These are the Meta ads bid strategies you should use and when…
If you stick with the defaults, you’re using the Highest Volume bid strategy. Meta will try to get you the most optimized actions at the lowest cost. Use this in most cases unless you know what you’re doing.
You can also set a Cost Per Result Goal. If you want to keep your Cost Per Purchase stable around $10, for example, use this. Cost Per Result Goals are best for scaling and stability. But use a reasonable Cost Per Result Goal or your budget will stop spending.
If you utilize the Value performance goal for a purchases campaign, the default bid strategy is Highest Value. Meta will focus on the highest value purchases rather than worry about volume.
While optimizing for Value you can also use a ROAS goal. While Meta focuses on higher value purchases, the primary goal is reaching your desired ROAS. This can provide ROAS stability, but use a reasonable goal or your budget may not spend.
Finally, you can use a Bid Cap. This allows you to control how much you bid across auctions. This should rarely be used, and only if you understand predicted conversion rates to help figure out the right bid.
It’s confusing, I know…
Cost Cap is all about what you PAY FOR THE ACTION, but the bid could be high or low. Bid Cap is only about what you’re paying IN THE AUCTION, not the actual Cost Per Action.
Typically, the default is fine, but if you want to experiment, Cost Per Result Goal is good for scaling and stability. ROAS Goal is good for adding stability to a profitable ad set.
But in all cases, a higher budget is ideal. And don’t get cute lowballing the system or you’ll just be frustrated.
What bid strategies do you use?
