 00:24:10 | target cost is if you're scaling big or |
| 00:24:08 | 00:24:12 | scaling a campaign that you want to just |
| 00:24:10 | 00:24:15 | run consistently on autopilot into a |
| 00:24:12 | 00:24:17 | really big audience then like you want a |
| 00:24:15 | 00:24:19 | conversion window that really represents |
| 00:24:17 | 00:24:22 | what that target cost is going to be and |
| 00:24:19 | 00:24:23 | then wider delivery of your ads right so |
| 00:24:22 | 00:24:25 | don't just you know you can run |
| 00:24:23 | 00:24:27 | worldwide targeting or you can run |
| 00:24:25 | 00:24:30 | across multiple placements or that type |
| 00:24:27 | 00:24:31 | of thing again to give Facebook the most |
| 00:24:30 | 00:24:35 | ability to go out and get your best |
| 00:24:31 | 00:24:36 | target cost so in closing on the last |
| 00:24:35 | 00:24:39 | slide here I just want to tok about |
| 00:24:36 | 00:24:41 | conversion windows briefly because it's |
| 00:24:39 | 00:24:44 | part of you know it's part of what we do |
| 00:24:41 | 00:24:45 | right so you're toking about how you're |
| 00:24:44 | 00:24:48 | bidding but you're bidding also matter |
| 00:24:45 | 00:24:50 | it's based on the conversion window all |
| 00:24:48 | 00:24:51 | right and Facebook's delivery system I |
| 00:24:50 | 00:24:53 | know there's a lot of questions this is |
| 00:24:51 | 00:24:55 | straight from Facebook right when it |
| 00:24:53 | 00:24:56 | comes to conversion windows and I've |
| 00:24:55 | 00:24:59 | toked about this before |
| 00:24:56 | 00:25:01 | Facebook's delivery system only uses |
| 00:24:59 | 00:25:04 | conversions that happen within your |
| 00:25:01 | 00:25:07 | conversion window to decide who to show |
| 00:25:04 | 00:25:09 | ads to in the future right so if you |
| 00:25:07 | 00:25:11 | give Facebook a one day conversion |
| 00:25:09 | 00:25:14 | window that means it's going to base |
| 00:25:11 | 00:25:16 | it's only going to look at okay so what |
| 00:25:14 | 00:25:18 | that means is if you give facebook a |
| 00:25:16 | 00:25:20 | one-day conversion window it's only |
| 00:25:18 | 00:25:23 | going to look at conversions that happen |
| 00:25:20 | 00:25:27 | within one day of somebody clicking or |
| 00:25:23 | 00:25:30 | viewing an ad to use data that optimizes |
| 00:25:27 | 00:25:32 | for showing that ad - in the future okay |
| 00:25:30 | 00:25:34 | if you use a seven day window you're |
| 00:25:32 | 00:25:36 | telling Facebook anybody within a |
| 00:25:34 | 00:25:41 | conversion window of seven days from |
| 00:25:36 | 00:25:44 | clicking or viewing that ad will be used |
| 00:25:41 | 00:25:46 | as data for optimization in the process |
| 00:25:44 | 00:25:48 | all right so you want to optimize based |
| 00:25:46 | 00:25:50 | on the window you believe most of your |
| 00:25:48 | 00:25:52 | conversions are happening if you're |
| 00:25:50 | 00:25:54 | getting mostly 1-day conversion windows |
| 00:25:52 | 00:25:56 | where people are clicking your ad and |
| 00:25:54 | 00:25:58 | purchasing right you have a really high |
| 00:25:56 | 00:26:00 | conversion rate and you're running a lot |
| 00:25:58 | 00:26:03 | of traffic so you're getting 50 |
| 00:26:00 | 00:26:04 | conversions a day on an ad set using a |
| 00:26:03 | 00:26:06 | one day way |
| 00:26:04 | 00:26:10 | though you're giving Facebook a lot of |
| 00:26:06 | 00:26:11 | data to optimize for to show that add to |
| 00:26:10 | 00:26:13 | because it's going to need that every |
| 00:26:11 | 00:26:16 | single 24 hours it's going to need |
| 00:26:13 | 00:26:18 | enough data to continue optimizing over |
| 00:26:16 | 00:26:20 | the next 24 hour period that makes sense |
| 00:26:18 | 00:26:23 | right it optimizes on more than just a |
| 00:26:20 | 00:26:25 | one day window but if you set it to a 1 |
| 00:26:23 | 00:26:27 | day window Facebook is just looking at |
| 00:26:25 | 00:26:29 | the data and the conversions that happen |
| 00:26:27 | 00:26:32 | within that one day and so for me |
| 00:26:29 | 00:26:34 | personally this is why I still say that |
