the entire meta ads algorithm explained in 21 mins — Transcript
Full transcript
- 0:00Hey guys, Mark here. In this video, I'm
- 0:01going to be explaining how the entire
- 0:03Meta Ads algorithm actually works. A lot
- 0:06of people think that running ads on
- 0:07Facebook is just all random or that if
- 0:09your creative is good enough, then
- 0:11everything else will just magically fall
- 0:12into place. Well, running profitable ads
- 0:14on Facebook is both an art and a
- 0:16science. The art is the creative, but
- 0:18the science is exactly what I'm going to
- 0:19be explaining in this video, how the
- 0:21algorithm actually works. And more
- 0:23specifically than a science, it's
- 0:24actually an equation. And this is the
- 0:26one equation that is actually going to
- 0:28determine how profitable your ads are
- 0:30going to be. Now, before I break down
- 0:32this equation, I need to explain to you
- 0:34the four-step process that Facebook uses
- 0:36to actually show your ads, the one
- 0:37update that broke everybody's ad
- 0:39account, and at the end of this video,
- 0:41I'm going to put in a little something
- 0:42special to explain what this actually
- 0:44all means and how the game really works.
- 0:46All right, so before we get too
- 0:47technical, this is what you have to
- 0:48understand. Facebook basically goes
- 0:50through a four-step process to determine
- 0:52which ad is going to show for any
- 0:54particular user. Every time somebody
- 0:56opens up their phone on Instagram and
- 0:58they scroll and see an ad behind the
- 1:00means there's literally a 200
- 1:01millisecond window where Facebook is
- 1:03doing all these incredible calculations
- 1:06and machine learning decisions to
- 1:08ultimately decide to put your ad in
- 1:10front of the user or somebody else's.
- 1:12So, in that one 200 millisecond period,
- 1:15there is literally tens of millions of
- 1:17ads that are competing for that one
- 1:19impression. And these are the four steps
- 1:21right here. First, you have retrieval.
- 1:23Second is light ranking. Third is heavy
- 1:26ranking. And the final piece is the
- 1:28auction. So, let me break this down for
- 1:29you. So, first up is retrieval.
- 1:31Retrieval is the most data-intensive
- 1:35portion of this entire process because
- 1:36as I said, there's tens of millions of
- 1:38ads, tens of millions that are competing
- 1:40for one individual spot. The process of
- 1:42retrieval is essentially Facebook going
- 1:45through and ultimately deciding, is the
- 1:47ad right now even remotely relevant to
- 1:49this user? Basically, like is it even in
- 1:52the right ballpark? Now, this is also
- 1:54the portion of the process where
- 1:56Facebook actually analyzes all the
- 1:58aspects of your creative to determine
- 2:00how to narrow down the audience. So, you
- 2:02may have heard this before, but this
- 2:04whole concept of your creative is your
- 2:06targeting. This is where Facebook is
- 2:08analyzing everything about your creative
- 2:09to determine who to show it to. This
- 2:11includes, but is not limited to, your
- 2:14hook, your format, the demographic of
- 2:18the users that are actually on your ad.
- 2:20So, for example, if you're running an ad
- 2:22that is featuring a woman that is 55
- 2:24years old, Facebook takes note of that
- 2:26and it's going to use that to power the
- 2:27targeting to skew much more towards
- 2:29women and skew much more towards older
- 2:31women specifically. Of course, all taken
- 2:32into context with what the creative is
- 2:34actually saying. It's also looking at
- 2:35your copy, it's looking at your script.
