Campaign Budget Optimization for Facebook Ad Campaigns will be required as of September 2019. You will set your budget optimization at the campaign level rather than the ad set level. It’s said that this will replace ad set budgets altogether. Before September 2019, there’s a toggle button to turn on or off. Here’s how to use this new Facebook advertising strategy.
How Does It Work?
With the new Campaign Budget Optimization (or CBO), Facebook will now optimize distribute the budget for the campaign giving a higher budget to the best performing ad sets in the campaign.
During the rollout phase, you may see an on/off toggle to choose this feature.
This allows your campaign to give the best performing ad sets more impressions than your underperforming ad sets. It functions as a dynamic split test giving weight to the winning ad set continuously as it tests throughout the life of the campaign.
Of course, campaign budget optimization is only going to benefit you if you have multiple ad sets in that campaign. [Ad sets contain one or multiple ads. The moment you create an ad, you have an ad set. Each ad set can have unique targeting, scheduling, bidding, and placements]
Your Campaign Budget
Within the campaign, you’ll be setting budgets as a daily budget or lifetime budget. Your campaign budget will then be optimized in real time.
When you set a daily campaign budget, you set an average. Facebook then works on that average as a goal working to get you around that daily budget’s worth of results.
Some days will perform better than others and that is why the budget spend is an average rather than a hard set “rule”.
With a lifetime budget, you’ll set a beginning and end date that dictates the “life” of that ad. Facebook will work strategically to get you the most results for that lifetime but does not guarantee the same ad spend each day.
The real-time optimization allows Facebook to choose how to spend that budget as its goal is to get you the most conversions.
Lori Ballen, creator of The Ballen Method is a digital marketing strategist who has specialized her lead generation activities around ranking on the search engines and social media. A teacher at heart, Lori loves to share her strategies through authentic storytelling of both success and failure.
- The goal is to get you more conversions on your ads
- Set a daily or lifetime budget for your campaign
- Create multiple ad sets in your campaign changing one or more selections from targets to images and so on.
- Rather than optimizing the budget allocations for each ad set, Facebook now optimizes the campaign in real time giving more of the budget to the best performing ads and less to the underperforming ads.
- Choose successful campaigns to test this new strategy.
Frequently Asked Questions
Facebook offers campaign budget optimization for ad campaigns to allow more of the budget to be spent on the top performing ad set. This is done automatically and continuously. While you can still set minimums and maximums on daily and lifetime budgets, Facebook can now spend less on your behalf on underperforming ads and more on ads achieving better results.
Each are assigned a budget. With daily, Facebook works to create an average spend of your campaign budget for each day. This means that even if your ad is performing better one day, Facebook will work to limit the spend on that day to create a better average.
With a lifetime budget, Facebook will have more freedom to increase your ad spend much higher on better performing dayss.
You’ll want to test and measure ads and ad sets including targeting, images, headlines, call to action, landing page and so forth in addition to setting the campaign budget optimization. The better your ad performs, the lower your cost per result will be.
Before Septembere of 2019, you’ll find an on/off toggle. Aftere September 2019, you’ll be forced to use CBO