| 00:26:32 | 00:26:36 | I like seven day because you're giving |
| 00:26:34 | 00:26:38 | Facebook more data to optimize for your |
| 00:26:36 | 00:26:40 | conversions which we know with email |
| 00:26:38 | 00:26:43 | marketing you know using welcome series |
| 00:26:40 | 00:26:45 | and spin a cell and browser abandonment |
| 00:26:43 | 00:26:47 | and cart abandonment and then we also |
| 00:26:45 | 00:26:49 | know with retargeting seven-day |
| 00:26:47 | 00:26:52 | seven-day retargeting window of showing |
| 00:26:49 | 00:26:53 | people ads on Facebook you're going |
| 00:26:52 | 00:26:55 | that's where you bring back a lot of |
| 00:26:53 | 00:26:58 | your conversions right and so Facebook |
| 00:26:55 | 00:27:00 | attributes that customer to when they |
| 00:26:58 | 00:27:03 | viewed an ad buy the pixel okay and so |
| 00:27:00 | 00:27:06 | it's not just about those people coming |
| 00:27:03 | 00:27:08 | back to your store and getting purchases |
| 00:27:06 | 00:27:10 | like happening within the one day it's |
| 00:27:08 | 00:27:13 | about the attribution window so giving |
| 00:27:10 | 00:27:16 | it if it happens outside of one day and |
| 00:27:13 | 00:27:17 | you're only optimizing for one day then |
| 00:27:16 | 00:27:19 | your attribution window is broken in |
| 00:27:17 | 00:27:21 | that customer it's not gonna count as a |
| 00:27:19 | 00:27:24 | conversion even if it happens 48 hours |
| 00:27:21 | 00:27:26 | later right so I don't want that because |
| 00:27:24 | 00:27:28 | I know that within seven days is where a |
| 00:27:26 | 00:27:30 | lot of people come back to purchase |
| 00:27:28 | 00:27:32 | based on retargeting and abandonment |
| 00:27:30 | 00:27:35 | series email marketing stuff so that's |
| 00:27:32 | 00:27:36 | why I like using the 7 day window and |
| 00:27:35 | 00:27:38 | that definition is straight from |
| 00:27:36 | 00:27:41 | Facebook of how to understand conversion |
| 00:27:38 | 00:27:43 | windows and so optimize based on the |
| 00:27:41 | 00:27:46 | window you believe is going to get you |
| 00:27:43 | 00:27:48 | the most conversion data for what you |
| 00:27:46 | 00:27:51 | are running so the Facebook has the data |
| 00:27:48 | 00:27:52 | it needs to optimize right so I hope you |
| 00:27:51 | 00:27:54 | found this video really valuable I know |
| 00:27:52 | 00:27:57 | it may not have been all that sexy or |
| 00:27:54 | 00:27:59 | exciting toking about conversions and |
| 00:27:57 | 00:28:01 | bidding and numbers and you know all |
| 00:27:59 | 00:28:03 | this stuff but it's really important for |
| 00:28:01 | 00:28:07 | those of us that want to understand how |
| 00:28:03 | 00:28:09 | to best leverage Facebook's ads platform |
| 00:28:07 | 00:28:12 | using conversions conversion objectives |
| 00:28:09 | 00:28:14 | and optimization to get the results that |
| 00:28:12 | 00:28:16 | we want all right and so I thought this |
| 00:28:14 | 00:28:18 | video would be really valuable as an X |
| 00:28:16 | 00:28:21 | nation again this is information you can |
| 00:28:18 | 00:28:24 | find from Facebook this is just me doing |
| 00:28:21 | 00:28:25 | my best to condense it into a |
| 00:28:24 | 00:28:27 | presentation for people to be able to go |
| 00:28:25 | 00:28:30 | through and have everything they need to |
| 00:28:27 | 00:28:32 | understand this change in Facebook and |
| 00:28:30 | 00:28:34 | how you can use it to best serve your |
| 00:28:32 | 00:28:37 | ads and if you have any questions of |
| 00:28:34 | 00:28:39 | course please let me know hopefully this |
| 00:28:37 | 00:28:41 | video will stay good for awhile and |
| 00:28:39 | 00:28:43 | Facebook will stik with this new |
| 00:28:41 | 00:28:45 | conversion window these new conversion |
| 00:28:43 | 00:28:47 | settings that they have remember to |
| 00:28:45 | 00:28:50 | always test everything okay I'm not |
| 00:28:47 | 00:28:52 | saying that anything I say is exclusive |
| 00:28:50 | 00:28:54 | right like do your own test and find out |
| 00:28:52 | 00:28:56 | the stuff that works but the basic |
