by Note: By the time of posting this on my blog Facebook have announced CBO is no longer mandatory.
This post will help any subscription box owner run a successful Facebook advertising campaign.
If you are running ads for your Subscription Box Business on Facebook you may already be aware of how CBO (Campaign Budget Optimization) Works. If you don’t know what it is you should spend some time getting familiar with it. Eventually, this will become mandatory for all campaigns.
There was already a couple of dates set for this and Facebook pushed them back but it will be coming at some point.
Let me explain briefly what it is and how it works.
The original way of setting up a campaign involved setting and managing your budget at the ad set level.
This was very straight forward to manage. You could have multiple ad sets all within the same campaign all with different budgets.
This was handy when advertising your subscription box to different audiences. It was easy to raise the budget on a specific audience by putting it in a different ad set.
CBO is the new way of setting up your campaigns (You will see the option to turn it on when you create a new campaign)
This allows you to set a daily budget for the entire campaign rather than setting budgets for each ad set. Facebook created this feature to make things better for advertisers.
The way it works is CBO will utilize Facebook’s algorithm to distribute your budget across ad sets which are most likely to get conversions for the best price.
The machine learning will pump your budget into the ad sets which are most likely to get the best results on any given day.
This might seem like a simple enough change but YOU WILL have to alter your strategy to run successful Facebook campaigns for your subscription box business.
The good news as of now you can still advertise the old way. So, here’s a handy tip.
If you aren’t very experienced with Facebook ads the old way is a great way of testing your audiences. This is because it guarantees your budget will deliver impressions to people within a certain amount of time.
So, I recommend making the most of it while it is here to test and identify your winning audiences and creatives.
Once you have run plenty of tests and discovered what your best performing ad sets are you can then run them In a CBO campaign to scale.
The CBO Layout will be very similar to my previous Facebook posts about setting up your ads. I may write a more detailed post about this in the future. Search this group or take a look at my blog to see more information on this.
As a quick reminder, you should always have at least 4 ads per ad. Use 2 videos and 2 images or 3 videos and 1 image whatever performs the best.
When it comes to the budget you will set it at whatever you can afford. I wouldn’t put it any lower the $25 per day. Any lower than $25 per day and you are not giving Facebook enough budget to get data and optimise.
If you followed the strategy we discussed above you should already have winning ads and audiences so you should feel more comfortable testing CBO at a higher budget and trying to scale. Ad prices are rock bottom at the minute so if you do this correctly you should be able to get lots of new subscribers for relatively cheap.
There are a lot more complicated strategies which can be incorporated into a CBO campaign but the above is just a simple way you can test it without much risk.
If you have been avoiding CBO until this point I suggest you start testing it. You don’t want to leave it until its mandatory and then your campaigns end up suffering because you don’t have a clue what to do.
If you have any questions about Campaign Budget Optimization, Facebook ads or Subscription boxes in general just drop a comment below.
