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How much do I need to spend on Facebook ads before calling it quits?

OscarMike

Active Member
Hi guys, this question pertains to dropshipping, not affiliate marketing. I hope that's ok.

I'm running a facebook campaign for my shopify store. My profit per item is $12.50.

PPC Coach told me to do a facebook campaign with 5 test ad sets ($12.50 max spend per ad set). He told me to set a test budget of $62.5 for the entire campaign.

If one of the adsets gets 3 sales, it's a keeper. If no sales, dump it.

My question to you: is $60 enough for a test campaign? I've spent about $25 on 2 of the ad sets and I've only got 15 clicks to my website. I chose the conversion objective. Gabriel St Germain (a well known dropshipper on Youtube) says you need at least $2000 to test adsets.

What should I do? Increase my budget from $62.5 to $2000? Or keep it at $62.5?

Thanks
 
The thing with courses or YouTubers or anyone for that matter who's actively targeting newcomers to affiliate marketing, or in your case drop shipping, they all have an angle of monetization. If I say, "you can start a dropshipping business with $60" you are much more likely to join my program, or follow my advice. If I say "You gonna need at least $2000" you would look elsewhere.
The truth is you need enough money to collect enough data to work with. I very much doubt $60 is going to buy anywhere near enough data using Facebook ads.
Also, I'm guessing if your commission is $12.50 it's not an impulse buy type product which in turn means you need a good amount of data to effectively target the right people.
$2000 is much more realistic, and that really needs to treated as money spent on collecting data not making sales. But before you go increasing your budget make sure you properly research your product and market.
 
Last edited:
MI
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