My Simple 4 Step Facebook Ad Framework That Made $10M

Summary

This video script outlines a proven 4-phase system for scaling Facebook ads, generating millions for clients. Phase one focuses on audience identification, phase two on creative optimization, phase three on demographic dialing, and phase four on scaling with a Campaign Budget Optimization (CBO) strategy. The script emphasizes the importance of data-driven decisions, testing various elements, and finding the best combinations of audiences, creatives, and demographics to predictably scale ad budgets.

Takeaways

• 📈 The script outlines a 10 million dollar ad system for scaling Facebook ads, emphasizing the importance of a structured approach to predictably and consistently scale ad budgets.
• 🎯 The system consists of four phases: audience identification, creative optimization, demographic dialing, and scaling, each with a specific goal and strategy.
• 🧐 Audience identification focuses on finding the best audiences for the offer or business through testing different interests, lookalike audiences, and images with minimal ad copy variations.
• 🎨 Creative optimization involves testing various ad copies and videos alongside the best-performing images from the previous phase to determine the most effective creatives.
• 🔍 Demographic dialing is about narrowing down the best-performing audiences based on age, gender, country, and placements by analyzing data from previous campaigns.
• 📊 Scaling involves using the Conversion-Based Optimization (CBO) strategy to allocate larger budgets to the best-performing ad sets to ensure they exit the learning phase and scale effectively.
• 📝 The script provides a formula for calculating the daily budget for CBO campaigns, which is the average CPA times 50 divided by 7, ensuring enough budget for conversions.
• 🌐 It mentions the possibility of hyper-optimizing the CBO campaigns by using cost caps to control the maximum amount willing to pay per conversion.
• 🚀 The system is designed to be scalable, allowing advertisers to go from a small daily budget to a large scale quickly by following the outlined framework.
• 🤖 The script suggests that the system can be provided to others for their use, implying that it is a replicable and standardized approach to ad management.
• 📉 The system acknowledges that without a proven system, managing and scaling large ad budgets can be challenging, and small wins may not be sustainable over the long term.

Q & A

What is the main challenge in scaling ads over the long term without a proven system?

The main challenge is the inability to predictably and consistently scale, as one might only achieve quick, small wins without a reliable system to manage and scale big budgets.

What is the purpose of the '10 million dollar ad system' mentioned in the script?

The '10 million dollar ad system' is designed to generate millions of dollars for clients from Facebook ads by providing a structured approach to launching, testing, and scaling ads.

How many phases are there in the described ad system?

There are four phases in the ad system: audience identification, creative optimization, demographic dialing, and scaling.

What is the goal of Phase One: Audience Identification?

The goal of Phase One is to find the best audiences for the offer or business by targeting warm audiences, interests, and look-alike audiences.

Why is it recommended to have one interest or look-alike audience per ad set during audience identification?

Having one interest or look-alike audience per ad set helps to avoid stacking variables and allows for clear testing of which audiences perform best without confounding factors.

What is the primary focus of testing during Phase One?

The primary focus of testing during Phase One is audience identification, although images are also tested to find the best-performing visuals.

What is the objective of Phase Two: Creative Optimization?

The objective of Phase Two is to find the best creatives that work for the identified winning audiences by testing different ad copies and optimizing images or videos.

How does the script suggest testing ad copies and images in Phase Two?

In Phase Two, the script suggests using the best-performing image from Phase One with three different pieces of ad copy, and also testing video against the best-performing image to see which performs better.

What is the strategy for testing different types of images in the third campaign of Phase Two?

The strategy involves testing contrasting images, such as an authority shot, a family lifestyle photo, and a selfie-style image, to identify which type of image resonates best with the audience.

What is the purpose of Phase Three: Demographic Dialing?

The purpose of Phase Three is to fine-tune the targeting by analyzing data from previous campaigns to identify the most responsive demographics, such as age range, gender, and placements, and then focusing ads on those segments.

How does the script suggest analyzing data to inform demographic targeting?

The script suggests analyzing data from previous campaigns to identify which demographics, such as age ranges or genders, responded best to the ads, and then creating new campaigns targeting those specific segments.

What is the main action taken in Phase Four: Scaling?

In Phase Four, the main action is to duplicate the best-performing ad sets from the previous phases into a Campaign Budget Optimization (CBO) campaign with a larger budget to scale the ads and ensure they exit the learning phase.

What formula is used to calculate the daily budget for a CBO campaign?

The formula used to calculate the daily budget for a CBO campaign is the average CPA times 50 divided by 7.

Why is it important for ad sets to exit the learning phase when scaling?

Exiting the learning phase is important for long-term scaling because it means the ad sets have proven performance with more than 50 conversions in a seven-day period, allowing for more reliable and consistent results.

What additional scaling strategies are mentioned in the script beyond CBO?

Beyond CBO, the script mentions using cost cap strategies, such as cost cap one, cost cap two, and ROAS (Return on Ad Spend) bidding, to further optimize and scale the ad campaigns.