07/18/2022 FF/NHB+ Guest Call:

Loren Pinilis on FB Ads

Live Call Notes : Google Doc URL

The Call Recording : Replay URL

Fundamentals of Facebook Ads

From the beginning, Loren notes the importance of understanding the fundamentals of
Facebook ads rather than just looking for quick fixes or "swipes" to copy. He highlights
that truly grasping how the Facebook algorithm works allows you to innovate and
adapt your strategies effectively. This foundational knowledge is not just about
knowing which buttons to press but understanding the theory behind your actions. This
approach enables you to think critically about your customer, funnel, and the emotions
you're trying to evoke, which is crucial for writing compelling copy and making informed
media buying decisions.

Loren's experience across a wide range of budgets and industries reinforces the idea
that mastering the basics can make you versatile and successful in various settings. He
warns against blindly following strategies that worked on accounts with different
budgets and offers because they might not yield the same results in your specific
situation. Understanding the algorithm and fundamentals is key to adapting and
inventing new tactics that work for your unique circumstances.

3:12 Adapting to Facebook's Dynamic Nature

Loren shares his extensive experience with Facebook ads, ranging from small daily
budgets to managing accounts that spend tens of thousands of dollars each day. This
diverse experience underscores a critical point: success on Facebook isn't solely about
the amount of money you spend but how well you understand and adapt to the
platform's algorithm and nuances. Loren points out that some of the most challenging
accounts he's worked on weren't necessarily the ones with the highest budgets but
those that required constant creative input and adaptation.
He cautions against the temptation to apply a one-size-fits-all approach to Facebook
advertising. Strategies that work for one account or budget size might not work for
another due to differences in the offer, target market, or other variables. By focusing on
the fundamentals and being willing to experiment and adapt, you're better equipped to
navigate Facebook's ever-changing landscape and find success, regardless of your
account's size or industry.

7:55 Interest Targeting and Custom Audiences

When diving into Facebook's advertising capabilities, you find a treasure trove of
targeting options based on user interests and behaviors. Facebook meticulously
compiles vast amounts of data on its users, tracking their online activities, interests,
and demographic details, such as marital status or recent life changes. This allows
advertisers to target individuals based on specific interests, like dog lovers who’ve
recently adopted a pet and are looking into dog training services. You have the
flexibility to create broad or finely targeted campaigns using single or stacked
interests, and even layer interests for more precision in reaching your audience. Another
powerful tool at your disposal is the creation of custom audiences. These are groups
you form based on interactions with your content or business, such as page
engagements or past purchases. Custom audiences can be used to either retarget with
specific ads or exclude from campaigns, ensuring your ads reach fresh eyes or focus on
warm leads.

11:11 Lookalike Audiences and Algorithm Understanding

Lookalike audiences represent a strategic way to expand your reach beyond those who
have already interacted with your brand. By analyzing the characteristics of your
existing customers or engaged users, Facebook can help you find new users who share
similar profiles. The effectiveness of a lookalike audience hinges on several factors,
including the similarity to the source audience and the recency and volume of the data
used to create it. Testing different lookalike audiences, such as those based on
purchases, leads, or website visits, can reveal surprising insights into which groups
yield the best results, with the possibility of recent, larger data sets outperforming
those based strictly on higher intent actions like purchases. Understanding how
Facebook’s algorithm operates is crucial to optimizing your ad performance. It
functions like a bloodhound, seeking out your desired audience within the confines of
the pools you define. Initially, with limited data, it’s beneficial to keep these pools small
and well-defined to train the algorithm effectively. As it gathers more data and
becomes more efficient at identifying your ideal customers, you can gradually expand
your targeting to include broader audiences, allowing the algorithm to find the best
prospects across a wider scope.
15:25 Starting Off with Small, Tight Audiences and Expanding Over Time

Initially, when you're dealing with online advertising, especially on platforms like
Facebook, it's crucial to begin with small, tightly defined audiences. This approach
allows the algorithm to learn more effectively from a concentrated data set. Without
much historical data or lookalike audiences to leverage, your best bet is to focus on
high-quality, tightly controlled audience segments. As the algorithm learns and
improves its understanding of what type of users are most likely to engage with your
ads, you can gradually begin to broaden your audience. This strategy involves slowly
testing larger segments, starting perhaps with a 1% lookalike audience and
incrementally increasing to 3%, 5%, and beyond, to find the optimal balance between
audience size and conversion efficiency. The key is to test and adapt based on the
results you see, as there's no one-size-fits-all answer to when it's the right time to
expand your audience reach.

Platform Changes and the Variability of Algorithm Performance

Over time, external factors like updates to the iOS operating system have influenced
the performance of advertising algorithms, sometimes reducing their effectiveness in
targeting. This has led to a situation where broader initial audiences might sometimes
yield better results than they did in the past, challenging conventional wisdom. It's also
important to recognize that the advertising algorithm isn't a monolithic entity; there are
numerous versions operating at any given time, leading to variability in account
performance. This variability underscores the importance of adopting a flexible,
experimental approach to your advertising strategy. Rather than rigidly adhering to a
set playbook, it's more effective to have a diverse set of strategies and tools at your
disposal. By understanding the principles behind these tools, you can more adeptly
navigate the complexities of digital advertising, customizing your approach based on
the unique characteristics and performance of your account.

26:07 Understanding Audience Optimization for Purchases vs. Leads

When you're setting up your ad campaigns, deciding whether to optimize for purchases
or leads can significantly impact which segment of your audience sees your ads. If you
choose to optimize for purchases, you're essentially instructing the algorithm to target
individuals within your audience who are more likely to buy, which might cost more but
could result in higher quality leads. Conversely, optimizing for leads targets a different
segment of your audience, potentially lowering your cost per acquisition (CPA) even
though these individuals might not be as far along in the buying process as those
optimized for purchases. This approach underscores the importance of aligning your
optimization strategy with your immediate goals—whether you're aiming for quantity
(leads) or quality (purchases).

27:52 The Concept of Pockets in Audience Optimization

The performance of identical ad sets targeting the same broad audience can vary
dramatically due to the algorithm's tendency to focus on different "pockets" or
segments within the audience. This phenomenon is why launching multiple ad sets can
be beneficial, as each one may capture a different pocket of users, leading to varied
performance outcomes. Noticing a $200 CPA in one ad set and a $16 CPA in another,
despite identical creative and audience, highlights how algorithms navigate through
audience segments. To combat hyper-optimization, where ads repeatedly target the
same small pocket, you might need to reset the ad set into the learning phase or adjust
targeting to shift the algorithm's focus. Smaller ad sets can sometimes be more
effective than larger ones by targeting distinct pockets without overlapping or
competing, thus optimizing reach and engagement within your overall campaign
strategy.

