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[Case Study] Algorithm FB Latest Ads!

Discussion in 'Guides, Case Studies and Tutorials' started by goblog, Mar 26, 2016.

  1. goblog

    goblog Affiliate affiliate

    Today I will explain the latest news on updates algorithm facebook advertising .

    A few days ago , FB recently made the latest update of the algorithm. But before getting to the point of this note , I would like to explain a little about how exactly the FB algorithm works .

    ou need to know that the algorithm FB ads work with two major objectives : improve the relevance of ads that appear on your timeline , and increase the " value satisfaction " advertiser , which of course in this case is us . FB worked hard to create ads that appear in its timeline appropriate / relevant to a user 's own , and FB also think bagimana happen highest possible conversions for advertisers.

    FB applying the concept of " auction " ( auction ) , the match between an advertisement to its users. Of the millions of ads posted , FB algorithm will work to pair an advertisement with the user . From there our ads compared to existing ads , and also compared between one user to another user . Up here understand it or not ?


    Factors Influencing a Decision in the algorithm Facebook

    The process of " auction position " starts when an advertiser to request an advertisement on FB . Of course, at this stage you have to determine not , what " objective " of your ad : who her audience , how demographics , what " interest " of his , and also how much value you offer to Facebook ( in this case means that the value of your bidding ; usually I always put auto ) . When there is an audience that is available , then the FB will hold this auction process so that your ads later aired on the timeline of Facebook users .

    Well, so Facebook consistent in assessing the ads for us , then they make some sort of decision making system consisting of three factors :

    1. The value of our bid to " outcomes " we expected . Suppose we put automatic bid , then we set the budget $ 100 per day for the adset , then the algorithm Facebook will read that we are ready to surrender completely to FB , where the value of our bid the maximum amount of our budget ( in the auto set ) . This is why one of my friends who often play on FB ads , never experienced until one click is worth $ 900, aka alms to the FB .

    2. Besides the bid value, the second factor is the compatibility between the objective we expected audience. For example , if you put an objective for your ads that Post Engagement , of course the audience will be greater than you put an objective form of Website Conversion . At objective PPE , you just told FB to publish your post without frills optimization , while for the WC , you send FB to optimize its audience into liking . ( Sometime later I discussed about the objective that is often used in FB ) .

    3. the latter is the quality of our advertising and its relevance to the audience . This includes whether the video -based advertisements or just a picture , a good picture of what is ugly, what did not connect with the audience , and so on .

    So simply put , if you want to succeed in advertising on FB , we simply pay attention to three things above : Knowing how meaningful our ads if the conversion occurs, determining the most appropriate objective and the right audience , and makes posting an ad that attracts readers .

    Specialized in this post , I want to focus on budget issues and the bid .

    Budget & Bid

    In the paragraphs above I said that we need to know how important our ads when conversions occur. Some of the questions that arise are as follows :

    1. How much is the budget that is ideal for a adset ?
    2. Which is more effective , 10 adset with each of her $ 10 budget and audience alike , or 1 adset with a budget of $ 100 ?

    How to determine the budget simply can use the formula 1x profit . This is the most simple . Suppose your conversion value in the event a transaction is $20 . Then the most minimal budget properly is $20 . This means that if the day you just experienced conversion 1x , it has been shut down your advertising costs . For local advertising , budget $20 in 1 adset it was quite luxurious , especially its broad target audience above 1 million ( the local market ) or above 2 million ( outdoor market ) .

    Well some say we should slow cook in determining the cost of advertising . Is it true? If for example, your conversion value for one transaction is $20 , cook yes you are so greedy only set $3 for the value of the initial budget ? Slow cook here means you increase your budget from 1x profit , rose to 2x profit , and so on .

    It should be noted , that the new algorithm is very appreciated FB bid and budget issues . If your budget is too low , even if you set its auto bid , then the FB will continue to read that you are greedy . Hehehehe .. What are the risks of greed ? Very often fail . Your ads will have a low delivery , may be displayed at FB to people who are not qualified and not qualified . Later I will present a simple case study .

    Well if your budget is already configured in a sensible and well prepared their ad content , usually campaign will be successful .

    So which one is most excellent , broken down in many adset , or whether one adset with a big budget ?

    Again , if we refer to the release of the most recent algorithm FB , FB indirectly wants to tell us that 1 adset with large budget more valuable . Why?

    Back to the workings of the FB ad bidding system . Which is read by the FB as a member of the auction is not your postings , but the ads you setting . Ad = post + setting audience, objectives, etc . So if there are 10 adset , then there are 10 members of the auction . Adset with another one will be pitted by FB , including the millions of other postings .

    Well because you installed with a small budget , then the FB will read that your purse is thin and does not expect an audience that is too broad . Then surely narrow your advertising reach . At this point you must have thought : nah its reach combined everything right , then the result will be great ?

    Correct results are great , but the content as I said , the value of the audience would have been different in quality with the big purse .

    Imagine you fight with three advertisers each adsetnya $ 100 budget . While you $ 50 thousand . All had the same audience . How about a game that happened ?

    Timeline 1 will not be filled by 4 ads at once , because FB upholds the user experience . Then it will have only 1. Which comes first to appear ? Of course the budget is large . They will be thrown into a premium audience in time premium . That means the winning bidder of course the 3 first advertiser .

    Well you when? After another through a new, your ads are appearing . Or , your ads given to the remaining audience .

    Imagine you, what will happen next ? What happens if your budget is also 1 million , but is divided into 10 adset ?

    Then the FB will look as if there are 13 advertisers who fight , plus parameters that FB will not show you the timeline adset 10, 1 person in adjacent time .

    Nothing influence you divide adset , as the winner of the auction must have 3 first advertiser .

    Do not believe? This latest release FB I quote :

    Be aware that splitting your total budget across too many individual ad sets might make it harder for your ads to deliver as much as you intend them to.

    Simple Case Study


    This one I am running a new ad a few days ago . In parameter all bad , but profitable , so these ads keep me running . Audience each around 2 million people .

    Campaign Issuer has a target market audience, objective , and post the exact same landing . All right , just a little difference in the budget . The first budget of $200 per day , which is below the $150 per day .

    You can see what happens , consider the purchase column. Campaign that I plug a budget of 2 million , has provided 20 transactions . While the budget is only $150 , just give 7 transactions . Even half of it does not exist !

    Should that budget of $150 , most will not give 15 transactions , is not it? Logically . But what happened , that this campaign cannibalized by his own .

    What happens if you focus on one adset alone ?


    This is happening in one of the other campaign , with a budget of $1000 per day , FB provides an amazing delivery . There were 236 transactions with a cost per purchase only $4 . Yet this is one transaction profits to nearly $20 . You can imagine how lucrative ? So do not be afraid to focus on one adset .


    f you want to start a new campaign , followed by a good 3 FB factor is said above . Especially once the budget problem . Do not be too " tight " or stingy . Provide a broad space for FB to help you make a decision .

    So at a glance This record I 've made, hopefully can help the advertiser of affiliatefix to seek lawful money from online businesses , especially Facebook . thanks.


    Note :
    I have changed the price of the currency of my country to the currency usd , to be the same and you easily understand . so , I hope you can understand it.
  2. newbidder
  3. Yvon

    Yvon Affiliate affiliate

    It would help if you explain what you are advertising and how it is converting for you. Is it CPA or your amazon review site?
  4. goblog

    goblog Affiliate affiliate

    I talk about things that include all of the advertising model , amazon , cpa , or anything .

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