Auto optimise campaigns based on a fixed action price
Hyper Optimisation with Fixed conversion allows you to optimise ad sets using target parameters for a fixed KPI.
The goal of this feature is to keep the target KPI below a fixed value. This value is set by you (the advertiser itself) and enables you to optimise your campaign based on the maximum cost per action. In this way, your campaign remains profitable for you.
Suppose you’re advertising on Facebook and selling ear plugs packages. You know the cost price of your package and what your maximum cost per action is to make advertising on Facebook profitable for your business. If you've got a maximum cost per conversion of €25, this will be your target KPI.
This is how optimisation based on target KPI works
When using Hyper Optimisation with Fixed conversion, you’re aiming to keep the target KPI below your given value. While the campaign is running, we’ll be shifting budget from the bad performing ad sets (those above the target KPI) to the ones that perform the best (those below the target KPI).
Additionally, if no better ad set investment is found or if the 'performance capacity' of the available ad sets has been reached, we’ll be shifting budget to a reserve pool.
The reserve pool
Let me explain you a bit more about how the reserve pool works. Suppose all the ad sets are not performing well. Then you won't shift budget from one bad performance ad set to another bad performing ad set. In this case, we'll shift the budget to a reserve pool to give the ad sets a chance to perform better without spending too much money within the campaign. If the ad set resumed, budget from the reserve pool will slightly be re-allocated to the ad set.
Optimisation based on a fixed value changed the way we interpret a campaign performance. This way of optimisation allows you sacrifice volume and campaign spend in exchange for a CPA that you can control.
We’re calculating the maximum reach and performance of an ad set, to calculate the maximum budget the ad set need to get the best result out of your campaign, based on a fixed KPI. We’re constantly shifting budget slightly between the ad sets or between the reserve pool and the ad sets to find out the maximum budget the ad set needs to get the best ad set performance and get the maximum return on ad spend. By doing this, we’ll find the perfect balance between ad sets, the required ad set budget and we keep control of your CPA.
How does this differ from a manual bid info?
The difference between a manual bid info and our optimisation method based on a fixed KPI is crucial for your campaign performance. Facebook’s manual bid will kill your campaign delivery if your bid is too low. Hyper Optimisation will guarantee campaign delivery while staying below your target KPI or cost per conversion (action).