30:53 Zhihao Asks: Approaching Multiple Pockets with Lower Ad Spend

To effectively reach different pockets within your audience, consider employing a

variety of strategies. Launching identical ad sets can naturally lead to different pockets
being targeted due to algorithmic variances. Cutting the underperforming ad sets while
doubling down on the successful ones helps refine your focus on the most responsive
segments. Additionally, subtle tweaks in your campaign settings, like manual bidding
adjustments or minor demographic shifts, can further diversify the pockets you're
reaching. This approach isn't about finding a universally superior strategy but about
discovering what works best for your specific campaign goals and adjusting your
methods to optimize for those targets. Whether you're scaling horizontally by
broadening your audience pool or varying your optimization events, the key is to remain
flexible and responsive to the algorithm's behavior, ensuring you're not overly
concentrated on a narrow segment of potential customers.

35:23 Zhihao Asks: Is Giving Facebook More Data Essentially Feeding it to See What
Works?

By allocating a part of your budget to leads, albeit a smaller portion since they might
not be as high quality as direct purchasers, you're essentially feeding Facebook a
variety of data points to work with. This allows Facebook's algorithm to optimize and
target the most receptive segments of your audience, or the "low hanging fruit," with
the resources you provide. This strategy of giving Facebook more to work with helps in
fine-tuning your campaign's focus and efficiency over time.
37:27 Understanding Facebook's Ad Delivery and Budgeting

When you're setting your advertising budget on Facebook, the platform's algorithm
aims to find you the best possible outcomes within your specified budget. If you start
with a lower budget, Facebook focuses on the most easily accessible targets, often
termed as the "low hanging fruit." As you increase your budget, Facebook then seeks to
reach more people, extending further beyond the initial easily reachable targets. This
action tends to increase your Cost Per Acquisition (CPA) because the algorithm must
work harder to find more potential customers. It's also why spreading your budget
across different audiences ('scaling out horizontally') can be more effective than just
increasing the budget for a single ad set. By targeting multiple audiences with separate
budgets, you're allowing Facebook to optimize each campaign independently,
accessing the 'low hanging fruit' in various audience segments, which could lead to
better overall performance without unnecessarily inflating your CPA.

38:30 Manual Bidding vs. Automatic Bidding

Starting with manual bidding can seem daunting, and it's often not necessary unless
you're already spending a significant amount on ads. Automatic bidding, or the lowest
cost bid strategy, is typically sufficient for most advertisers starting out. Manual
bidding, like the cost cap strategy, gives you more control by setting a maximum cost,
but it requires a deeper understanding of Facebook's ad auction system. Manual
bidding doesn't guarantee a specific Cost Per Action (CPA); it's more about finding
pockets of opportunity within the audience you're targeting. By setting a bid, you're
telling Facebook the maximum you're willing to pay, but it doesn't mean you'll always
spend that amount. Experimenting with different bids can uncover new, cost-efficient
audiences that haven't been saturated by your ads, potentially improving your ad's
performance.

41:16 A Primer on Key Facebook Ad Metrics

Understanding key metrics like impressions, CPM (Cost Per Thousand Impressions), and
frequency is crucial for analyzing your Facebook ad campaigns. Impressions refer to
the number of times your ad is displayed, regardless of whether it's seen by the same
person more than once. CPM is influenced by the competitiveness of your target
audience and the event you're optimizing for, like leads or purchases. Frequencies
indicate the average number of times each person sees your ad. These metrics are
foundational for gauging your ad's reach and its cost-effectiveness. It's important to
monitor these metrics closely, as they can significantly impact your campaign's
performance and your understanding of how well your ads resonate with your audience.
44:32 Understanding CTR and CTR All

Understanding the difference between Click-Through Rate (CTR) and CTR All is crucial
for assessing the effectiveness of your advertisements. CTR All encompasses any
interaction with your ad, whether it's clicking on a link, expanding the ad description,
liking, commenting, sharing, or even reporting the ad as spam. This metric gives you
insight into how well your ad captures attention and encourages interaction, with a
general benchmark being a CTR All of at least 3% as a sign of decent performance.
However, the strategy behind your ad can influence what a "good" CTR All looks like. For
example, ads designed to hyper-qualify viewers might have a lower CTR All due to their
targeted nature, whereas ads aimed at sparking curiosity could see higher rates.
Furthermore, video ads often have higher CTR All rates since playing the video counts
as an interaction.

48:00 The Art of Efficient Testing

The purpose of testing in advertising is to identify what works with the least amount of
expenditure to maximize your budget for scaling successful strategies. However,
achieving meaningful results without overspending is a balancing act. You aim for tests
that provide statistically significant data, indicating clear winners among your ad
variations without requiring prohibitive costs. Testing too many variables or aiming for
absolute certainty can make the process exceedingly expensive, especially if you're
trying to determine the most effective ad for driving purchases. Finding the right
balance depends on factors like your budget, risk tolerance, and the specific goals of
your campaign. This approach allows you to refine your testing strategy, focusing on
obtaining useful data that informs your decisions without depleting your resources
unnecessarily. Different testing methods exist, and what works best can vary; it's about
finding the right balance between certainty and efficiency for your particular situation.

53:58 Testing with Traffic vs. Purchase Objectives

When considering whether to test your ads with a traffic objective versus a purchase
objective, it's essential to understand how Facebook's algorithm works. You might think
choosing a traffic objective is more cost-effective, but this approach targets a
different group of people than those who are likely to make a purchase. Facebook
offers lower costs for traffic objectives because it's serving your ads to users less likely
to convert into buyers. Therefore, if your end goal is conversions or sales, testing with a
purchase objective from the start is more strategic. This approach ensures your ad is
seen by potential buyers, aligning better with your final objective of making sales.
55:15 Budgeting for Testing and Scaling

Setting a budget for testing and scaling your ads should be a well-considered business
decision influenced by what you're comfortable spending. You might feel the pressure to
invest a significant amount to get reliable test results, but it's crucial to align your
spending with your financial comfort level. By communicating your budget constraints,
a tailored testing strategy can be developed, ensuring you're not overspending while
still gathering valuable insights. This helps maintain a positive client relationship and
ensures the testing process feels manageable and aligned with your business goals.

56:22 Dynamic Creative Testing

Dynamic creative testing allows you to input various ad elements, such as images,
videos, and copy, and lets Facebook's algorithm find the most effective combinations.
This method can potentially save time and effort by automating the testing of hundreds
of ad variations. However, it's important to note that Facebook doesn't distribute
impressions evenly across all variations, often favoring some over others early in the
testing phase. This can skew the results, making some tests less reliable. While dynamic
creative is a powerful tool, it's best used with an understanding of its limitations and in
scenarios where broad insights are more valuable than detailed analytics on specific
ad components.