- 2:38If you're running video ads, it's
- 2:40looking at your thumbnail. It's even
- 2:41going and looking at your landing page
- 2:43to determine generally who is this ad
- 2:45trying to target. This is a
- 2:46non-exhaustive list. I'm really
- 2:47simplifying this. Behind the scenes,
- 2:49it's a pretty substantial, literally an
- 2:52algorithm in order to determine which
- 2:54variable is going to correlate to which
- 2:56piece of targeting. And this is probably
- 2:57a good time to mention the Andromeda
- 3:00update. Andromeda what is was an update
- 3:02to the sorting process of the retrieval
- 3:05steps specifically. Mostly just because
- 3:07there was a massive influx of AI
- 3:08creative that was absolutely flooding
- 3:11Facebook to the point where their old
- 3:12model of sifting through all these
- 3:13creatives was not becoming very
- 3:15effective. This is not the only reason
- 3:16for the Andromeda update, but I believe
- 3:18this is one of the biggest ones simply
- 3:20due to the fact that AI has massively
- 3:22increased creative production for all
- 3:23advertisers. And now that's why Facebook
- 3:26is mostly looking at creative to
- 3:27determine targeting, not what you have
- 3:29going on within your ad sets. That's why
- 3:31you've probably seen a decline in
- 3:33audiences that are actually able to
- 3:35sustain high budgets profitably. Like I
- 3:38rarely use audiences like interest, and
- 3:40if I do, they're pretty capped in terms
- 3:42of budget or, you know, lookalikes or
- 3:44even custom audiences. Like I don't set
- 3:46any real [ __ ] targeting when it comes
- 3:48to my retargeting. I don't put any
- 3:50custom audiences in there. I literally
- 3:52just still run completely broad. And
- 3:54most high-skill advertisers that I speak
- 3:56to, they're doing something relatively
- 3:57similar. Maybe one exclusion of
- 3:58purchasers, but like other than that,
- 4:00very, very broad. So, if that was kind
- 4:02of the old way of doing targeting on
- 4:04Facebook, the new way is to do a lot of
- 4:06broad targeting. It's to do a lot of
- 4:08Advantage Plus campaigns, and it's
- 4:10usually within reason, within reason.
- 4:13Giving Facebook control. Like the reason
- 4:15that I say it's within reason is because
- 4:17if you give Facebook all the control,
- 4:19the algorithm is good, don't get me
- 4:20wrong, but holy [ __ ] the amount of
- 4:22suggestions that Facebook gives you that
- 4:24are horrible pieces of advice that are
- 4:27just going to drain your [ __ ] bank
- 4:28account is obscene. And it's always been
- 4:30this way, too. They're still a company
- 4:32at the end of the day, and you are a
- 4:34customer. You are paying Facebook, so
- 4:36they still want to get your money. I'll
- 4:37save that for later in the video. Now,
- 4:39the second step is going to be light
- 4:41ranking. This step barely deserves a
- 4:43description. It's basically taking the
- 4:44now millions of ads instead of tens of
- 4:47millions, and reducing it down to
- 4:49thousands. There's really not a a whole
- 4:51lot more to say about the light ranking
- 4:52process. Now, the heavy ranking is the
- 4:55next step, which, you guessed it, if
- 4:56it's going from thousands of ads, you're
- 4:58now trying to get to a couple hundred.
- 5:00Now, at this point, this is like your
- 5:02real, legitimate competitors. Like this
- 5:04is the stage where competitors are
- 5:06actually something that you should take
- 5:07into consideration, because you don't
- 5:09have tens of millions of competitors.
- 5:11You just don't. You probably only have a
- 5:13handful, at least in the eyes of
- 5:14Facebook, you only have a handful.
- 5:15There's only 10 million advertisers
- 5:18total on Facebook, which may seem like a
- 5:19massive number, but also think about we
- 5:21are in e-commerce specifically, at least
- 5:23I'm in e-commerce specifically, which
- 5:25immediately narrows it pretty
- 5:26substantially. Now, the really important
- 5:28piece about the heavy ranking step is
- 5:30that this is where that equation
- 5:32actually comes into play. So, I want to
- 5:33take a second to talk about that,
- 5:35because I remember Facebook released
- 5:37this. They have since withdrawn it, but
- 5:38they released this documentation to
- 5:41explain how they actually assign a
- 5:43specific value for every single ad when
- 5:46they are fighting for an impression. And
- 5:48the one that has a higher value,
- 5:49obviously, is going to win the
- 5:50impression and the one with the lower
- 5:51value is going to lose the impression
- 5:53and get served a lower quality
- 5:54impression. All right, so this is the
- 5:55equation I was talking about. This is
- 5:57actually directly from Facebook.
- 5:58Somebody swiped it and it is still on
- 6:01their website, but it's not on Facebook.
