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Facebook ads | How to optimize ads with Facebook CBO?

February 16 2022

Facebook ads need to be constantly optimized to get better placement results, so how can you optimize your Facebook ad budget?advertise

What is Facebook CBO?

CBO stands for Campaign budget optimization and can be used to optimize the allocation of budgets between each ad group.

When placing Facebook ads, advertisers set an overall budget for the campaign and later adjust it according to the performance of each ad group in order to achieve the best results.

In the absence of CBO, if you have two ad groups running at the same time, one with a similar audience and the other with an interest audience, how can you tell which one is going to work best? After all, the number of similar audiences reached is higher than the number of interest audiences. If the budgets are allocated equally when testing ad groups, it would not be fair to the ad group with the higher reach. So it would be necessary to adjust the advertising budget.

CBO solves this problem and is a default algorithm introduced by Facebook for Facebook ads.optimize the allocation of budgets

How to set up an ad campaign?

What are the components of an ad campaign?

  1. campaign: the entire campaign to achieve an advertising objective. the CBO is used to optimize the budget allocation within the campaign.
  2. Ad groups: there can be many ad groups under one campaign and each ad group has a specific budget, bid, ad version, audience group, and time of placement.
  3. Advertisements: in the form of copy, URLs, videos, and images, which are displayed directly to the audience.

How to set up an ad campaign?

Budget allocation model for ad series

  • Daily budget: Facebook will spend on advertising according to the daily budget for the Facebook ad series.
  • Total budget: Facebook’s total budget for the entire campaign, is calculated on a daily basis so that the total budget is not exceeded.calculated on a daily basis

Placement optimization according to advertising objectives

  • If you want to attract traffic to your website, choose link clicks.
  • If you want to improve the conversion of your website, choose the conversion target.

Ad bidding

Facebook advertising bidding is divided into automatic bidding and manual bidding, and Facebook will also give a bidding suggestion.

Advertising schedule

Ad placement can be set up with a customized placement schedule so that Facebook will automatically arrive at the appropriate time.

Type of ad placement

  • Standard ad placement: the cost is relatively low and the speed of ad placement is optimal.
  • Accelerated ad placement: the ad placement is faster, but the cost will be higher.
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