Unlock your business’s full potential with the new Performance 5

Today at Meta’s Performance Marketing Summit we’re hosting advertisers of all sizes and introducing updates to the Performance 5 best practices to help them take advantage of our ongoing investments in AI , Reels and new ad formats and position themselves for growth in time for the holiday season.

The Performance 5 framework is based on five actionable best practices that increase your performance when using our ads products. They are:

1. Simplify your account structure and put ad creative in one central campaign

Account simplification is the most important strategy as it serves as the foundation for the rest of our guidance. When an advertiser starts an ad campaign on our platform, the campaign goes through a learning phase where our delivery system explores which audiences and placements are best for your ad. And as we continue to invest in AI to help advertisers see increased performance of their ads investment, account simplification becomes critical so that the recommendations our AI proposes continues to improve with a larger set of inputs. By simplifying the account structure, Meta’s AI investments help marketers get the results they need faster.

Lele Sadoughi is a fashion retailer focused on growing sales in new categories outside of their signature jeweled headbands. Their current campaign setup was complex with multiple ad sets targeting specific interest audiences to manually match the right product to the right audience. By consolidating their initial setup of 69 ad sets down to 15 they saw 41% more purchases at a 1.2x higher return on ad spend.

2. Use automation tools to optimize campaigns

The customer journey is more dynamic than ever and automation can help marketers keep up with the pace of change without needing to invest additional budget, resources and time. With Meta’s Advantage suite of products marketers can automate their entire setup through tools like Advantage+ shopping campaigns or the audience, creative and placement of their ad. Today, our own research shows that nearly all of our advertisers are already using at least one Meta Advantage product – demonstrating that these tools offer real value, at scale, to marketers.

Ogee a clean beauty company, tested Advantage + shopping campaigns and it significantly improved our campaign results with a 28% increase in ROAS and a 25% decrease in customer acquisition costs, which was transformative for our holiday sales. After testing ASC, Ogee achieved its highest revenue month in its history, and subsequent months saw even higher sales.

3. Differentiate your creative by audience

In the past marketers used a mass message to reach audiences in scale, but now they are realizing the value of delivering more relevant messages to certain audiences. By constantly developing and refining their ad creative, marketers can use creative as a new approach to targeting with distinct messages that resonate with different customer needs or interests. To get started marketers can diversify their ads by concept, the message and visuals of an ad, or the ad type, such as a video ad placed in Reels or working with a creator for a partnership ad.

Wild Alaskan wanted to expand their business to more seafood lovers. By diversifying their creative to be more health-conscious and speak to a younger demographic they were able to achieve a 43% reduction in CPA and 1.8x more purchases.

4. Utilize the Conversion API to improve campaign performance and measurement

By using the Conversions API businesses can create a direct connection between their marketing data and Meta to improve campaign performance and measurement. In addition to implementing the Conversions API we recommend that marketers maintain high quality event match ing to ensure that they can identify Meta accounts that complete an action, combine the Conversions API with the Meta Pixel for redundancy, ensuring you’re not counting events more than once and sharing events as close to real time as possible for the best performance and measurement gains.

Ridge , a men's accessory company, integrated the Conversions API and Meta Pixel with Shopify to create a more reliable connection that helped increase its event match quality (EMQ) score. A higher EMQ score means specific customer actions are more likely to match to a Meta account, which enables advertisers to see more conversions and lower the cost per result. The best practice for the EMQ score is over 6, and Ridge now has an impressive EMQ score of 8.5.

5. Measure your campaign with Conversion Lift, A/B testing and marketing mix modeling

To better understand their campaign performance we recommend that businesses use Conversion Lift to measure the incremental impact of ads, marketing mix modeling to quantify the value of your results, and A/B testing to compare the efficacy of different strategies.

After implementing the Conversions API, BrüMate was able to conduct a conversion lift study to understand how Meta ads influence conversions across channels. After conducting the study BrüMate discovered that 72% of incremental conversions from ads on Meta apps were misattributed to search, SMS, email and organic channels and 67% of incremental conversions from ads on Meta apps were undercredited.

We look forward to seeing our clients adopt the strategies outlined in our Performance 5 framework to drive success for their businesses in 2023 and beyond.