- 6:03But this is how it's actually working
- 6:04underneath the hood, all right? So the
- 6:05total value, this is what you want to
- 6:07aim on maximizing, is equal to this
- 6:10piece first of maximizing advertiser
- 6:12value plus maximizing consumer value and
- 6:15consumer experience. So the piece to
- 6:17maximize your advertise value, number
- 6:19one is going to be your bid, which we'll
- 6:21get to in a second, times your estimated
- 6:23action rate. Since 99% of us and 99% of
- 6:26people watching this video are running
- 6:28conversion campaigns, that essentially
- 6:29means what is the estimated action rate
- 6:32to get a conversion. And if you look
- 6:33down here, you can see they actually
- 6:35break it down specifically for a
- 6:37conversion optimized ad, which is the
- 6:40estimated click-through rate times the
- 6:42estimated click-to-conversion rate. So
- 6:44the way to get gamify this, of course,
- 6:46is you want to have really high CTR.
- 6:48Historically, Facebook just loves ads
- 6:50that have really high CTR, and the
- 6:51reason why is because that is the the
- 6:53most pure indication of how relevant
- 6:57that one particular ad is to the user.
- 6:59So Facebook is going to reward you
- 7:01typically over time and as you spend
- 7:03more with lower cost to advertise, lower
- 7:05CPMs, and ideally higher quality
- 7:08traffic, too. So this is kind of like
- 7:09the first piece of that. The second
- 7:10piece is going to be you want to have a
- 7:12high, they call it like
- 7:14click-to-conversion. It's basically just
- 7:16your conversion rate, which is out of
- 7:17all the clicks that you had, how many
- 7:18actually purchased. And again, if you're
- 7:20running a e-commerce business, this is
- 7:23going to be like a legitimate purchase
- 7:24because that's typically what you're
- 7:25optimizing for. But if you're in, you
- 7:27know, the info industry, for example,
- 7:29you're optimizing for calls, what is the
- 7:31ratio between clicks to calls that
- 7:33you're getting or clicks to applications
- 7:35or insert your conversion here, it
- 7:36doesn't really matter. Facebook views a
- 7:38lot of this largely the same, at least
- 7:40in the context of this equation. So the
- 7:42way I like to think about this is the
- 7:43estimated click-through rate, I think
- 7:45it's actually more than the
- 7:46click-through rate. I think it's a
- 7:47culmination of all your soft metrics.
- 7:50So, that is your CTR, but that's also
- 7:51your CPC, your CPMs, your hook rate,
- 7:53your hold rate, cost per 3-second video
- 7:55view, like all these metrics that are
- 7:57associated with getting somebody engaged
- 7:59and getting them to click. And then the
- 8:01second half of this is how good are you
- 8:04at monetizing that click, taking that
- 8:06click through your funnel, and turning
- 8:08somebody who's a prospect into a buyer.
- 8:10Pretty straightforward. And this last
- 8:11piece is basically Facebook trying to
- 8:13save their own ass from advertisers that
- 8:15are incredibly aggressive and cause a
- 8:17terrible user experience for the users.
- 8:19Because if this piece just did not exist
- 8:21and we didn't care about the user
- 8:22experience whatsoever, advertisers would
- 8:24just flood the platform and completely
- 8:26just destroy Facebook as a platform
- 8:28because you just have [ __ ] loads of
- 8:30scammers, not like there isn't scammers
- 8:31on Facebook anyways, but there would be
- 8:33way more. Like it would be like 50/50
- 8:35instead of 80/20, which is roughly what
- 8:37it is right now. So, this is Facebook
- 8:38saying, "Hey, I want you to have the
- 8:41most relevant ads to the user, which is
- 8:43CTR, all the soft metrics, and I want
- 8:46you to actually get conversions for all
- 8:48the clicks that you're getting, which is
- 8:50the conversion rate, and I don't want
- 8:51you to piss off all of our [ __ ] users
- 8:53in the process." And that's the last
- 8:54piece. All right, so we took it from
- 8:56thousands of ads and now we're down to a
- 8:58few hundred. In fact, sometimes it could
- 9:00be even less than a few hundred. But now
- 9:02we have the final step in the process,
- 9:03which is going to be the auction. And
- 9:06the auction is exactly what it sounds
- 9:08like. It's all the advertisers that are
- 9:11left competing for that one impression
