The Seven Principles You Need to Scale Facebook Ads PROFITABLY in 2024

over the last six years I've been managing over hundreds of thousands in Facebook ad span and I've been learning a lot of very important lessons through doing that so in this video I'm going to discuss my seven most important principles for having effective media buying for Facebook ads in 2024 so all of these seven principles I've put in the order that I think is the most important but it still isn't the order that you would set something up so the number one is actually not that obvious and this is what I found often is the

most important thing but very often I see marketers and entrepreneurs forget this even though it's very very important so choosing which product to Market is the number one thing and it's super important if you want to have a successful campaign but it's often forgotten about so an example I like to illustrate is imagine your Facebook ad account as a store and that store is going to have a storefront and there it's going to be a window and you're going to have to choose which products to actually place in that window to attract customers and make

them come into your store but very often I see advertisers actually place all of their products and many of their products in their ad account and they spend some Budget on all of them even though only some of them is actually bringing in the majority of the sales and the majority of the profitable results so when you set up your campaign make sure you spend a lot of time actually evaluating which product you should focus on or which service you should focus on so usually it's two things you need to evaluate when you make this

decision so often times it's actually just based on which product is easiest to Market and very often that's going to be your best seller or one of your best sellers but the other thing you need to take into the equation is what is the margin on that product because if you have a product that has it's very easy to Market and it's easy to get customers into your store if the margin on that product is really bad then you might be better off actually advertising another product that is maybe a bit harder to sell but

the ones you sell you actually make a bigger profit on so to make a proper decision regarding this you need to know what's the CPA the cost per acquisition on these different products so that you can see if it makes more sense to go with a higher margin product or if you should go with your easier to Market product and now if you're thinking well how do I sell all my other products you should have a proper backend setup where you can scale horizontally so when you draw in new customers into your store or into

your business with your hero products after that is when you upsell them and cross sell them into your other categories in products so make sure you have a proper backend setup and make sure you use other channels not just paid ads to sell your products and scale horizontally now the second most important principle for having a successful Facebook ads campaign is actually crafting a really compelling and good offer now there's many ways you can craft a compelling offer and some examples could be buy X get y free anytime you use the word free in an

offer a lot of people are going to take you up on that but it could also just be a percentage of whatever you're selling you can give a discount you can have a buy one get one that's a really good offer and for e-commerce this is usually like the general type of offers people run but if you're selling services or something else you could also be very creative with how you craft and set up your offer but just make sure that you spend a lot of time figuring out which offer to go with and you

can always test this one of the absolute biggest levers that you can pull in optimizing your results is actually just switching out your offer so see if you can maybe bundle some of your products together and make a really good highly discounted bundle where you still have a pretty good margin you know just be creative look through how you can make a really good offer look at what your competitors are doing and see how you can maybe out compete them by having a more compelling offer so to make an offer more effective you should use

urgency and scarcity or both at the same time so an example of how you can use urgency is calling it The January sale or the January offer and you say this offer is only available for January or you don't even need to set out you can just put that at the title of the offer and you can just change it next month to the February offer right so by doing this obviously people are going to feel a sense of urgency when they go onto your website and you see the offer another thing you can do

is adding scarcity so some examples of how you can add scarcity is just mentioning that you have limited stock that in itself is actually creating scarcity you can also just be up front of how many units you have available of this offer or you can have it set up to a point where you only provide this offer to the first 100 200 or 300 500 whatever customers so make sure you add this into the mix to really have an effective offer so the third most important principle is going to be the creative so the actual

creative aspect of the ad so that would be first and foremost the image or the video then it's going to be the ad copy and the headline and the description so once you have figured out which product to focus on and you have crafted a really good offer the next step is going to be to effectively communicate the value of that offer and the best way to do that is not always video it's not always image it totally depends on the product and this is why you need to test a lot so my general rule

