Setting the right goal values for your ad:personam campaign is essential to the success of your advertising strategy. Your goal value directly influences the algorithmic optimisation of your campaign, ultimately impacting the performance of your ads. Here, we provide a comprehensive guide on how to select optimal goal values for each of the three optimization types: CPC, CPA, and Reach.
Crafting an Effective Goal Value for CPC (Cost Per Click) Optimisation
CPC is a key performance indicator that monitors the cost-efficiency of your ad campaign. To start, aim for a higher goal value, which allows the algorithm to explore a larger inventory sample and discover what works best for your campaign. Over time, as the algorithm learns more about your ad performance, you can gradually adjust the CPC goal value to a level that aligns with your business goals.
Moreover, be mindful of maintaining a realistic CTR (Click-Through Rate) for your campaign. A CTR between 0.1% – 0.2% is generally considered healthy for display programmatic advertising. Anything significantly higher may potentially lead to wasteful spending.
Formulating a Strategic Goal Value for CPA (Cost Per Action) Optimisation
CPA represents the cost for each successful action completed by users, like a purchase or form submission. Similar to the CPC strategy, start with a higher CPA goal value, which gives the algorithm more room to optimise. After sufficient data has been gathered, you can fine-tune your CPA goal value to a number that best suits your business requirements and profit margins.
When initiating your campaign, begin by optimising towards events with high interaction volumes. This approach allows the algorithm to learn more quickly. Subsequently, you can set up campaigns optimising towards bottom-funnel actions based on the learnings from top-funnel optimisation.
Determining the Ideal Goal Value for Reach Optimisation
For Reach optimisation, the primary objective is maximising the exposure of your campaign to your target audience. Your Goal Value is linked directly to the CPM or Max Average CPM, which significantly influences the potential reach of your campaign.
Start with a higher CPM, which increases your chances of reaching more of your targeted audience. Over time, after assessing the campaign's performance, you can recalibrate your CPM to better fit your budget constraints and outreach goals.
By setting strategic goal values, you can greatly enhance the performance of your ad:personam campaign. The key lies in understanding and implementing these strategic steps to guide your campaign's algorithmic optimisation. Be it driving traffic to your website, encouraging user actions or broadening your campaign reach, remember to constantly review and tweak your Goal Values in alignment with your campaign performance and business objectives.