- 9:12and basically who can have the highest
- 9:15bid, of course with all the context of
- 9:17that equation that I said previously,
- 9:18that's going to be the one that wins the
- 9:19impression. So, majority of people
- 9:20watching this video right now are
- 9:21probably running what's called, you
- 9:23know, lowest cost bidding or also known
- 9:25as like auto bidding, which Facebook is
- 9:27just doing all the bidding for you,
- 9:29trying to get you conversions for the
- 9:30lowest cost possible. This is, like I
- 9:32said, auto bidding. You can also do
- 9:35manual bidding, which can come in a few
- 9:37different ways. Manual bidding, you can
- 9:39do something called cost caps, which is
- 9:40where you set a cap on the maximum
- 9:42amount that you're willing to pay to
- 9:44acquire a customer. You can also do bid
- 9:46caps, which is similar, except it's the
- 9:48maximum amount that you want to bid to
- 9:50acquire a customer. And there's some
- 9:51other stuff that Facebook is always
- 9:53releasing as well to help you optimize,
- 9:55you know, maximum value, target ROAS,
- 9:57stuff like that. But I'll tell you this,
- 9:58there's a lot of people that are really
- 10:00obsessing about cost caps or bid caps or
- 10:03whatever the hot, you know, manual
- 10:05bidding method is at the time. I can
- 10:07tell you for a fact, I have seen ad
- 10:09accounts, I have ran ad accounts that
- 10:10are spending multiple five figures per
- 10:12day. I have seen one spending six
- 10:14figures per day, all on lowest cost, and
- 10:16they're good ad accounts. They are
- 10:17profitable. Other people literally only
- 10:20run bid caps. You can see both sides of
- 10:21the spectrum, but the point is you
- 10:24should choose what is actually going to
- 10:26solve the constraint in your business
- 10:27for you. Because I talk to people all
- 10:29the time, they're like, "All right, in
- 10:30order to get from like 1K a day to 10K
- 10:32per day, I just got like media buy my
- 10:33way there." And like there's a little
- 10:35bit you can do, don't get me wrong. I'm
- 10:36not the guy that's saying like media
- 10:37buying is dead. I'm defending media
- 10:39buying. At the same time, you have to
- 10:41think like an entrepreneur, not like a
- 10:43media buyer. And just to show this
- 10:45entire process visually, all right, this
- 10:46is how Facebook actually picks ads in
- 10:49under 200 milliseconds. So this is the
- 10:51first step, tens of millions of ads
- 10:53competing for one impression. After
- 10:54that, we go through the light ranking,
- 10:57right? Now you can see there's
- 10:58substantially less, say like roughly
- 10:595,000. Next step, there's just a few
- 11:01hundred. Now we're going to go into
- 11:03heavy ranking, which is boom, now we're
- 11:05on the final step, which is actually
- 11:08competing who's going to have the
- 11:09highest bid. There's very few
- 11:10advertisers left at this step, until
- 11:12finally your ad is actually served. You
- 11:14have the highest bid, you win the
- 11:15impression. So again, retrieval, light
- 11:17ranking, heavy ranking, and the auction
- 11:20as the final step there. Okay, so now
- 11:22you know how this filtering process
- 11:23works, how does that actually affect
- 11:25your ability to create winning ads
- 11:28consistently and more importantly
- 11:30predictably churn out winners into your
- 11:31ad account. So there's a few other
- 11:33things that aren't part of that
- 11:34four-step ranking process that are still
- 11:36really important to understand so that
- 11:37you can have the most profitable ads as
- 11:39possible. All right, first I want to
- 11:40talk for a second about the learning
- 11:42phase, okay? So, the learning phase,
- 11:44according to Facebook themselves, is
- 11:46basically a phase that your ads go
- 11:48through, your ad sets go through, your
- 11:50campaigns go through, but especially at
- 11:51the ad level to acquire conversions so
- 11:54that it can learn about your customer
- 11:56and then you kind of exit the learning
- 11:58phase and go into like mature phase
- 12:01where you're getting more predictable
- 12:02consistent results. Here's my beef with
- 12:04this whole [ __ ] term. Like that's the
- 12:05theory. Let me tell you the [ __ ]
- 12:06reality. Your ads are always learning.