58:25 Structuring Effective Ad Tests

Effective ad testing requires a clear understanding of what you're trying to achieve with
each test. Whether you're testing ad copy, images, videos, audiences, or landing
pages, it's crucial to isolate variables to accurately measure their impact. This
methodical approach ensures that other factors don't confound your results, allowing
you to make data-driven decisions on what works best for your ads. Starting with
proven elements, such as audiences or creative, can help streamline the testing
process. By focusing on one variable at a time and using a consistent setup across
tests, you can identify what changes drive better performance and optimize your ads
accordingly.

1:00:22 Testing New Offers with Dynamic Creative

When introducing a new offer without any proven ads, dynamic creative can be a
valuable strategy. This approach isn't about finding the superior ad element but rather
giving Facebook a wide range of assets to identify any combination that resonates
with your audience. The goal is to quickly discover an ad variation that performs well
enough to indicate whether the offer itself is appealing. By prioritizing the overall
performance over specific ad elements, you can focus on validating your offer's market
fit. If you have existing proven audiences, start there; otherwise, explore different
audiences to find the best match for your new offer. This strategy allows you to
leverage Facebook's capabilities to expedite the testing process for new offers.

Diversifying Audiences and Budgeting for Tests

When starting out, especially if you haven't fully developed your offer or gathered
enough purchase data, it’s vital to select various audiences to target. This isn’t
necessarily to determine which audience is superior but to spread your efforts across
multiple fronts. By utilizing different combinations of copy, images, and audiences, you
allow platforms like Facebook to pinpoint what's effective, helping you to identify the
strengths of your offer. Budgeting for these tests should align with your comfort level;
while spending more affords more data, it's recommended to invest at least ten times
your cost per acquisition (CPA) to begin seeing meaningful insights. This approach
helps in getting a preliminary understanding of whether your offer has potential,
without committing too much before you have a clearer picture.

Analyzing Campaign Performance through Key Metrics

Understanding the performance of your campaigns involves scrutinizing several key

metrics such as CPA, cost per thousand impressions (CPM), and click-through rate
(CTR). A high CPM might indicate why certain audiences aren’t performing well,
possibly affecting your CPA. Your CTR and overall CTR (CTR all) reveal how your ads
resonate with your audience. Aiming for at least a 1% CTR is a good benchmark,
although success can still be achieved with lower rates depending on the account.
These metrics collectively offer insights into whether your ads are engaging enough
and whether the issue lies with your creative elements or the offer itself. By eliminating
potential problems one by one, such as confirming that your ads are performing
adequately, you can focus on refining other aspects like the offer or targeting.

Creative Testing and Audience Selection

For those on a tight budget or looking to test various creative elements swiftly,
dynamic testing is a practical solution. It allows you to present a range of creative
options to your audience without having to evenly distribute impressions among them.
While this approach sacrifices some level of certainty in your testing, it enables
Facebook to concentrate on what's working and potentially generate returns more
efficiently. When conducting creative tests, it's crucial to optimize for your desired
outcome, whether that's generating leads or driving purchases, and to select an
audience that has previously shown success. Additionally, excluding 'warm'
audiences—those who've previously engaged with your brand—is key. This ensures that
your tests are focused on how your creative performs with new, 'cold' traffic, providing
a clearer understanding of its effectiveness.

Setting Up an Effective Experiment for Creative Testing

Constructing a well-thought-out experiment is essential for accurate creative testing.

This involves excluding warm traffic to ensure your ads are reaching new potential
customers and isolating variables by serving ads primarily in feeds to create a
controlled environment. For a robust test, aiming for at least 1,500 impressions per ad
will give you sufficient data to draw conclusions. However, adjustments can be made
based on budget constraints and CPA goals. The method of arranging ads—whether
grouping multiple ads in a single ad set or distributing them across several ad sets—can
vary, but consolidating them in one ad set is generally preferred for later stages. This
strategy helps to mitigate the unpredictable performance variations that can occur
even when ad sets are seemingly identical, ensuring more consistent and reliable test
results.

1:10:50 Ad Set Duplication for Certainty

When aiming for certainty in your ad campaigns, duplicating ad sets can be a strategic
move. Instead of relying on a single ad set to gauge performance, duplicating the ad set
allows you to test the same audience twice (or more) to confirm the results weren't just
a fluke. This approach helps in validating the effectiveness of your target audience,
whether it's a 1% lookalike of purchasers or another defined group. It's all about
reducing randomness and ensuring your decisions are based on reliable data. By
adjusting the number of duplicates according to your budget and desired level of
certainty, you can fine-tune your testing process to better understand what works best
for your campaign.

1:12:43 Evaluating Ad Performance Using CPC and CTR

Understanding the relationship between CTR (Click-Through Rate) and CPM (Cost Per
Mille) is crucial when evaluating ad performance. You might notice fluctuations in CTR
from day to day, but it's important to consider how CPM varies alongside it. This
variation is due to the Facebook algorithm's decision-making process, which aims to
achieve the best results at the lowest cost by targeting higher quality prospects at a
higher cost some days, and cheaper, less likely prospects on others. By focusing on
CPC (Cost Per Click), you're able to account for both CPM and CTR, providing a more
comprehensive view of your ad's efficiency. This approach allows for a more nuanced
understanding of ad performance beyond just clicks or impressions, making it a
valuable metric in your testing arsenal.
1:15:47 Creative Testing: Picking the Best Horse to Bet On

Creative testing isn't about finding the perfect ad; it's more about identifying the most
promising option to scale with. Think of it as a preliminary race where the winner isn't
necessarily the overall best but is the best among the tested group. This approach
involves making quick, informed decisions based on initial performance, recognizing
that while these choices may not be the absolute best, they're good enough to bet on
for future campaigns. By adopting an 80/20 approach—testing extensively but not
exhaustively—you can identify top performers without excessive spending. This
emphasizes efficiency and practicality in ad testing, allowing you to proceed with
scaling the ads that show the most promise.

1:17:55 Audience Testing Strategy

For effective audience testing, start by selecting a few control ads and excluding any
warm traffic to ensure a clean test. Set your budget to a level you're comfortable with
and let the ads run for a few days, ideally spending at least twice your CPA (Cost Per
Acquisition) per audience. This method allows you to gather enough data to make
informed decisions without overspending. As your campaigns progress, begin with
tighter, more defined audiences and gradually expand to broader ones. This phased
approach lets you refine your targeting strategy over time, moving from 1% lookalikes to
broader segments as you accumulate more data. Continuously testing and letting
winning audiences run as long as they perform well is key to sustained success.

