How to Scale Your Winners Vertically
Like everything in the marketing industry, there isn’t a rule when it comes to analyzing your campaign data. This is one way you could scale your audience and therefore create better targeting campaigns after.
If you didn’t know the difference between the two, horizontal scaling means testing different audiences without increasing the budget. On the other hand, when you vertically scaling, you put it all in that “one” audience only. You should do this in some specific situations.
This could be one of these situations. You had a campaign that had a reach of a minimum of 1M people. I wouldn’t recommend scaling smaller campaigns (group audiences there by CPP). You analyzed the data and you identified a profitable audience you want to get most out of. That’s most likely to be the place where a lot more of your potential buyers are. Also, before you do vertical scaling, you will need to have at least 10 purchases, to have some profit and data to start from. In another case, everything you do with a vertically-scaled audience could be a waste of money.
There are different methods of vertical scaling.
Increasing the budget
This is completely your strategy and it can be based on how aggressive you want to be with your ad. You can raise the budget around 20-30% and you can do this as long as the audience is profitable. Analyze the campaign in a day or two and then raise the budget again. If you see its performance is dropping down, don’t panic, just give it a day or two more and then make the decision.
This method is good if you are patient and therefore your growth is steady. Also, it works awesome with smaller audiences.
You wanted more aggressive? This is for you. Of course, the strategy depends on your budget, but if you started low, it can look like this:
$5 → $20 → $50 → …
or if your budget was higher in the beginning:
$50 → $200 → $500 → …
As you are increasing your budget, you can adjust your manual bidding. It doesn’t matter what budget do you start with as long as you get some results.
Remember that you should pause your original ad set if your audience isn’t big enough. That way you will avoid overlapping.
Sometimes it’s better to horizontally scale your audience if you see the results you wanted are missing. Let’s say that your audience is profitable at “budget A” and when you increase it to “budget B”, the profit stays almost the same. At this point don’t push it, just leave the audience to the “budget A” and horizontally scale them by grouping.
As I mentioned, you can start manual bidding once you have a budget of around $500. This is great for aggressive scaling. Why do we do manual bidding? Once you have a large budget, Facebook will try to spend a lot from it from hour to hour and if your campaign is active for a long time, it will become less and less effective. So, set the “lowest cost bid cap” and you will have the control of it.
Important note: you need to start your bid cap higher and gradually lower it down. This takes practice, so don’t get upset if something isn’t working for you. Bring it back up and start lowering again. You should see some results while changing the bid cap.
Everything you do need testing, ad accounts somehow work differently but I’ll show you one example of how manual bidding works better with the lower budget:
So be smart and test every variable in your campaign. It depends on the situation which scaling method you’re going to use.