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To scale return on investment above $30,000/month advertising budget.
CPA: $50 -> $24.45
CTR: 3.5% -> 9.5%
Budget: 30,000 -> 120,000/mo
After finding a winning ad set, you’ll want to scale it up. But at some point, audiences get saturated and tired of seeing the same ad over and over again.
This was the scenario with our client (let’s call them Bed Bug Co.). We needed to quickly find targeted audiences of people facing the bed bugs. This is where lookalikes came to the rescue.
Lookalike audiences are a powerful audience building tool that Facebook offers. Facebook’s algorithm does all the heavy lifting and finds an audience that are likely to buy your product or service.
In the case of this Bed Bug Co. (they make bed bug spray), we used lookalikes to scale their budget from $30,000 a month in advertising spend to over $120,000 a month, without sacrificing their return on ad spend.
Lookalikes can be created from your previous purchase data, your email list, people that have interacted with your site, etc. Lookalikes are a great base audience to work with. But what really makes a lookalike powerful is when you combine that lookalike with other interests and behaviors, a technique called intersecting.
With this client, we intersected our lookalike audience or purchasers AND people searching for pest extermination services. But what really helped us hone in on these people who were terrified of sleeping in their own homes was intersecting a third audience. Lookalike + pest extermination services + bed bug exterminating products = extremely niche and targeted audiences.
Using this technique, we were able to create dozens of large audiences that were highly targeted. This allowed us to scale our advertising budget, without fatiguing our audience AND without seeing a huge hit to our return on ad spend.