of thumb with this is if the offer and the product is very easy to understand the value of in that case image is often the format that works the best now this does not mean you should always go with image but if the offer is very easy to understand and the product is not hard to understand that image could be the way to go just make sure you test a bunch of different ones and see which one worked the best now if the product or offer is a bit harder to explain and you need a

bit more time to actually explain all the points to really fully communicate the value of this then video could be the way to go but we also sometimes see that the carousel format is working well for this so make sure you do a lot of testing test out the different formats and see which one works the best for you and once you figure that out don't stop there continue to test a lot of similar variants to the one that became the winner in your campaign and once you find a few winners make sure you run

it for a bit make new ones and then try to out compete your current winners one of the absolute biggest leverage when it comes to going inside your ads manager and optimizing it's not necessarily just targeting and campaign structure the biggest lever today to pull is usually the creative and testing new creatives so number one is the video or image that's the biggest lever you can pull after that you should test different hooks in the primary text and different headlines but if you don't have a lot of time and you need to really you know

focus on one thing at the time always start with the image and the video that is the biggest lever to pull when it comes to creative testing so principle number four is having proper campaign structure and optimal targeting setup now this is may be something that a lot of people overthink and overdo a lot of advertisers that I speak with they really put a lot of time effort and resources into figuring out the campaign structure and the targeting but the thing is today meta ads is so smart and the algorithm is so smart that if

you just give it enough data this is not the most difficult part so in general what's working the best as of today is usually having one campaign consolidating it down to one campaign then have one adset that you let stay open so you don't specify any targeting it just lets the algorithm work its magic and then you have a second adset where you put in interests that are relevant to the product that you're selling now usually over time the open adset with the broad targeting is going to be the best because you give it so

much freedom and you let the algorithm work freely but sometimes in the beginning if you don't have a lot of historic data in your ad account and maybe you haven't run ads for a little while then sometimes the interest based targeting option is actually working the best because you're essentially sending Facebook in the right direction to search for potential customers now regarding look like audiences this is something that we see is barely working anymore we don't see a lot of cases where we actually use it but if you're just starting out and you have a

big list let's say for example an email list of 10,000 plus email subscribers then I would advise you to actually upload it into Facebook ads manager and have a look at testing a lookalike audience but if you don't have a lot of data like that and you already have a lot of historic data in the ad accounts you have been running pains and you have the proper pixel setup Etc then I wouldn't really spend a lot of time testing lookalike because for the last few years we have not really seen the look like audience targeting

option work really well so for any business really so I wouldn't spend much time on that so principle number five is having a proper data acquisition setup so by that I mean having a proper pixel and service side tracking setup so if you're running for example with Shopify this is fairly easy to set up but I have been seeing cases where people have using custom team and for some reason the integration the native integration between Shopify and mea is not working properly and the tracking has been way off and what that results in is usually

that results are way worse than what they can be if you just have this setup correctly so as you can see here this an example of one of the clients that we onboarded last year and the first thing we found was that their pixel setup was not set up correctly because they have switched from one Shopify team to another so as soon as we change that you can see the results immediately spiking and that's just to illustrate how important it is to have this setup correctly from day one cuz if it's not properly set up

you can be spending a lot of money a lot of budget and you think you're going somewhere the that is just to fix the data acquisition setup so if you're unsure if you have set this up correctly make sure you go into events manager and see how it looks in there and if you see that the matching quality is very low or you see that something looks off make sure you look more into it and see if you can fig figure out how to fix it because it's really really important so principle number six is

going to be to use the correct scaling strategy now a big mistake I've seen a lot of advertisers make is just increasing the budget in two big increments so the problem there is if you increase it in two big increments you will not know where your current scaling cap is so let's see you jump from $200 per day to $600 per day and then the profitability drops off you don't know where between 200 and 600 you should be spending on on a daily basis so by using an automatic scaling rule which I have been explaining

in another video on my channel you can click right here and see it or I'll link in the description below I teach you how to set up scaling method with automatic rule that increases your budget by a certain percentage every day as long as you're within a certain profitability metric so that could either be a certain row as number or a certain cost per results number now by doing it this way you will obviously scale a bit slower but at least you'll find where your scaling cap is and when you find that you see the

