Вопрос HELP ME SOLVE MY FACEBOOK ADS PROBLEM

  • Автор темы berzoka
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berzoka

berzoka

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I'm running dropshipping ads through facebook ads and i would like to know why is my CPM so high. My CTR is 9% and i'm also getting sales, but my CPM is 300+. Anyway, i would like to pay less for the same public (it's an open public).
Does anyone knows why is my CPM so high and what could i do to solve it?
 
  • High CPM (Cost Per Mille) in Facebook ads can be frustrating, especially when you're getting good CTR (Click-Through Rate) and sales. There are several factors that could be contributing to your high CPM, and here are some steps you can take to potentially reduce it:

    Ad Relevance and Quality

    Relevance Score: If your ads have a low relevance score, Facebook might charge you more to reach your audience. Even with a good CTR, if Facebook's algorithm perceives your ad as less relevant, it could increase your CPM.
    Ad Quality: Facebook evaluates your ads based on feedback from users (e.g., hiding your ad, negative comments). If the ad is not well-received, this could drive up CPM.
    Solution: Ensure your ad content is highly relevant to your audience, and monitor feedback. Improve the ad copy, creative, and targeting to increase ad relevance and quality.

    Audience Saturation

    Frequency: If your frequency (the average number of times each person in your audience sees your ad) is high, it can lead to audience fatigue. This can cause your CPM to rise as your audience becomes less responsive.
    Niche Market: If you’re targeting a very specific or niche audience, competition might be driving up the cost.
    Solution: Try expanding your audience or rotating your creatives more frequently to avoid ad fatigue. Alternatively, create lookalike audiences or experiment with broader targeting.

    Ad Placement

    Placement: Certain placements (like Instagram or Audience Network) might have higher competition, leading to higher CPM.
    Manual vs. Automatic Placements: Manual placements might be driving up costs if you're focusing on high-cost areas.
    Solution: Test different placements or let Facebook optimize placements automatically. You can also try adjusting your bids for certain placements.

    Time of Year

    Seasonality: CPMs can spike during high-competition times like holidays, back-to-school seasons, or major events. Many businesses increase their ad spend during these times, driving up the cost for everyone.
    Solution: Consider adjusting your ad spend during peak times or targeting less competitive time slots.

    Geographic Targeting

    Region: Ads targeting certain regions can have higher CPMs due to increased competition. For example, targeting the U.S. or Europe might be more expensive than targeting other regions.
    Solution: If applicable, try targeting regions with less competition or adjust your bid strategy for high-cost regions.

    Bidding Strategy

    Bid Cap: If you’ve set a bid cap that is too high, Facebook might spend your budget more aggressively, driving up CPM.
    Campaign Objective: Different objectives (e.g., conversions vs. reach) can affect CPM. Conversions usually cost more because they are harder to achieve than clicks or impressions.
    Solution: Review your bidding strategy. You might want to try automatic bidding or adjust your bid cap. Additionally, consider experimenting with different campaign objectives to see if they affect your CPM.

    Competition

    Industry Competition: Some industries are just more competitive, leading to naturally higher CPMs. If you're in a competitive market, you may be facing higher CPMs simply due to the nature of your industry.
    Solution: Research your industry benchmarks. Sometimes, the best approach is to optimize other areas (like your conversion rate) to ensure you're maximizing your ROAS (Return on Ad Spend) despite the higher CPM.

    Creative Testing

    Creative Fatigue: If your audience has seen your creative too many times, it could result in higher CPMs due to lower engagement over time.
    Solution: Regularly test new creatives and ad formats to keep your audience engaged and reduce the risk of creative fatigue.

    Ad Budget

    Daily Budget: If your budget is too low, Facebook might struggle to efficiently distribute your ads, leading to higher CPM. Conversely, if the budget is too high for your audience size, it could drive up CPM as Facebook tries to spend it quickly.
    Solution: Adjust your budget to match the audience size and ad delivery goals. Sometimes a smaller budget can result in a more efficient spend.

    Final Thoughts

    Given your high CTR and sales, you might already be on the right track with targeting and creatives. The key is to continually test and optimize different elements of your campaigns to find the balance between cost and performance.
    If you continue to face issues, consider focusing on optimizing your conversion rate and average order value. This way, even if your CPM remains high, you'll still be profitable.


4o
 

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