1:19:47 Identifying Target Audiences Through Layered Interests

When it comes to identifying your target audience for advertising, starting with
common sense is key. If your product or service is straightforward, like dog training,
then your target audience should logically be pet owners. However, when the
connection isn't as direct, you need to think outside the box. Consider the influencers,
celebrities, tools, publications, and even tangential interests your potential customers
might follow or engage with. For example, a male health clinic targeting men interested
in testosterone replacement therapy found success by targeting those interested in
motorcycles. This strategy underscores the importance of not being afraid to layer
interests to create a more precise and effective audience for your ads. Layering allows
you to test your creative and offers more efficiently, ensuring that your ads reach a
concentrated group of potential customers who are more likely to be interested in your
product or service.

1:22:48 Scott Asks: Guidelines for Audience Size and Conversion Event Optimization

Firstly, the size of your audience should be dictated by the specificity of your offer. For
broader audiences, like pet owners, you can afford to target a larger group. However,
for niche offers, such as software services for freelance architects, a tighter audience is
necessary. A good starting point in the U.S. is an audience size similar to a 1% Lookalike,
roughly around 2 to 3 million people. For unproven offers, keeping your audience within
5 to 10 million is advisable, potentially stretching up to 20 million, but be prepared to
narrow it down if you don't see traction.

Regarding conversion events, the specific event you optimize for significantly impacts
your ad's performance. It's not about the name of the event but choosing the right type
of event that aligns with your end goal. If your funnel's end goal is to have people book a
call, optimizing for a 'Schedule' event is more appropriate as it aligns closely with the
action you want users to take. Facebook uses its vast data to match your ads with
users most likely to take the desired action, based on the conversion event you choose.
Therefore, selecting the most relevant standard event, like 'Schedule' for booking calls,
will help Facebook optimize your ad delivery for better results.

1:29:17 Testing Strategies for Facebook and Instagram Ads

When considering whether to test your ads on Facebook, Instagram, or both, keep in
mind the strengths of using a unified approach. Running the same ad on both platforms
can be beneficial because it allows the algorithm to have more freedom in finding the
right audience for your ad, especially if you have a significant amount of data to work
with. This approach gives the algorithm a broader range to identify potential
customers. However, if you're inclined to test the platforms separately, it's not a bad
idea. You can tailor your creative tests specifically for the Facebook feed or Instagram
feed, depending on where you think your ad will perform best. For instance, if you're
curious about how well your ad does in stories versus in the feed, you can set your tests
accordingly. When it comes to scaling, you can keep these placements separate by
assigning them to different ad sets to maintain clarity in your results.

1:30:12 Reginald Asks: How to Test Offers, Ads, and Audiences with a Low Budget

Testing your offer, ads, and audiences effectively, even with a budget as low as $200
to $300, is about smart allocation and focusing on what you can control. Start by using
dynamic creative to test multiple versions of your ad copy and images against a single,
well-chosen audience. This approach allows you to manage your budget efficiently,
starting with perhaps $50 a day. This method isn't guaranteed to hit a home run but
gives you a solid base to iterate from. If you're not seeing the desired results after a few
days, it might be time to adjust your audience or rethink your ad creative. The key with
a limited budget is to prioritize learning over immediate returns. This means being
prepared to spend your budget for valuable insights that could inform your next steps,
be it tweaking your audience or refining your offer. Testing with a low budget is
challenging, but with a strategic approach focusing on one variable at a time, you can
find avenues for optimization and scaling.

1:33:13 Phillip Asks: Setting Ad Spend Based on CPA and Understanding Lookalike
Audiences

When you're setting up your ad spend, especially without prior data, it's essentially a
matter of risk tolerance. Without any previous benchmarks, you're in the dark about
how much it will cost to acquire customers through a new funnel or offer. Your budget
decision should reflect how much you're willing to spend for potential insights rather
than guaranteed returns. For instance, you might decide to spend $1,000, knowing that
it could completely tank, but the information you gain is valuable for future
adjustments. This approach is about balancing your desire for results with the
practicality of gathering data that informs your strategy moving forward.

Exploring the concept of lookalike audiences, a 1% lookalike audience in the context of

the United States represents about 3 million people, or 1% of the U.S. population. This
size increases as the percentage goes up, with a 2% lookalike audience covering
roughly double that amount. The crucial point to understand is that the size of a
lookalike audience is independent of the size of your seed audience. Whether your seed
audience is small or large, a 1% lookalike will always target the same percentage of the
region's population you're aiming at. This means when you request a 1% lookalike
audience from Facebook, you're asking it to find you a group of people that closely
matches your seed audience but is equivalent to 1% of your chosen geographic area's
population, ensuring that your ads reach individuals similar to your existing or ideal
customers.

1:38:01 Lookalike Audiences and Seed Audience Concept

When you're diving into Facebook advertising, understanding the concept of a seed
audience can significantly boost your strategy. This idea involves taking an initial
audience and allowing Facebook to analyze it to find similar individuals who match this
group, creating a "Lookalike Audience." This approach is foundational in expanding your
reach to people who are likely to be interested in your offerings because they resemble
your existing audience. It's like planting a seed and watching it grow into a garden of
potential customers who share common characteristics with your original audience.

Winning Creative and Copywriting on Facebook

In the realm of Facebook advertising, the effectiveness of your ads increasingly hinges
on the quality of your creative content rather than just the technical aspects of ad
management. Specifically, when it comes to copywriting, the debate between using
short or long copy is less important than ensuring your copy is compelling—good copy
versus bad copy. Leveraging long copy has been a successful strategy, especially when
it plays to your strengths as a copywriter. The key is testing various lengths and styles
to see what resonates most with your audience. Remember, the goal is to engage users
with content that captures their attention and persuades them to take action,
regardless of copy length.

1:41:27 Crafting Effective Facebook Ad Copy

Crafting ad copy that effectively captures and retains user attention on Facebook
involves several strategic elements. The intro, or the first few lines visible before the
"See More" prompt, is crucial for sparking interest. Using an open loop or a controversial
statement immediately following the intro can further intrigue the reader. Incorporating
storytelling, especially in the first or third person, can emotionally engage the
audience, leading them through a journey from a relatable problem (the before) to the
moment of transformation upon encountering your product or service, and finally to the
resolution (the after). It's important to avoid directly addressing the reader in the
second person to prevent sounding predatory and to maintain compliance with
Facebook's guidelines.

Structure of a Convincing Facebook Ad

After drawing in your audience with an engaging introduction and story, it's time to
solidify their interest with logical reasoning. This part of your ad should touch the
reader's head, providing logical explanations that justify the emotional desire to
engage with your product or service. By detailing why your solution is unique and
effective, you help potential customers internally argue for the decision to invest in
what you're offering. The ad should conclude with a compelling call to action,
supplemented by elements of credibility, risk reversal, and urgency to encourage
immediate response. This structured approach ensures your ad not only captures
attention but also persuades effectively, leading to higher conversion rates.