profitability starts to drop that's where you need to start to test and you know maybe re angle the offer or do something to get beyond that so you can continue to scale now another thing I see a lot of advertisers do as a mistake is when they get to a very high daily budget they continue to use the highest volume bid strategy in some cases it's okay to use this but you just need to keep in mind that when you're using highest volume you're essentially just telling Facebook to spend your budget regardless of what your

profitability is so in my opinion this is very risky because you probably have some days where the results drop but Facebook still spends all your money so by switching to a cost control bid strategy such as cost perold goal or a roas goal or bid capap you're able to have more control of the actual profitability of your campaign and if you have a really bad day with low sales you're forcing Facebook to take this into account to get days where you have a lower cost per result to make up for the bad day days and

if you're even using a bit capap you will make sure you don't spend as much Budget on the days where you have really low results so I would highly recommend once you get to a really high daily budget and you have consistent data flowing into the campaign look into starting to switch to a cost control Bas strategy and I'll explain this more in the other video that I link in the description so makeing sure you have a look at that if you're currently at a level where you're spending a lot of money every day on

Facebook ads so principle number seven is going to be focusing on conversion rate optimization and optimizing your average order value as well as having a proper backend setup so this is the point where people actually look at your ad they're interested they click on and they land on your website at that point that's where it's really important to make sure you have a proper conversion rate optimization setup to make sure you don't lose out on a lot of potential customers because you already made them come out to your website so now you just want to

make sure you sell them and get them into your customer database so I also made a lot of videos on this I'm also going to link that in the description below we have one case study where we really improved one of our clients conversion rates by a lot and I'll take you through all the things we did so you can just click here and watch that I'll also leave the link to that video in the description but the main points here is minimizing the friction so both the obvious and the visible friction but also the

invisible psychological friction that occurs when somebody lands on your website so the obvious one the visible one is going to be more technical aspects like how quickly do your landing page load if you have just a few seconds more than necessary you're going to have a way higher drop off rate and you're going to lose out on a lot of the people that clicked on your ad because they're not even going to land on your page properly now the other thing that's obvious is where you place your ad the card button how you have your

page structures and stuff like that but on the other side of this you also have the not so obvious friction that appears psychologically every time somebody lands on a new website or a new landing page and that is is the a scam can I trust this is this going to solve the problem that I have that they claim they can so to do this have a lot of reviews make sure you include a lot of conversional rate optimization aspects that takes care of these kind of concerns and add as much credibility to your page as

you possibly can so if you have testimonials or if you have been featured in any public magazines or newspapers make sure you include these kind of stuff on your landing page to build as much credibility as absolutely possible so you don't lose out on sales and the last part is going to be having a proper backend setup so once you actually convert customers you don't want to stop there you want to make sure that you still cross sell them or upsell them if you have more products or if it could be relevant to upsell them

into the same product if they can buy more units so make sure you have this set up so that you can increase your average order value but also increase the lifetime value of each customer that you get because if you have customers coming back to you either through email marketing if you get them on to your list or SMS marketing or even through your organic social Pages by doing that you will have more sales coming in helping you staying profitable even during the months where your sales might be lower from the paid ads channels and

this is going to be absolutely essential if you want to keep your business profitable and a float long term and you want to build an actual brand that's going to be sustainable for many years to come so I hope you found this video valuable make sure you click the links to the other videos that I mention in the description below and if you want to potentially work with me in my team we currently have a few slots open so you can click the link to book a strategy call with me in the description and I'm

going to give you a free strategy call where I look to your marketing setup and give you practical and valuable advice and if I see that we could potentially start a partnership then I will also offer you a free marketing audit where I go through your ad account and your ads and give you even more advice that you can use for yourself and if you see that potential partnership would make sense then I'm going to give you an offer as well so make sure you click the link in the description below and uh subscribe like

the video and as always I look forward to seeing you in the next video