In this article, we will show you The Ultimate Facebook Ads Campaign Structure E-Commerce.
There isn’t an e-commerce business that wouldn’t like a higher return on investment from their advertising dollars.
Our team has spent millions of dollars on Facebook Ads, and this structure is the most profitable you can run in your ad account.
It’s been battle-tested across many industries and outperforms every campaign style we have tested, until the next algorithm change that is.
Quick Overview of A Facebook Campaign
For those of you that don’t spend every day inside Facebook Ads manager, testing campaign styles and fighting algorithm changes, there are a few quick points we want to go over.
We can break Facebook Ads into three segments: the Campaign, the Ad Set, and the Ad. It looks a little something like this:
As you can see, inside a campaign, we have multiple ad sets, and inside the ad sets, we have numerous ads.
The three different segments all contain unique information within them. Here is a quick breakdown.
Campaign
- The highest level of the ad. Where we set the ad objective and tell Facebook what we want the ad to achieve.
Ad Set
- Tells your ad how it would run. You’ll set your Audience, Budget, Bidding Schedule, and Bidding Method here.
Ad
- The creative used to catch the audience’s attention. Videos, Photos, and Reels include a URL to push the audience to a product or squeeze page.
Campaign Objectives Explained
The vast majority of ad accounts we audit contain many mistakes; I’m not sure we’ve ever audited an ad account and reported that everything is set up correctly. But of the errors we analyze, maybe the most egregious of them all comes to campaign objective selection.
If you want to donate your hard-earned money to our friends over at Facebook, simply set up a campaign with the objective of link clicks, landing page views, awareness, or brand recall.
However, if you are like our clients and don’t have Budweiser’s branding budget let’s put your money to work for you.
We are talking about conversion campaigns that are targeting website purchases. You want to build a massive list of customers most likely to buy your products.
EVERY LEVEL of your acquisition funnel needs to get you the best customers for the least amount of ad spend possible. To do this, ALWAYS set the conversion objective to “Website Purchases.”
Your Cost Per Click (CPC) will inevitably be more expensive than a link click or brand awareness campaign – but the sales will always be more costly with those cheaper clicks.
A Quick Note About MTN Stone
We are performance marketers through and through, which means we obsess over finding creative ways to generate massive profits for your business by buying underpriced attention and creating ads that sell products.
We care much less about the shade of blue you used in your logo design than the return on investment you receive from your marketing efforts.
Many agencies help companies improve their vanity metrics, but it’s not us. While these vanity metrics can be fun and pretty, they don’t push the revenue needle and are typically very expensive to buy.
The Campaigns You Should Run
If you’ve read our article “How you can Leverage Machine Learning to improve your ROAS by 47%,” you’ll know that account simplification is one of the keys to utilizing the Power 5 Method.
The way to succeed with Facebook Ads since the iOS 14 & 15 updates are to run no more than four campaigns simultaneously.
Top-Of-Funnel (TOFU)
Your top-of-the-funnel campaign is a prospecting campaign. You’ll use the broadest targeting for this campaign as you’re trying to introduce more customers to your brand (remember, we don’t want to donate your money, so still use the conversions objective, this isn’t a branding exercise, it’s a brand introduction).
The key is that we need this campaign to still run at a profit. The profitability of this campaign may be lower than the two lower-level campaigns, but we don’t want to lose money here, or we will put stress on the other campaigns.
Many ad agencies try and pitch that the only profit you need to worry about is Lifetime Value for TOFU conversions, but we don’t buy it. If your TOFU campaign is running at a profit, your ad account is scalable, and your back-end marketing solutions will be cash cows.
Middle-Of-Funnel (MOFU)
The MOFU campaign is about re-marketing to customers who have engaged with the brand.
We run these campaigns as social proof campaigns. Using nano-influencers to develop social content that we can clip into video testimonial advertisements works exceptionally well.
We want the brand-engaged audience to feel that your happy customers are ranting and raving about how awesome you are everywhere they go.
Bottom-Of-Funnel (BOFU)
Here we run Dynamic Product Ads (or DPAs) to your most eager-to-buy customers. Essentially it’s an abandoned cart campaign on steroids. As long as your account is set up correctly, you will target anyone who has added a product to their cart with an ad that features it.
When people refer to the fact Facebook is stalking them, this is the campaign that makes them feel that way – and it converts like crazy.
Experimental Campaign
Once you have your TOFU MOFU BOFU campaigns firing and converting like crazy, the last thing you want to do is introduce unproven new creative assets. The experimental campaign gives you a place to test creative assets at a low budget to see how your audiences respond.
**This is the only acceptable campaign to not run a conversions objective.
A Few Tips
Here are some best practices to make the ads in those campaigns more profitable.
- Recognize the level of funnel you are writing your advertisements for and speak to them directly. Someone who has never interacted with your company needs a different touch than a re-targeted audience.
- Use dynamic assets as often as you can. You won’t beat the performance of Facebook’s AI, so use it as much as possible.
- Write compelling advertisements that demonstrate why your offer is irresistible. That doesn’t mean only offering steep discounts. It means positioning your product to hold incredible value at the price point you are offering it.
Now, fix your Facebook Ads Structure.
You now have the tools to properly set up your Facebook Campaigns Structure inside your Facebook Ads Account. Following these steps will improve your ad costs and help you create scalable, evergreen campaigns.
Want our help maximizing and managing your Facebook ad account?
Don’t hesitate to reach out to our team. You can do so on our contact page or email us directly at: [email protected].
If you found value from this article and want to learn more about advertising your e-commerce business, scroll down to find a few more articles that will help you.
