Learn from Fast Growing 7-8 Figure Online Retailers and eCommerce Experts

EPISODE 182 20 mins

Facebook Ads: Let’s talk about Campaign Budget Optimization – CBO

Posted on 29th March 2019 ,
by Kunle Campbell

About the guests

Kunle Campbell

Kunle Campbell

Kunle advice and helps direct-to-consumer retail brands profitably acquire customers through paid media, conversion optimization, and search marketing.
He is also sometimes referred to as ’the ecommerce traffic and conversions guy’.
Kunle hosts the 2X eCommerce Podcast, a top charting podcast on iTunes business and marketing categories.

CBO = Campaign Budget Optimisation

Sections in Depesh’s The 7-Figure BPM Method for Facebook Ads course cover CBO in detail.

Here is where to get his course: http://bit.ly/2uy1gQQ
Remember that it is open until April 2nd, 2019  and then closes.

Facebook Ads Account Structure

The Facebook Ads account structure is set up in a hierarchical order as follows:
Campaign > AdSet > Ads

We have typically tested at the AdSet and Ad Level

So the variables at the Adset level have been:

  2. You more granular objectives such as LP views, Add-to-Cart, InitiateCheckout, Purchase
  3. Geo,
  4. Audience,
  5. Interest/Behavior/Demographic of Target Audience,
  6. Placement and Device Targeting
  7. Conversion Optimisation Window

For Ads: you manage and test all your creatives

CBO Structure

With the introduction of Campaign Budget Optimisation late last year,
We are now able to SET budgets at the Campaign Level and
Test a range of Adsets at a Campaign Level

From September 2019 you will ONLY be able to set Campaign level budgets.
So no ad set budget option.


Facebook is leveraging machine learning to offer advertisers better opportunities.
It is a move towards AD ACCOUNT AUTOMATION.


Here is what you need to know on what works right now for CBO (some of these tips are courtesy of Depesh):

  • CBO works best when you’ve tested audiences/ads before trying to scale
  • Generally best with 1-day optimization at the ad set level
  • use bigger budgets for CBO – ideally min $100 per ad set, ideally more (eg if 5 ad sets in a CBO campaign, min $500 budget)
  • Min 2 ads, max 4 ads running – but the more ads you run, the more budget you need
  • You can scale CBO more aggressively than ad set budgets. I’ve gone as wild as 500-1000% budget increases
  • As long as audience sizes are large enough, you’ve tested enough and its not too late in the day – but until you’re confident don’t go wild
  • Pause bad ads – ideally using rules, or manually. CBO can spend on bad ads quickly hence I prefer rules to cut ads on automation
  • I test using normal ad sets (though from Sept 2019 this changes as CBO becomes the only way to set budgets) then move to CBO
  • As your spends go up keep an eye on frequencies and performance, ad fatigue happens quickly at scale
  • Group lookalikes | group interests

– – –


6:24 Talk with Depesh
8:04 Background on where Facebook is headed
13:10 First principle on CBO
15:04 Setting up one day optimization window
15:29 Budget


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About the host:

Kunle Campbell

An ecommerce advisor to ambitious, agile online retailers and funded ecommerce startups seeking exponentially sales growth through scalable customer acquisition, retention, conversion optimisation, product/market fit optimisation and customer referrals.

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