1:47:08 The Importance of Testing Intros in Facebook Ads

Testing different introductions for your Facebook ads is crucial for grabbing attention in
the mobile feed before the "See More" link. You should write and test multiple intros to
find what resonates best with your audience. This approach is vital because the intro
and the image are the first things users see while scrolling. Experimenting with various
intros can significantly impact your ad's performance, offering insights into what
captures your audience's interest. This method of testing allows you to refine your
messaging for maximum engagement and effectiveness.
1:49:14 Crafting Effective Copy Intros for Cold Traffic

When targeting cold traffic on Facebook, your ad copy needs to provide context to
immediately catch the viewer's attention. Unlike email or video sales letters (VSLs)
where the audience may already be familiar with you, Facebook ads often reach users
who have no prior relationship with your brand. Therefore, sparking curiosity alone
won't work; you need to make it clear who the ad is for and why it matters to them. A
well-crafted intro should identify with the viewer's interests or struggles and offer a
glimpse into the solution you're providing. This approach helps ensure that your ad
speaks directly to the intended audience, making them more likely to engage.

1:51:41 Understanding and Leveraging the Ultimate Benefit

It's essential to not only highlight the immediate benefits of your offer but also to delve
into the ultimate benefit — the deeper reason why someone wants those benefits. For
instance, someone interested in losing weight is likely looking for more than just
shedding pounds; they may desire to feel more attractive or confident. Similarly,
someone wanting to make money online is probably seeking freedom and the ability to
travel. By addressing both the direct benefits and the ultimate benefits, your ad copy
can connect on a more emotional level, making your offer more compelling and
relatable. This technique helps you to articulate why your solution is not just beneficial
but essential to your audience's deeper goals or desires.

Utilizing Ingredients and Punctuation in Your Intro

Combining different elements or "ingredients" of your offer strategically in the intro can
make a significant difference in how your ad is perceived. Use punctuation effectively
to control the pace of reading and maximize the limited space of your intro. By carefully
choosing what to include, such as highlighting pain points, benefits, and how your
solution is unique or science-backed, you can create a powerful narrative that
resonates with your target audience. Real-life examples of intros that specify the
problem, the approach, and the absence of side effects can demonstrate the value of
your offer clearly and concisely. This strategy enhances the relevance and appeal of
your ad, encouraging more users to engage.

1:54:48 Crafting a Compelling Ad for Natural Nerve Pain Relief

When you're looking to create an ad that resonates with your target market, especially
for a product that offers natural relief from nerve pain without side effects, it's crucial
to highlight the unique benefits that set it apart from conventional treatments.
Emphasizing the absence of side effects is a key selling point, considering it directly
addresses a major concern among your potential customers. Similarly, focusing on the
product being scientifically proven offers an assurance of reliability and effectiveness,
making it more appealing to those suffering from nerve pain. By clearly spelling out the
issues your product addresses, such as tingling, numbness, and the natural basis of the
remedy, you create a strong connection with the audience who are seeking a solution
that promises freedom from their discomfort without the drawbacks typically
associated with prescription medications.

1:55:32 Iterating on Successful Copy to Enhance Ad Performance

After running initial tests with various copy variants, identifying which ones perform
exceptionally well allows you to understand what resonates with your audience. This
insight enables you to refine your messaging, focusing more on the phrases and
concepts that draw the most positive response. For instance, if a particular way of
presenting your product—such as highlighting its natural composition and lack of side
effects—proves to be more effective, it's wise to iterate on this success by
incorporating these elements more prominently in your future ads. This approach not
only improves the performance of your ads but can also influence the overall messaging
across your marketing funnel, ensuring consistency and effectiveness in communicating
the benefits of your product or service.

1:58:11 Superior Testing Method for Message Optimization

In terms of optimizing your ads, testing your messaging directly within the ad copy,
rather than through abstract methods like post-it notes or text blocks, provides a more
accurate reflection of how your audience engages with your content on platforms like
Facebook. This method allows you to create actual usable ads and assess the
effectiveness of your intros in a real-world context. By doing so, you gain insights into
the types of messaging that capture attention and prompt engagement, which is
critical for fine-tuning your advertising strategy. This approach ensures that the
messaging you test is directly applicable to your ads, leading to more effective and
resonant advertising campaigns.

2:00:07 Tailoring Ads for Specific Demographics

When targeting specific demographics, such as men over 40 seeking to improve their
metabolism, energy, and confidence, it's essential to craft your message in a way that
speaks directly to their experiences and aspirations. Using phrases that encapsulate
the transformation they're seeking, like "from drained to driven," and highlighting the
benefits in a way that resonates with their unique challenges, can significantly increase
the ad's appeal. Additionally, ensuring your ads specifically mention the target
demographic early on, such as stating "men over 40," acts as a "dog whistle" that
immediately grabs their attention. This targeted approach ensures that your ads are
seen by the right people and convey a message that is tailored to their specific needs
and desires, increasing the likelihood of engagement and conversion.

2:01:30 Effective Messaging for Niche Audiences

When your audience is a niche group, such as mothers of addicts, it's crucial to tailor
your messaging to directly address their specific situation and concerns. By starting
your ad with a clear identification of the audience ("As a mom of an addict"), you
instantly capture the attention of those who identify with this role. Acknowledging
common frustrations and failings of other solutions, such as books and support groups,
and presenting your method as a distinct and effective alternative, sets your offering
apart. This strategy not only effectively differentiates your solution but also establishes
a strong, immediate connection with your target audience by clearly signaling that your
message is specifically for them. This targeted approach ensures that your ads
resonate deeply with those most likely to benefit from your product or service, making
them more effective and impactful.

2:03:09 Writing Effective Intros for Ads

When you're crafting your ad intros, aiming to keep them concise enough to fit before
the "See More" button can significantly boost their performance. This approach
maximizes the visible real estate on social media platforms, allowing you to
communicate your key message quickly and effectively. Using punctuation and
formatting cleverly breaks up the text, making it not just a block of text but a
compelling nudge for the reader to engage with the content. It's all about striking the
balance between providing enough intrigue and information within that initial snapshot.

2:05:05 Utilizing the 'See More' Button Strategically

Contrary to the usual advice, there are instances where extending your message
beyond the "See More" button can work to your advantage, especially when it creates
an open loop that piques curiosity. By frontloading your ad with commonly
sought-after solutions and then hinting at more to discover upon clicking "See More,"
you can effectively draw readers into engaging further with your ad. This method,
though not universally applicable, has shown success in specific cases by leveraging
the natural human tendency to seek closure or answers, thereby increasing interaction
with your content.