| 00:28:54 | 00:28:57 | understanding the principles that we |
| 00:28:56 | 00:28:59 | went over here and everything that we |
| 00:28:57 | 00:29:02 | toked about in this video is true and |
| 00:28:59 | 00:29:04 | should be great guidelines for you in |
| 00:29:02 | 00:29:06 | how you set your ads and create your ads |
| 00:29:04 | 00:29:09 | for me while I'm testing personally I'm |
| 00:29:06 | 00:29:12 | using lowest cost bidding with no big |
| 00:29:09 | 00:29:15 | cap and I'm doing that on a 7 day click |
| 00:29:12 | 00:29:16 | or 1 day view conversion window all |
| 00:29:15 | 00:29:19 | right and that's how I want to test my |
| 00:29:16 | 00:29:22 | ads and then I look at being able to use |
| 00:29:19 | 00:29:25 | I think you should test between using |
| 00:29:22 | 00:29:28 | the max fit right like the lowest cost |
| 00:29:25 | 00:29:30 | max bid or the target cost right like it |
| 00:29:28 | 00:29:34 | really depends on what you want the |
| 00:29:30 | 00:29:36 | target cost is really overall I forgot I |
| 00:29:34 | 00:29:38 | had this left side here overall to use |
| 00:29:36 | 00:29:40 | automatik bidding you just are using |
| 00:29:38 | 00:29:42 | lower cost with the big cat link right |
| 00:29:40 | 00:29:45 | that's that's what I'm using to test my |
| 00:29:42 | 00:29:47 | ads if you want to use Mac's big manual |
| 00:29:45 | 00:29:49 | bidding you're using lowest cost with a |
| 00:29:47 | 00:29:51 | bid cap and then you're setting that max |
| 00:29:49 | 00:29:54 | bid to like two to two-and-a-half times |
| 00:29:51 | 00:29:56 | your desired cost per purchase to start |
| 00:29:54 | 00:29:58 | bringing traffic in and see if that |
| 00:29:56 | 00:30:00 | works and then if you want to use the |
| 00:29:58 | 00:30:02 | average bid max spinning then you're |
| 00:30:00 | 00:30:04 | using target cost alright and you set |
| 00:30:02 | 00:30:07 | your target bid to whatever your ideal |
| 00:30:04 | 00:30:09 | average cost per purchases and that will |
| 00:30:07 | 00:30:11 | help you stay consistent right Facebook |
| 00:30:09 | 00:30:13 | says it's made significant improvements |
| 00:30:11 | 00:30:16 | to this part here your average bid so I |
| 00:30:13 | 00:30:19 | would test both because these are both |
| 00:30:16 | 00:30:21 | really strategies in my opinion to scale |
| 00:30:19 | 00:30:23 | the larger budgets right because you're |
| 00:30:21 | 00:30:25 | taking the manual effort into yourself |
| 00:30:23 | 00:30:26 | and you're saying I'm going to monitor |
| 00:30:25 | 00:30:28 | this and I want to |
| 00:30:26 | 00:30:31 | really be on top of my numbers to make |
| 00:30:28 | 00:30:35 | sure I'm getting the best getting the |
| 00:30:31 | 00:30:38 | best cost pervert so for my larger |
| 00:30:35 | 00:30:39 | budgets about spending and so it's a |
| 00:30:38 | 00:30:41 | matter of whether you want to just give |
| 00:30:39 | 00:30:43 | Facebook a target cost and let it |
| 00:30:41 | 00:30:46 | optimize over all a longer period of |
| 00:30:43 | 00:30:46 | time and just trust that target cost to |
| 00:30:46 | 00:30:49 | bring you in |
| 00:30:46 | 00:30:52 | steady results or if you want to give an |
| 00:30:49 | 00:30:54 | actual max cap and control the amount of |
| 00:30:52 | 00:30:56 | money you spent so that you don't end up |
| 00:30:54 | 00:30:58 | spending too much on you know any given |
| 00:30:56 | 00:31:00 | day or things don't run away but then |
| 00:30:58 | 00:31:02 | you really got to be on top of this and |
| 00:31:00 | 00:31:04 | be monitoring this basically daily |
| 00:31:02 | 00:31:06 | sometimes even multiple times within a |
| 00:31:04 | 00:31:08 | day to make sure your max bid is |
| 00:31:06 | 00:31:10 | bringing you the desired results that |
| 00:31:08 | 00:31:11 | you want all right so thank you for |
| 00:31:10 | 00:31:12 | watching this video again I hope you |
| 00:31:11 | 00:31:14 | found a really valuable |
| 00:31:12 | 00:31:18 | have an amazing day wherever you are in |
| 00:31:14 | 00:31:18 | the world tok to you later live free |