- 12:08They never stop learning. There's not a
- 12:10learning phase and then they get out of
- 12:11learning phase and they're just going to
- 12:12be good forever. Everything dies at some
- 12:14point. It's just the circle of ads. So,
- 12:17if you are obsessing over the learning
- 12:18phase, just stop. Of course, the ads
- 12:21initially are going to be a little bit
- 12:23more volatile, a little bit more bumpy,
- 12:25and sometimes you see improvements over
- 12:26time with more consistency, but
- 12:28sometimes you don't. Sometimes the
- 12:29solution is literally just to make
- 12:31better ads. So, spending too much time
- 12:34on the learning phase is not super
- 12:36smart. The main thing I want to say here
- 12:37is like if you're not spending a lot of
- 12:39money on ads, maybe you're spending, you
- 12:40know, 50 bucks a day, a few hundred
- 12:42bucks per day, even up to like a
- 12:43thousand dollars per day, I think that's
- 12:44kind of like the barrier. If you see
- 12:46your results being like up and down,
- 12:48like it literally looks like a freaking
- 12:49sine wave, that is normal, okay? That's
- 12:53100% normal. That's how the game works.
- 12:55[ __ ] I experience inconsistencies. I
- 12:57spend way beyond 1K per day. And most
- 13:00advertisers do. Facebook is an emotional
- 13:02ass platform, man. It's a bunch of
- 13:04emotional human beings like you and me.
- 13:06Do you really expect it to be the most
- 13:08consistent thing on the world? If you
- 13:09want super duper consistent results,
- 13:11like go advertise on Google
- 13:13>> [laughter]
- 13:13>> and uh you know, enjoy your time, all
- 13:15right? Google's cool. It's got its own
- 13:16issues, but with Facebook
- 13:18inconsistencies is part of the game, but
- 13:19especially at lower levels of spend,
- 13:21you'll see people just bitching about,
- 13:23"Oh, I was at 3X ROAS and now I'm not
- 13:25profitable." I'm was "Well, how much do
- 13:26you spend?" He's like, "A hundred
- 13:27bucks." I'm like, "Come on. What what
- 13:28are we doing here? Like, what do you
- 13:29What do you expect?" So, the solution
- 13:31there is to, when in doubt, zoom out.
- 13:33Look at larger time frames with larger
- 13:35amounts of data, and you'll see what's
- 13:37really happening. Instead of being like,
- 13:38"Oh, today was good really good. Next
- 13:40day was really bad." I don't care. Look
- 13:41at 7 days. Look at the most amount of ad
- 13:43spend that you can, and that's when
- 13:44you'll make the best decisions, and not
- 13:46these emotional decisions where you're
- 13:47just going with the [ __ ] flow of
- 13:48Facebook taking you for a ride. Nobody
- 13:50wants that. All right, next I want to
- 13:51talk about signal quality and your EMQ
- 13:54and Conversions API. So, Facebook
- 13:57performance is often times dependent on
- 13:59the data that you're sending back to the
- 14:01ad account and back to the Facebook
- 14:02servers so that it can learn about your
- 14:04customers and reduce your cost to
- 14:06advertise long-term, hopefully. And with
- 14:08that, that means that you have to be
- 14:10sure that you're sending the best
- 14:12quality data you possibly can to
- 14:14Facebook because the better quality data
- 14:16that you send them, often times, they're
- 14:18going to be able to learn more about
- 14:19your customers and send you better
- 14:21customers in the future, make your ads
- 14:23more efficient long-term. So, you can go
- 14:25into your Events Manager and go to the
- 14:27purchase event specifically, and you'll
- 14:28see something called the EMQ, which is
- 14:30your event match quality, and it'll be
- 14:32on a scale of 1 to 10. I'm not saying
- 14:34it's a direct correlation like 10 out of
- 14:3610 is super profitable ads, like five
- 14:38out of 10 you're going to be dog [ __ ] I
- 14:39actually think this whole concept is
- 14:41overrated, but I think generally
- 14:43speaking, it's a good thing to try to
- 14:45send good data to Facebook. And you can
- 14:47do that through Conversions API, which
- 14:49is simply sending your data back
- 14:51server-side and not only on the browser.
- 14:53For those that have been advertising for
- 14:55long enough, you know this became a big
- 14:56deal around iOS 14, which was launched
- 14:59in 2020, but it actually went into
- 15:01effect, I think, early 2021, and
- 15:03everybody's ads just kind of went to
- 15:04[ __ ] because I don't look at any
- 15:06conversions after the click. Like, I
- 15:09don't look at my CPA on Facebook at all.
