Recent Insights from Foxwell Digital Audits
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International Spending
If you've never been able to make international targeting work, then the BFCM period is probably not a great time to start. The biggest reasons international doesn't work is ship time and ship cost (if you are fulfilling from the US then people in other countries can probably get product faster and for less ship cost with a local brand). If you want to get serious about international, you might want to think about fulfillment centers outside of the US, though for now, we'd suggest focusing on US for now and revisit international.
Creative Testing
Instead of going 1 ad per ad set and then having multiple, overlapping ad sets, I'd combine your ads into 1-2 test ad sets (one ad set per audience). Test fewer ads but give them more time. We usually don't consider a test to be statistically reliable until it's gotten to 8,000+ impressions. But, when you test tons of ads that gets expensive quickly, so you can consolidate, test fewer ads and ad sets at once, but for longer.
Interest Targeting
Interests seem to work great for some and are hit or miss for others. In this account or others like it, we've usually tested a group of interests - either a stack or a CBO or ABO of individual interests - and aggressively kill anything not working. What does work, keep active as long as it stays working. If it flags before you think it needs to be turned off altogether, run new creatives to it. If a couple rounds of new ads don't work I'll kill it and move on.
A little tip for finding interests: go to Google Analytics/Interests/Affinity Categories and try the interests GA is showing as having lead to the most revenue. I've found some hidden gems that way. It may not always work, but it's worth testing.
Why ROAS is low
One way to drive CPMs down is with creative. The more positive signals FB gets from your target audience towards a specific creative, the lower the CPM will be on that creative. If you can lower that CPM, that will then lower the CPC, but most importantly drive sales at a lower CPA.
Why CTR is low/CPCs are high
Ideally you'd like your CTR to cold traffic to be over 1%, but there's frankly very little correlation between CTR and sales. We've often seen lower CTR ads produce the best results. That's anecdotal, of course, but FB has also repeatedly said CTR doesn't correlate to ROAS in their data. Here's a slide from a recent FB webinar.
When things aren't working, how to rebuild
Take your best performing current audience, set up a separate creative testing campaign, and test creatives here to see if you can drive sales more cost effectively.
UGC is working particularly well at the moment, but you never know what will resonate most with your audience. Try UGC (photo and videos), still images, videos, potentially a carousel or slideshow. Keep testing until you find ads that outperform your current ads, graduate those into your funnel, and then keep testing!
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