2:06:42 Highlighting Success Stories in Ads

Sharing quantifiable success stories in your ad copy can significantly enhance its
appeal, especially if those stories resonate with your target audience's aspirations or
challenges. When you mention specific achievements, such as growing an online course
to $1 million in revenue, it not only captures attention but also establishes credibility.
Such metrics provide tangible evidence of success, making your offer more compelling.
It's crucial, however, to frame these achievements in a way that addresses potential
objections upfront, illustrating that such results are attainable even for those starting
from scratch.

2:08:17 The Impact of Testing Intros and Images on Ad Performance

The simple act of testing and optimizing your ad's intros and images can dramatically
improve its performance, sometimes even doubling its effectiveness. This strategy
involves maintaining the core ad copy while experimenting with different openings and
visuals to identify the most engaging combination. Through aggressive testing, you can
discover which elements resonate most with your audience, leading to increased
engagement and, ultimately, higher conversion rates. This approach not only enhances
the ad's appeal but also combats creative fatigue by refreshing the content's
presentation without overhauling the message.

2:10:08 Combating Ad Fatigue through Intro and Image Variation

Refreshing your ads by varying the intros and images is a highly effective strategy to
combat ad fatigue without needing to create entirely new content. This tactic keeps
your ads feeling fresh to the audience, even if the underlying message remains the
same. By continuously testing these elements, you can maintain high engagement rates
over extended periods, ensuring your ads remain effective and avoid diminishing
returns. This method is particularly valuable for sustaining long-term campaigns,
enabling you to maximize the lifespan and impact of your successful ad content.

2:11:14 Methodology for Testing Ad Intros

For a structured approach to testing your ad intros, start by selecting a well-defined

control audience and optimizing for your desired outcome. Exclude any warm leads to
ensure your test focuses on new, cold traffic for accurate results. Limiting your test
environment to specific platforms, like feeds only, eliminates variables that could skew
the data, such as differing ad placements. This methodical testing process enables you
to compare performance accurately, identify the most effective intros, and refine your
ad strategy for optimal results.

2:12:35 Ad Testing Strategy: Running Ads at Optimal Times & Managing Impressions

When you're setting up an ad test, it's crucial to give each ad an equal chance to
perform. This means creating an ad for each copy variant with the same image,
headline, and body copy, only changing the variable you're testing. Place them all in
one ad set to ensure they're competing in the same environment. To get reliable data,
aim for 1500 impressions per ad, dividing this into two rounds of 750 impressions to
account for any time-of-day variations that could affect performance. Launching ads
during the account's peak hours, which could be early in the morning or around
midnight, depending on your audience's activity, can significantly boost interaction
rates. This methodical approach helps smooth out variables like ad spend spikes and
ensures you're not making decisions based on skewed data.

2:14:14 Evaluating Ad Performance: Focusing on Cost Per Click

When you've run your ads through the initial testing phase, judging their performance
requires a focus on actionable metrics. Given the relatively small sample size of 1500
impressions per ad, cost per acquisition (CPA) might not provide a clear picture,
especially if the goal is lead generation or sales. Instead, look closely at the cost per
click (CPC) and click-through rate (CTR). These metrics, adjusted for cost per
thousand impressions (CPM), offer a more reliable gauge of an ad's effectiveness in this
context. While you might get some insight from leads or purchases, the limited data can
make it hard to draw definitive conclusions. This approach to evaluation keeps the
focus on tangible, immediate metrics that can guide your next steps in the ad
optimization process.

2:15:53 Strategies for Scaling Ads: Managing Exclusions and Choosing Scale Type

Scaling your ads isn't about finding a magic setting but about applying what's worked
so far on a larger scale. To prevent ad fatigue and ensure your ads continue to reach
fresh eyes, manage audience exclusions thoughtfully. Exclude those who've already
converted or interacted significantly with your site or page. This forces Facebook to
target new potential customers, keeping your funnel filled with fresh prospects. When it
comes to the type of scaling, there are two main approaches: vertical and horizontal.
Vertical scaling involves increasing your ad budget gradually to avoid disrupting
Facebook's learning phase, while horizontal scaling means expanding your reach to
new audiences. The latter can be more effective because it allows you to tap into new
pools of potential customers without forcing Facebook to dig deeper into a possibly
exhausted audience.

2:19:58 Pocket Scaling: Expanding Audience Reach Through Subtle Adjustments

Pocket scaling is an advanced strategy that involves making slight adjustments to your
target audience or bid strategy to tap into new "pockets" of potential customers. This
could mean setting different manual bid levels or tweaking demographic details like
age ranges to create slightly varied audience segments. Even changing the
optimization event, such as targeting leads instead of purchases, can open up new
audience segments with minimal overlap with your existing targets. This approach
allows you to broaden your reach without significantly altering the successful elements
of your campaigns. By expanding the pool of potential customers in a controlled
manner, you're more likely to find new, responsive audiences that can drive further
growth.

2:22:10 The Power of Smaller Ad Sets for Facebook Scaling

When you're working with Facebook ads, consider breaking down your budget into
smaller ad sets rather than a few large ones. For instance, instead of running a couple
of ad sets with a $300 daily budget that aren't performing well, try creating multiple ad
sets with a $50 daily budget. This strategy forces Facebook to search through different
"pockets" of users, making the platform work harder to find the low-hanging fruit, which
can lead to better performance. This approach, known as duplication scaling, has seen
a resurgence in effectiveness, possibly due to changes like iOS 14's impact on ad
tracking. Remember, these strategies are like recipes; you're encouraged to experiment
to see what works best for your specific situation.

2:23:49 Sneak Attack Method for Ad Scaling

The Sneak Attack method is a tactical approach to scaling Facebook ads that involves
setting a significantly high budget with accelerated spending and a very low bid cap.
This strategy creates a scenario where you're telling Facebook to aggressively spend
while simultaneously setting a limit on how much you're willing to pay per bid. Initially,
your ads won't deliver because the bid cap is too low. However, by gradually increasing
the bid cap, you'll start to see delivery at a point where it's cost-effective, tapping into
the lowest hanging fruit of potential customers. This method is not about achieving
high volume but about optimizing return on ad spend (ROAS) with proven ads on broad
or lookalike audiences. It's a fine-tuning technique that adds an extra layer of efficiency
to your ad spend, rather than a primary strategy for scaling to high volumes.