- 15:11I always use third-party attribution
- 15:13tools, you know, whether that's Triple
- 15:14Whale, whether that's Hyros. There's so
- 15:16many of these out there. Like, you can
- 15:17build one custom now. [ __ ] you could
- 15:18vibe code one probably in a few hours
- 15:20and have your own solution that you
- 15:21don't have to pay for at all. The issue
- 15:23is, because of what the update that iOS
- 15:25launched, all the users can now opt out
- 15:27of tracking from Facebook. So,
- 15:28everything becomes really inaccurate.
- 15:30Now, if you're able to use like
- 15:31conversions API, any server-side
- 15:33tracking, you can improve your EMQ and
- 15:36get better data into the Facebook
- 15:37servers to help you optimize with your
- 15:39ad account your ads a lot better than
- 15:40you are right now. So, to summarize this
- 15:42point, try to send Facebook good data.
- 15:45And also, take all the conversion data
- 15:46with a grain of salt. Okay, let's go.
- 15:48Now, the third thing here is going to be
- 15:49the whole concept of creative diversity.
- 15:51So, because of Andromeda, there was this
- 15:53really weird narrative where people are
- 15:55basically saying, "Oh, there's kind of
- 15:56like two types of ads that you can
- 15:57test." You know, you can test something
- 15:58completely new, we'll just call that
- 15:59like a new concept and that new concept,
- 16:01or you can test, you know, a variation.
- 16:03You can only do one of the two, which
- 16:04it's really not that simple, but let's
- 16:06just say for these purposes, this is
- 16:07what it is. And people like, "All right,
- 16:09all you need to do to survive Andromeda
- 16:11is just like pump out more new concepts
- 16:13and do less variations." No, variations
- 16:15are still highly highly effective. What
- 16:18Andromeda did is let's say like this is
- 16:20within an ad set and we're looking at
- 16:22the ad level, and each one of these is a
- 16:23new ad, right? You have ad one, two,
- 16:25three, and four. So, every time I launch
- 16:28creatives, I'm actually launching
- 16:29variations. So, this entire ad set, per
- 16:32se, will be one net new concept, but ad
- 16:35number two, ad number three, and ad
- 16:37number four will all be variations of
- 16:40that original net new concept. So, it's
- 16:42not necessarily variations of the
- 16:43winner. Like it's difficult to get a
- 16:44variation of like your top ad in an ad
- 16:47account to outperform the top ad. It'll
- 16:50do decent. It's typically not going to
- 16:51outperform, at least in my experience.
- 16:53But, variations are still highly
- 16:54effective because you're basically
- 16:56getting more at-bats at the concept
- 16:58level. Technically, you're testing a new
- 16:59concept, but you can test one concept
- 17:02with three different hooks, and it turns
- 17:04out that this variation actually ends up
- 17:06being the winner, and this original like
- 17:08net new concept is actually the loser.
- 17:10But, if you said variations are stupid
- 17:12and they don't make any sense, then you
- 17:13never would have figured that out, and
- 17:14you would have just concluded that this
- 17:16net new concept was a loser. When in
- 17:18reality, you're a loser
- 17:20>> [laughter]
- 17:20>> for believing that.
- 17:22I swear I could rant on all this stuff
- 17:23for so much longer. I'm trying to stay
- 17:25focused here. Let me distill all this
- 17:26technical crap into something that you
- 17:29can actually take away. Because
- 17:31basically what we just did is we went
- 17:33through all the super autistic
- 17:36scientific mathematical explanations of
- 17:39how the Facebook ads algorithm actually
- 17:41works, but let's take our [ __ ] hat off
- 17:43for a second and think like a Chad,
- 17:45okay? Three things you should take away.
- 17:48All right, number one, your creative is
- 17:50the targeting. Stop trying to [ __ ]
- 17:51around so much with the ad sets
- 17:53targeting, custom audiences, lookalikes.
- 17:55That can be a little experimentation
- 17:57sandbox, but for the most part, run
- 17:59broad. The creative is the targeting.
- 18:00Number two, make good creatives that
- 18:02thought people from their doom scroll.
