-
Facebook Strong ROAS Fall
Hey,
In the last couple weeks we been seeing strong fall in our ROAS in Facebook.
CPM starting to go over $20, all of our creatives that we try seems not to work, CPC is getting bigger day by day.
We fell from 2.5x ROAS to 1.3x-1.4x ROASIs there something that can be done? anyone experience this too this month?
-
8 Replies
-
I think a lot more context is necessary in order to provide a helpful answer. It could be many things, from creative fatigue, to bid costs rising due to advertisers coming back to the platform after lockdowns and the boycott, or maybe you are spending more and scaling poorly… could you tell us more about what you are advertising and in what context?
-
I find that if you have a great audience, let’s say based on a lookalike your ROAS always climbs no matter what. Sometimes it’s a matter of being more specific with targeting and refining but ad exhaustion is real.
Something you can try that I’ve had middling success with is opening your Lookalike audience up to 2%. Depends upon the the industry.
For my industry, which is niche, SaaS enterprise product it’s nearly impossible to get a lead for less than ~ $50 simply bc the audience just isn’t there. So we just continue to try different things, including using blog posts as ads for conversions, power pages, etc.
Sometimes I will pause my ads for a week before restarting and see a lift in leads and a decrease in spend.
Are you a consumer brand or something more niche? Expect if you have a very tight audience that your ROAS will climb. I’d tel you to set a threshold for how much you want to spend per lead but I find that affects performance too. Good luck.
-
Try duplicating your current ad-set and use it with different budgets. Decrease your budget, slightly increase it, double / triple your budget, let the Facebook find new audience segments for you.
Even if your audience is 100mil, Facebook is probably showing your creatives to the same 1-2 mil of people on any given day.
Watch over your frequencies too, break-it down by a day, see how it performs on any given day and as a total. Anything over 2-3 is a big no, also depending on what your goals are, though.
Kill the underperforming ad-sets after some time.. you know the drill.
This video explains what I’m talking about:
Hope that helps.
-
I’m seeing reports of this all over DTC Twitter. You’re not alone.
-
also experiencing rising CPMS and drop in ROAS
-
Advertising and business is an ocean, some months are up or down. It’s the longer term trend that is important.
What is the category?
What other paid channels are you running?
Have you adjusted budgets or goals recently?
What are your budgets?
Is there any seasonality to your business or current event impact?
Did you run promotions in the prior period which impacted sales revenue?
All of these things can impact performance.
-
I’ve experienced the exact same thing in the last seven days after a solid last 3-4 months. Makes me wonder if everyone is piling in with EIDL money, which would end up being a sick subsidy for FB while everyone else loses lol. Though if this was the case you’d think it would’ve started much sooner.
-
Did you make updates for CCPA?
Log in to reply.