You have more authority over your advertising budget than you think. You have the ability to customize how Facebook Ads Manager bids for ad placements.
There are numerous options, ranging from lowest-cost bidding which you can forget about after setting up to advanced strategies such as minimum return on ad spend (ROAS). There are a limited number of ad spots available on Facebook at any given time (and its various properties, from Instagram to the Audience Network). When you run an ad campaign, Facebook will invariably bid on your behalf to fill some of those positions.
So it is up to you how you can bid for your ads in a more strategic manner so they can gain the maximum advantage from the bidding.
Facebook ad bidding tips and tricks
There are certain tips using which you can get the maximum out of Facebook ads bidding:
Facebook pixel integration
The Facebook pixel is a code that you put on your website. It collects data that allows you to track Facebook ad conversions, optimize ads, build targeted audiences for future ads, and advertise to individuals who have already some kind of action on your website.
You can track numerous website actions with a pixel, including page views, purchases, new leads, etc. Facebook learns which traffic is the highest quality by capturing these events and helps you.
You can't accurately measure and report on the success of your ads unless you use the pixel. Without that data, you won't know if your ads are working or how to improve them.
When you install the pixel, you can create a custom conversion to measure an action that isn't listed as a standard event or in greater detail.
You can use custom conversions to create rules for events or URLs. You can assess specific customer actions when you establish these rules. For instance, you can sift all purchases to only include purchases of women's shoes costing more than $40.
This is beneficial for bidding because custom conversions can be used to optimize ad delivery and reach individuals who are most likely to take the actions that are important for you.
Set the value and currency
Setting the value and currency of your events is the final tip for getting the most benefit from your pixel. You must have the pixel installed and access to your website code to do this.
Once you've located the snippet of code for your standard event, you can add the value and currency of a conversion.
When you have this data in your pixel, you can use value optimization and minimum ROAS bidding strategies.
Campaign budget optimization
Try Campaign Budget Optimization if you want to use automatic bidding (CBO). Instead of establishing individual ad budgets, you establish a single campaign budget. This budget allows you to spend more on ad sets with the best prospects and less on ad sets that are underperforming.
CBO allows Facebook to decide where your money should be invested. It streamlines campaign setup and decreases the number of budgets you must manually manage.
Final Thoughts on Facebook Bidding Strategies
The best Facebook ads bidding strategy for you is determined by your budget, timeframe, campaign objectives, confidence, and performance measurement method. Different bid strategies can and should be used for different campaigns, or even different ads and ad sets within a campaign.