- 18:03Of course, easier said than done, and
- 18:04that's not even what this video is
- 18:06about, but if you just have damn good
- 18:08creatives, like that's literally half of
- 18:09the [ __ ] formula. It's just having
- 18:11that high CTR, high soft metrics, of
- 18:14course, excluding the conversions. Like
- 18:15that's half the [ __ ] battle right
- 18:16there. And then third is going to be
- 18:18don't [ __ ] up the user experience. Now,
- 18:20I have a portion of this video that I
- 18:22intentionally left for the end of this
- 18:23video for people that are genuinely
- 18:25serious about figuring out how Facebook
- 18:27works. And all this stuff that I've said
- 18:28so far is what we'll call, you know, by
- 18:30the books. A lot of it is in, you know,
- 18:32Facebook's own documentation or
- 18:34documentation that they had years ago
- 18:35and they have since removed, but let me
- 18:37tell you how the game really works.
- 18:39Facebook is a for-profit [snorts]
- 18:41company based in America. Facebook is a
- 18:44massive, massive company. We can assume
- 18:46they probably don't do everything by the
- 18:47books. So, what I'm really leading to
- 18:49here is Facebook doesn't play by the
- 18:51rules. I could go down the list of what
- 18:54this actually means, but at the end of
- 18:56the day, as I said, Facebook is a
- 18:57for-profit company. And like most
- 18:59companies, they are trying to get the
- 19:01most amount of money from the largest
- 19:03advertisers, and then all the smaller
- 19:05ones that cause like 99% of their
- 19:07headaches, they're not going to treat
- 19:08them super duper well. So, a lot of you
- 19:10have probably launched ad accounts and
- 19:12got them disabled, have ads rejected,
- 19:14have ad accounts banned, have business
- 19:16managers banned. Maybe you've had
- 19:17profiles banned, but you have to
- 19:18understand that Facebook is a company,
- 19:20and they're a company that is public.
- 19:23And what happens when you run a public
- 19:24company is you have to answer to your
- 19:27shareholders, which means depending on
- 19:30how the earnings reports come out
- 19:32regarding Facebook, Facebook is either
- 19:34going to constrict their guidelines,
- 19:37their restrictions, and this is where
- 19:38you see ban waves come through, which is
- 19:40where everybody's just getting their ad
- 19:42account banned, everybody's dealing with
- 19:43business manager bans, page bans, and
- 19:45then a month later it's like totally
- 19:47fine. That's all due mostly to earnings
- 19:51reports that are coming out directly
- 19:52from Facebook. So, depending on how
- 19:54those look, they will either be way more
- 19:57laid back, way more chill, or super
- 19:59duper strict. That's why saying, "Oh,
- 20:01you can't run like this type of format
- 20:03of ad on Facebook." One person runs it,
- 20:05gets approved. Another person runs an
- 20:06identical creative and gets it rejected.
- 20:08Why is that? Well, Facebook don't play
- 20:09about their rules, all right? So, what
- 20:11do you do about this? I mean, I'm not
- 20:12going to get too much into specifics
- 20:13because I don't know if I can. I think
- 20:15the main thing anyone can take away from
- 20:16this is just question everything. Like,
- 20:19when I was talking about the CAPI and
- 20:21the signal quality and the EMQ score,
- 20:23technically speaking, like it makes
- 20:24sense logically, theoretically, if
- 20:26you're able to get higher quality data
- 20:28back to Facebook, they should be able to
- 20:29optimize better. However, I haven't seen
- 20:32a direct correlation between that. I
- 20:34have had really, really good server-side
- 20:36setups to where my EMQ was like 9.8,
- 20:399.9. The little thing on my freaking ad
- 20:41account was like, matter of fact, I'll
- 20:43show you. I'm literally at a zero
- 20:45>> [laughter]
- 20:46>> at a zero opportunity score, and this ad
- 20:48account is incredibly profitable. So,
- 20:50all the [ __ ] from Facebook, they're
- 20:52still wanting to get money from you. So,
- 20:54just because they say something or it's
- 20:55in their documentation or like their
- 20:57CEO, CMO, head of advertising is like,
- 20:59"This is what advertisers should do."
- 21:00[ __ ] it. Think for yourself, question
- 21:02everything. And I want to take a moment
- 21:04of silence for everyone that listened to
- 21:06all the Facebook suggestions at the ad
- 21:08level that said they would lower your
- 21:10cost per result by 11% and then their
- 21:12ads went to [ __ ] RIP. Don't listen to
- 21:14Facebook. Other than that, guys, I hope
- 21:16you enjoyed. Thank you so much for
- 21:17watching this video. See you on the next
- 21:18one. Peace.
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