2:27:26 Tom Asks: Adjusting Budgets for Winning Ad Sets

If you've got ad sets that start off strong in the morning, showing promising results with
a few sales, you might be tempted to increase their budgets to amplify their success.
For example, raising the budget from $25 to $100, then observing performance and
adjusting accordingly. The question arises: if you adjust the budget, are you tapping
into the same "pocket" of traffic or not? The truth is, there's no definitive answer
because Facebook does not provide specific insights into how its algorithm segments
and targets these pockets of traffic. The best approach is to monitor the performance
of your ad sets closely. If increasing the budget continues to yield favorable results
without diminishing returns, then it's a strategy worth pursuing. However, if
performance drops after increasing the budget, it might be more effective to maintain
the original budget or consider duplicating successful ad sets rather than adjusting
their budgets significantly.

2:29:56 Adjusting Ad Budgets and Strategy Post iOS 14

After the iOS 14 update, you might be considering how to effectively adjust your ad
budgets. If you're seeing positive results from your current ad spend, it's tempting to
increase that budget in hopes of scaling those results. However, rather than making
large, sudden increases to your ad budget, a more cautious approach might be
beneficial. If an ad set is performing exceptionally well, instead of just increasing its
budget, consider duplicating the ad set. This method allows you to possibly retain some
of the learning and performance from the original ad set while minimizing the risk of
introducing volatility to your ad performance. The goal here is to aim for a steady and
sustainable increase in your ad budget, allowing your campaigns to gradually adjust
and maintain their performance.

2:31:32 Testing Creative Intros and Images with a Structured Approach

When it comes to testing creative intros and images, there's a specific strategy that
stands out for its effectiveness. The goal is to run each ad to 1,500 impressions,
ensuring that no single ad disproportionately receives more impressions than the
others, which could skew the test results. To achieve this, the ads are initially run to 750
impressions and then extended to 1,500. This two-step process is designed to
distribute impressions more evenly among the ads, reducing the risk of one ad
dominating the test due to Facebook's delivery decisions. This method, while not the
only way to test creatives, provides a structured approach that allows for a fair
comparison between different ads. It takes into consideration factors like daily
variations in user activity, ensuring that the testing environment is as controlled as
possible for accurate results.

Understanding CPA Variability and Testing Audiences

When you're analyzing the Cost Per Acquisition (CPA), it's not just about finding the ad
with the lowest CPA, but rather understanding the range of performance across
different intros to identify which one performs the best relative to others. This may
mean that your best intro doesn't necessarily have the lowest CPA, but it's about
relative performance. When testing audiences, if you notice signs of strength, you might
let the test run for several days, or even scale it up to confirm its effectiveness.
Conversely, if you're seeing no return (e.g., spending $200 with a CPA of $100 and
getting no results), it's time to pause and reconsider that audience. This approach helps
in refining your targeting strategy without hastily dismissing or selecting an audience
based on initial impressions.

Dynamic Creative for Testing Offers and Breakdown for Understanding Placements

When it comes to testing your offer, using dynamic creative can be a powerful tool. It
lets you pair your best guess of a couple of audiences with various creatives to see
what resonates best. This method helps in identifying which aspects of your creative
are working well, for instance, which images get the most impressions. Following this,
you can focus on refining your creative strategy based on these insights. Furthermore,
when testing placements, starting with auto placements allows Facebook to find the
most effective spots for your ads. However, it's crucial to later break down the data to
identify any anomalies, such as unexpectedly low Cost Per Click (CPC) or high
frequency in less desirable placements like the right column of Facebook's layout. This
nuanced approach helps in optimizing both your offer's presentation and its reach to
the most receptive audiences.

2:43:35 Todd Asks: Ad to Jump Page versus Direct to Offer Strategy in Supplements
Market

Todd, you've noticed a trend in the supplements market where ads lead to a jump page
before moving to a Video Sales Letter (VSL) or offer, and you're curious if this strategy
is prevalent and effective. This approach is primarily driven by compliance concerns.
Directly advertising to a landing page with potentially sensitive content, like weight
loss supplements, can attract heavy scrutiny. By using a jump page, advertisers
introduce an additional layer of separation from the ad to the offer, helping to mitigate
compliance issues. It's not so much about the efficiency of the algorithm but about
navigating the platform's regulatory landscape effectively. Thus, while direct to offer
might seem more straightforward algorithmically, the indirect route via a jump page
can provide a safer path for ads in sensitive or heavily regulated niches like
supplements.

2:48:09 Engaging Purchasers with Page Post Engagement Ads

When you run a Page Post Engagement (PPE) campaign for your ads, especially with a
budget as low as $5 to $10 a day, it can significantly boost engagement and credibility.
This approach is particularly effective if your product has a strong customer base that
loves the product, such as in the pet industry. When these satisfied customers see your
ads, they often jump into the comments to share their positive experiences, effectively
countering any negative perceptions like claims of a scam. This not only enhances the
ad's perceived trustworthiness but also fosters a community feeling among potential
and existing customers. Leveraging the enthusiasm of your purchasers in this way can
be a low-cost, high-impact strategy to improve ad performance and brand
perception.

2:48:14 Testing Different Ad Formats and Messaging

The advertising landscape, especially on platforms like Facebook, is continually

evolving, with certain ad formats falling in and out of favor. It's crucial to experiment
with various ad formats, including video ads and long-copy image-based ads, to
discover what resonates most with your audience. Video ads can be particularly
effective for visually driven products or services, such as fitness programs, where
demonstrations significantly enhance the value proposition. Conversely, long copy can
delve deeper into the benefits and features, appealing to those looking for more
information before making a decision. By testing different intros and messaging, you
can identify what works best and refine your approach accordingly. This not only helps
you optimize your ad spend but also improves the overall messaging in your marketing
materials, such as Video Sales Letters (VSLs), by incorporating the successful elements
identified through testing.

2:51:13 Reginald Asks: Developing Effective Images for Ads

Coming up with impactful images for your ads can feel daunting, especially if you're
more comfortable with copywriting. However, by focusing on visuals that directly
appeal to your target audience, you can significantly improve ad performance. For
instance, including an element like a guitar in every image for a music-related product
instantly signals to the target audience that the ad is relevant to them. Testing various
types of images, from close-ups of the product in use to more abstract
representations, can help you identify what resonates most with your audience.
Surprisingly, images that might seem less traditionally appealing, like older men with
guitars for a music instruction service, can outperform more generic, attractive
imagery. The key is to test broadly and iterate based on what works, ensuring the
images not only attract attention but also encourage viewers to engage with the ad
copy.

2:56:10 Practical Examples of Text on Ad Images

Incorporating text into your ad images should be done with the goal of encouraging
viewers to engage further with your ad copy, not just to prompt immediate clicks. For
instance, if you're promoting a course, adding text like "Without an email list" or "Launch
your course" on the image can pique interest and lead viewers to seek more information
by reading the accompanying ad copy. This strategy helps pre-qualify the audience,
ensuring that those who click through are more likely to be genuinely interested. It's
crucial, however, to adapt this approach based on your target demographic. For older
audiences, for example, images that appear too polished or unnatural might not
perform as well as more candid, relatable visuals. Testing different styles and types of
text can help you find the right balance that draws viewers into your ad's message,
rather than just generating superficial clicks.

