Scaling Facebook Ads the Right Way - Best Tips on How To Increase Spend While Maintaining High Margins

Let’s talk about scaling.

Scaling ad spend in Facebook ads can be very tricky at times and it is one of the most common issues that people face, yet it is the most important part to reaching your revenue goals.

There are two main types of scaling in Facebook ads.

Horizontal scaling and vertical scaling

In this article, I will go over what these terms mean, how to use them effectively and the most common mistakes I see people making when it comes to scaling.

Horizontal scaling

What is horizontal scaling?

Horizontal scaling refers to the duplication of ads.

For example, if you had one ad that was performing exceptionally well, instead of increasing the budget, you could duplicate it so that you have two of the same ads running instead of one.

The main benefit in using this method is that the original ad is not effected in any way.

Often times, when you make changes to an ad while it is performing well, the change itself can cause the performance to change as well. This can sometimes cause the performance of the ad to diminish, so there’s a risk in adjusting ads while they are performing well.

Vertical scaling 

Vertical scaling on the other hand is when you directly increase the budget of that ad that is performing well. This may seem like the ideal option, but as mentioned previously, changing any aspect of an ad (including the budget) can often times cause a change in the ads performance. Therefore, it's not always ideal to use vertical scaling.

Additional Tips

Now that you know the two main scaling methods, here are some additional tips to make sure your returns do not diminish as you scale.

First, when increasing the budget of an ad, only increase it by a small amount (20-30%). When you increase the budget too fast or by a large amount, the performance of the ad may decrease.

You also want to make sure you wait at least 2-3 days before adjusting the budget again.

Often times, people will become emotionally attached to ads when the ad performance drops for a day, but sometimes it takes time for the ad to adjust, so if you just wait a few days, they will usually return to normal.

CBO Scaling

A good strategy for scaling is compiling all of your best performing ad sets and placing them in a CBO campaign (Campaign Budget Optimization).

I will discuss CBO further in a future article.

Maintaining a healthy inventory cycle

When running an online business, especially if it's a start up, it's important to develop a good scaling cycle.

For instance, If you scale up too fast, you might just deplete your inventory too quickly and cause a delay in shipping.

But if you order too many products, without an effective scaling strategy, then you will have inventory sitting in the warehouse for too long which is also not good.

Therefore it is important to know your numbers so that there is a good balance between inventory and the amount you scale.

I hope you enjoyed reading this article and that you can take this knowledge and apply it to your own Facebook Ads. Thanks and have a great day :)