How to properly set up your budget and bidding options for your WhatsApp and Facebooks Ads is key in not over-spending your budget.
You don’t want to have an additional “0” when you set up your campaigns and spend $5,000 instead of $500 (in has happend to a number of people in the past).
Understanding how to select the correct bidding can also have a big impact on the results of your campaigns.
In this tutorial you will learn how to properly set up your budget and bidding for your WhatsApp and Facebook ads.
How to set up your campaign budget?
Do you know how much do you want to spend on your Facebook & WhatsApp Ads?
Difference between daily and lifetime budget
Daily budget
With a daily budget, Facebook will spend only up to the amount of budget you define in a given day.
If you define a $5 daily budget, Facebook will spend up to $5 every day on your campaign. Keep in mind that Facebook might spend up to 25% over your daily budget but never go over a calendar week.
You don’t have to worry about overspending because your charges will average out over a calendar week. (A calendar week is Sunday to Saturday.) In other words, on some days they will spend more and other less.
The main advantage of using daily budget is that it allows you to control your budget and plan ahead financially as you know how much Facebook will spend on your campaigns each day.
If one ad set is strong, you can keep increasing your daily spent and control the performance of your campaigns as you increase budget.
Daily budgets also work really well with evergreen campaigns. These campaigns already have a set budget and you know how much budget you need to reach your goals.
Lifetime budget
This is Facebook’s definition for lifetime budget:
A lifetime budget lets you set an amount to spend over the lifetime of an ad set. Our system will automatically try to evenly spread the amount you spend across the period of time that you’ve selected.
In other words, you tell Facebook how much you are willing to spend over the complete run-time of your campaigns.
Unlike daily budget, your lifetime budget will vary by day as Facebook seems fit to maximize your conversions; however, they will never go over your allocated budget.
One of the biggest advantages of running ads with lifetime budget is that you can run campaigns on a define schedule.
You are able to select which days and times you want to show your campaign.
When to select daily versus lifetime budget?
Here is a quick guide or tips for selecting the right budget.
You should choose daily budget whenever you:
- Are running evergreen campaigns
- Want to increase budget over time with results
- Will be on top of your campaigns optimizing
- Want to maximize results
You should choose lifetime budgets whenever you:
- Want to select specific days and hours to run your ads
- Know the start and end date for your campaign
WhatsApp Ads Optimization
Keep in mind that the only optimization available for WhatsApp ads is for “Conversions”. Facebook will try to optimize your campaigns and look for people who will
Are most likely to have a conversation with you through message.
Unlike other campaign objectives that allow you to optimize for impressions, landing page views, and clicks, the only option to optimize campaigns under the message objective is for conversions.
Facebooks Ads Scheduling
You can define a start and end date for all of your WhatsApp campaigns.
- Start Date: date and time when you want your campaign to start
- End Date: date and time when you want your campaign to end
IMPORTANT: some campaigns will not have an end date and run indefinitely. Make sure your campaigns do have an end date unless you are running evergreen campaigns.
Facebook Ads Scheduling Days and Hours
Keep in mind that ad scheduling will ONLY work with lifetime budget. If you selected daily budget, you will NOT be able to select days or times to run your ads.
Facebook allow you to select the days and hours in which you want users to see your ads. It even allows you to select the hours based on the user’s timezone.
Dark boxes are the scheduled hours and days that your campaigns will run on.
Facebook Standard versus Accelerated Delivery
Facebook standard delivery
Facebook standard delivery will spend your budget evenly over the course of your campaign.
As you can see in the image below, you campaign will be paced throughout the day. Facebook will attempt to optimize your budget while trying to get the lowest cost for your campaigns.
Accelerated delivery
With accelerated delivery, Facebook will try to spend you budget as quickly as possible.
Without optimizing your budget! It will try to get your conversions as soon as they become available in the auction; regardless of the cost.
As you can see in the image below, unlike the standard delivery, Facebook tried to optimize for conversions as soon as they become available:
For a more detailed explanation on standard versus accelerated delivery make sure you read our blog post on it.
Campaign Budget Optimization
Facebook defines Campaign Budget Optimization as:
Campaign budget optimization (CBO) makes the most efficient use of your budget spending to get you the overall best results, and ensure that the cost of those results align with your bid strategy.
With CBO, Facebook tries to find the lowest cost per action (CPA) or highest return on ad spend (ROAS) for your campaigns automatically.
Facebook will automatically distribute your budget to the best performing campaign.
In the following image, you can see the difference with how Campaign Budget Optimization differs from the current options:
As you can see in the example above, both campaigns have the same budget of $30; however, CBO is set at the campaign level and the other ones at the ad set level.
With CBO, you are letting Facebook optimize your campaigns and find the best results.
Keep in mind that CBO will be automatically rolled out to users as of February of 2020.
A good campaign structure is key in getting better results for your campaigns. If you are a beginner with Facebook and WhatsApp ads, make sure you check the following tutorial:
Final Thoughts
Budget and bidding options are limited when you launch your WhatsApp ads.
Unlike other campaign objectives that let you have more options, with the messages objective, you can only select conversions and try to optimize your campaigns for the lowest cost.
Ready…
Set…
Launch!
You should be able to launch your first WhatsApp ads now!
Let me know the results that you get with your ads.
Next Chapter: WhatsApp Ads Reports Beginner’s Guide: How to analyze your campaigns!
Previous Chapter: Beginner’s Guide: How to launch WhatsApp Ads step-by-step!
