CategoryFacebook Ads

Progress Update! DEC 2015

Plan01

plan02

When i first created this business plan i was looking at the board and thinking..”Well i have so much to accomplish..and there’s no time left!”

i was struggling for around 4 months on teespring + Facebook to make something work. I was waiting for that one campaign that’s gonna make so much money for me to comfortably scale this business.

The ultimate plan was to make money from teespring and put that into teefry. Teefry needs loads of money for development (even registration is not done yet!). Finally after 4 months of struggle i found that one campaign that’s bringing in decent profits..actually not one but two!

Now when i look at the board it makes me realize..we need better upgrade for this plan. We have outgrown the basic plan!

Vision is solid and growing strong but plans are changing. Better plans for teefry to thrive as a company much sooner. So excited for the year 2016!

When to Stop Increasing Daily Ad spend – Facebook Advanced Tips

So recently i saw some people asking if increasing adspend in FB to scale campaigns will have a negative impact on CPC or the overall performance.

I will share with you the method that works for me.

Let’s say you have targets under one adset that gives you around 2 million audience. It doesn’t mean that all 2 million are active on FB all the time every single day. So let’s assume 30-40% of them (from this audience) are active every day on FB.

That brings down the audience to 800000 (40%). Meaning you have access to 800000 people every day in your niche. Just because your campaign is getting good ROI, if you blindly increase your adpend you will end up burning your money pretty soon.

Now my challenge is finding the sweet-spot. Meaning.. how much i can increase my daily adspend and still get a desired ROI consistently.

If i’m spending $50 per day with – 5% CTR – $0.15 CPC – 100% ROI – Consistently,
I will now increase my daily spend slowly up to $100 and check if it is affecting my CTR – CPC and ROI. I will gradually keep increasing until I have a negative effect on my above mentioned metrics.

When i spend more than $250 if FB is charging me more CPC or CTR drops (If you want to speed things up and you are OK with a 30% ROI it’s a different case), I will consider $250 as my sweet spot for this campaign.

Scenario #1

Now Let’s assume you have a budget of $50/day for this campaign and you are reaching 7000 people

with a CTR of 5% you are getting around 350 clicks

with a CPC around – 0.15

You are making a profit – $100 (ROI 100%)

 
Scenario #2

Adspend: $250/day – 5 times more reach

CTR: 4-5%

CPC: $0.15-$0.20

ROI: 50-100%

 
Scenario #3

Adspend: $275/day

CTR: 3-4%

CPC: $0.21-$0.30

ROI: 30-50%

 

So which one will you choose?

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