Understanding Click-Through Rate (CTR) Optimization

When you noticed that your CTR was nearly identical to your overall CTR off, this
indicated that very few people were engaging with the "See More" option in your ads.
Ideally, you aim for a two to one ratio between CTR and CTR to ensure that people are
not just clicking through but are also reading the ad content before making further
clicks. This scenario suggests that users were likely just clicking to obtain whatever was
being offered, such as a free item, without engaging with the ad copy. To counteract
this, adding context or intrigue to your ads, similar to the guitar client example, can
encourage more meaningful interaction. By presenting something that piques interest,
like "play by feel," alongside an image, users are more likely to read through the ad copy
to learn more, rather than impulsively clicking through.

Samantha Asks: Facebook Ads and High CPM

Sam asked about dealing with high CPM (Cost Per Mille) on Facebook ads that are
performing well otherwise but are becoming costly due to the increased CPM. High
CPM can indeed be challenging, making it tough to maintain profitable ads, especially
when the costs vary widely between clients. To potentially lower your CPM, you could
try engaging more with your audience through your Facebook page or responding
promptly to messages, as Facebook tends to favor real, engaging businesses over
those that may appear to be "fly by night." Additionally, experimenting with broader or
completely different audiences can help reduce costs because targeting less
competitive demographics may result in lower CPMs. Changing your ad optimization
events is another strategy, though it's more of a drastic measure that could
significantly alter the quality of your traffic. Ultimately, if high CPMs persist, focusing
on improving the average order value (AOV) and backend offer might be necessary to
counterbalance the ad spend. Remember, CPM fluctuations can sometimes settle over
time, so monitoring and patience are key.

Impact of Specific Words on Ad Costs

When managing your Facebook ads, it's crucial to monitor how specific words within
your ad copy can significantly influence your Cost Per Mille (CPM). In an observed case,
the inclusion of terms related to "fat loss" in the ad copy led to a dramatic increase in
CPM rates, jumping from $30 to $200. This spike was resolved by simply rephrasing the
ad copy to avoid the specific trigger words, which brought the CPM back down. This
example underscores the importance of paying attention to the language used in your
ads. While this incident was unique and such drastic effects are not common, it
highlights how certain terms can trigger compliance flags or algorithmic reactions,
affecting your ad's cost efficiency. Therefore, unless you notice a significant and
unexplained increase in your CPM, there's generally no need to overly worry about the
inclusion of specific words in your ad copy.

Audience Testing Duration and Strategy

When testing new audiences with your ads, a pragmatic approach can help you gauge
their potential without committing excessive resources upfront. Initially, a brief testing
period of two to three days with an acceptable Cost Per Acquisition (CPA) can offer a
"fuzzy" indication of an audience's viability. If the ad continues to perform well over
several days, your confidence in the audience's potential should increase, though it's
wise to maintain a cautious optimism. Unexpected declines in performance after a
week do not necessarily indicate an exhausted audience but could be attributed to
various external factors like algorithmic changes or seasonal variations. If your ad's
performance dips, consider giving it another chance before writing off the audience
entirely. This strategy allows for flexibility and leverages early positive signs to inform
more significant investment decisions, balancing risk with the potential for discovering
valuable new audiences for your campaigns.

3:11:35 Marco Asks: Handling Creative Fatigue in Ads

If you're noticing messages about creative fatigue in your ad sets but your ads are still
performing well, there's no immediate cause for concern. The key metric to focus on is
the Cost Per Acquisition (CPA), not necessarily the warnings about fatigue or learning
limitations. These messages can serve as a prompt to review your ad's performance
metrics more closely, but they shouldn't dictate your decision to pause or adjust an ad
as long as it continues to deliver results. Essentially, as long as your ad is achieving its
objectives and maintaining a satisfactory CPA, it's beneficial to keep it running despite
any platform warnings about fatigue. Monitoring performance and making data-driven
decisions based on actual outcomes rather than platform indicators will guide you in
managing your ad strategy effectively.

Marco Asks: Video Ads vs. Static Image Ads CPM Rates

When comparing the CPM rates of video ads to those of static image ads, it's not
uncommon to observe a difference, with video ads often having higher CPMs. This
variance can be attributed to several factors, including the way the Facebook
algorithm prioritizes and charges for different types of content. Video content, which
can engage users for longer periods, may be priced higher due to its potential to limit
ad inventory space. However, the decision to use video or static image ads shouldn't
hinge solely on CPM rates. Instead, focus on the Cost Per Acquisition (CPA) and overall
performance of the ad. If a video ad, despite higher CPMs, yields a good CPA and
meets your campaign objectives, it remains a viable option. Diversifying your ad
formats to include both video and static images can also help reach different segments
of your target audience effectively, leveraging the strengths of each format to optimize
campaign outcomes.

3:16:13 Anuj Asks: How to Test a Campaign for Content Creators

Before launching your campaign targeting content creators, it's crucial to consider a
few key strategies for effective testing. Initially, you might be inclined to go broad with
your targeting, but as a new account, that could be less efficient. When setting up your
campaign, think about the budget you're comfortable spending, even if it's a loss, to
gain valuable data. A budget of $1,000 to $2,000 is a good start. Content creators
likely fall into a higher CPM category, so plan your budget accordingly. It’s
recommended to test different audiences with dynamic ads, starting with three
variations of copy and three to five images. Videos can be effective, but they might
skew your initial findings. For testing purposes, images allow the offer and copy to shine
without the added variable of video quality. Begin with $50 a day for each ad set to
gather early signals without overspending. Your test should include different interest
groups, possibly influenced by known figures or tools within the content creation niche.
This approach helps in refining your targeting for content creators who are looking to
enhance their earnings beyond AdSense.

Targeting Strategy for New Accounts

For a new account without existing data on purchasers or website views, leveraging
interests is a strategic way to reach potential customers. In the realm of content
creators, think about who influences them, the tools they use, and their broader
interests. You can utilize Facebook's Ads Manager to explore these interests and use the
suggestions feature to uncover related interests. When selecting interests, consider
stacking influencers to reach a sizable audience and look into specific tools or
platforms content creators might be using, like Squarespace or WordPress. Testing
broad targeting is also an option, but it requires close monitoring to adjust based on the
campaign's performance. The goal is to identify three to five interest-based audiences
that align with your avatar of content creators tired of low AdSense earnings. This
structured approach allows you to test the waters effectively, ensuring your budget is
spent on gathering actionable insights to refine your campaign further.