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If your ads get less than 1x ROAS... do this

#Digital marketing
2025-10-24 17:2410 min read

Content Introduction
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This video provides strategies for improving Facebook ad campaigns, particularly focusing on maximizing return on investment (ROI). It outlines four proven methods, including the concept of 'betting on the fastest horse,' which encourages advertisers to analyze performance data systematically. The speaker emphasizes the importance of utilizing critical reports, targeting optimal age groups and demographics, and adjusting spending to improve ad effectiveness. Recommendations include adopting a rolling strategy for creative iterations and ensuring advertisements engage audiences effectively across multiple placements. Building a cost-capped environment for budgets is also advised to maintain spending efficiency. Lastly, the speaker invites viewers to explore a comprehensive training program aimed at enhancing ad management skills.

Key Information

  • The video discusses how to improve Facebook ads if you're barely breaking even.
  • It outlines four key strategies to enhance return on investment (ROI) on Facebook ads.
  • The first method discussed is 'betting on the fastest horse,' meaning you should identify and invest in the best-performing ads.
  • It emphasizes the importance of analyzing ad reports, specifically age and gender performance, to optimize ad spending.
  • Utilize Facebook ads in conjunction with Shopify dashboards to gain insights into which demographics are most profitable.
  • The necessity of regularly testing and iterating advertisement creatives to determine what resonates with target audiences is stressed.
  • Implementing a proper strategy based on data-driven results is crucial for reducing unnecessary spending on less effective demographics.
  • The video advises setting up a scaling campaign and focuses on the significance of managing cost-per-acquisition effectively.
  • Retargeting campaigns should be established to engage users who have previously interacted with the brand.
  • The importance of maintaining diverse and high-quality ad creatives is highlighted to improve engagement rates.

Timeline Analysis

Content Keywords

Facebook Ads

This video discusses strategies for improving performance in Facebook ads, particularly targeting the right audience and utilizing proven methods to enhance return on ad spend.

Betting on the Fastest Horse

The concept of 'betting on the fastest horse' is introduced as a strategy for optimizing Facebook ads, encouraging users to identify and invest in the best-performing ads.

Data Reports

Explanation of how to analyze age and demographic reports to find the most effective target audiences for Facebook ad campaigns.

Scaling Campaigns

The video covers the importance of having a scaling campaign that focuses on top-performing ads and emphasizes the need for constant creative rotation.

Cost Cap Environment

Advice on transitioning Facebook ad campaigns to a cost cap environment to manage spending effectively and optimize ad performance.

Creative Iteration

The importance of iterating on ad creative to find successful formats and the need for variety in campaigns to engage different audience segments.

Retargeting Campaigns

Details on how to set up effective retargeting campaigns to reconnect with users who have previously engaged with a brand.

Performance Metrics

The video emphasizes the necessity of tracking and analyzing performance metrics to enhance return on ad spend and overall campaign effectiveness.

9000 views

The video highlights the significance of gaining engagement through views and encourages pushing successful ads into the ad account for increased spend.

Free Flowchart

An offer to receive a comprehensive flowchart that details strategies discussed in the video, aimed at helping brands utilize effective advertising approaches.

Related questions&answers

What should I do if I'm barely breaking even on Facebook ads?

Here are some things you can do to fix that. You can apply four proven and tested methods to improve your return on ad spend immediately.

What is 'betting on the fastest horse' in Facebook ads?

The concept means that you should choose which ads (or horses) you think will perform best, instead of betting on all of them at once. This philosophy can be applied to all parts of Facebook ads.

How do I maximize the performance of my Facebook ads?

By constantly analyzing reports, such as age and gender breakdowns, you can identify which demographics are performing best and allocate more budget accordingly.

Why is it important to track my age report in Facebook ads?

Tracking age performance allows you to understand if there are certain age groups where you are overspending or underspending, and adjust your strategy accordingly.

What should I do if I'm overspending on older age groups for my ads?

You may need to reassess your targeting and potentially create a new ad set that does not include the older age group, or test what happens if you reduce your budget for that demographic.

What are the key components of a successful Facebook ad campaign?

A successful campaign generally consists of a scaling campaign, a prospecting CBO (Campaign Budget Optimization), and a retargeting campaign to convert interested users.

How often should I refresh my creative for ads?

It's advisable to upload new ads regularly, ideally every week, to maintain engagement and to test what variations work best.

What should I do if an ad isn't performing well?

If an ad isn't performing well, consider changing key elements, testing different creatives, and possibly shifting the audience targeting to improve engagement.

What's the benefit of having varied ad creatives?

Having a variety of ad creatives can help you appeal to different audiences and identify which formats or messages generate the best engagement and conversion rates.

What is a cost cap and when should I use it?

A cost cap is a setting that allows you to limit the maximum amount you're willing to pay per conversion or result in your ad campaign. It should be used to manage your ad spending effectively.

How can I determine if I'm targeting the right audience?

By analyzing the performance metrics related to demographics, you can assess whether your audience targeting aligns with the people most likely to engage with your product or service.

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