Question about Bid Cap Strategy
I'm testing a large CBO campaign ($2000/day) with multiple ad sets, each containing a single ad. The product price is $28, the cost is $8, and the profit margin is $20.
I wanted to ask if the following approach makes sense:
If my ad sets don't start delivering, should I increase the bid cap by $1 every few hours until some ad sets start getting impressions? Once impressions begin, I stop increasing the bid cap and monitor performance.
Example:
50 ad sets launched at $24 bid cap → No impressions
After 2 hours → Increase to $26 bid cap
After another 2 hours → Increase to $28 bid cap
After another 2 hours → Increase to $30 bid cap → 5 ad sets start delivering
At this point, I stop increasing the bid cap and analyze these 5 ad sets. Then, I decide whether to keep, increase, or turn them off.
Once these 5 ad sets are optimized, I continue increasing the bid cap for the remaining ad sets until they start delivering.
My question is:
How long should I keep increasing the bid cap? Should I continue raising it indefinitely until all ad sets start getting impressions, or is there a logical limit considering my $20 margin?
Would this method be considered a valid and effective approach?
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1 comment
Slava Korinnoy
1
Question about Bid Cap Strategy
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