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5X ROAS+ with TikTok Ads (CAMPAIGN REVEALED)

5X ROAS+ with TikTok Ads (CAMPAIGN REVEALED)

Today, in this detailed guide, we'll unveil the exact strategies that took an e-commerce brand from conventional returns to achieving a 5X return on ad spend with TikTok ads. Whether you're a beginner generating $ 10,000 a month or an advanced marketer hitting $ 100,000 a month, the strategies in this guide are applicable and can be immediately implemented to boost your business. By the end, you’ll not only know how to deploy these strategies, but also understand how to generate a 4X to 8X ROAS using TikTok ads.

I’m Chase Chapel, and my team and I have worked with some of the largest creators and brands globally, generating over a billion dollars in sales through Facebook and TikTok ads over the past seven years. Let’s dive into how you can replicate this success and generate a 5X ROAS with TikTok.

Setting Up TikTok Ads Manager

Here we are in the TikTok Ads Manager, displaying various audiences and campaigns we've tested. We spent about $ 9,789 and achieved a 5.17X ROAS, translating to $ 50,000 in returns. These numbers might be slightly underestimated due to tracking nuances, meaning the actual ROAS could be higher. Key to our success is understanding the elements that make TikTok ads convert and knowing how to scale the account effectively.

Key Takeaways:

  1. Open Audience Approach:

    • Utilizing broad, non-specific targeting leverages TikTok's algorithm to find potential buyers.
    • A broad audience size (around 72 million to 88 million) ensures steady performance irrespective of week-to-week content changes.

  2. Targeting Specific Interests:

    • For certain campaigns, adding specific interests (e.g., PlayStation PS5 for gaming-related products) works effectively.
    • Enabling targeting expansion ensures the audience doesn't shrink unnecessarily, sustaining results.

Major Metrics to Track:

  1. Cost Per Click (CPC): Aim for under $ 1.
  2. CPM: Should be under $ 10 for effective broad targeting.
  3. Click-Through Rate (CTR): Maintain a rate between 1% and 2%.

Analyzing Conversion Metrics

We tested multiple audiences, noting:

  • Costs averaged around $ 0.38 per click.
  • CPMs remained consistently below $ 10.
  • We achieved approximately 84 purchases in our leading campaign, with ROAS figures peaking at 9X for specific retargeting audiences.

Retargeting Strategies:

  1. Click 180-day Targeting: Retarget anyone who clicked on an ad in the last 180 days.
  2. Full Video Viewers: Retarget users who watched the entire video but hadn’t yet converted.

Creative Strategy

High-Converting Example:

A successful TikTok ad example involved showcasing customized gaming controllers:

  • Initial Hook: Emulated organic TikTok content trends ("packing an order") to engage viewers.
  • Product Transition: Quickly showcased the product by the second frame.
  • Benefit Breakdown: Visually highlighted the distinctive features and benefits using side-by-side comparisons.
  • Variety Showcase: Displayed different customizable designs catering to varying tastes.
  • Strong Call-to-Action: Encouraged immediate engagement with a clear path to purchase.

Comparative Analysis of Creatives

A comparative analysis revealed that subtle differences like faster-paced frame transitions, extended video duration, and more detailed benefit breakdowns significantly impact performance. Consistently tweaking and refreshing the creative every 7-14 days kept the campaign results optimized.

Bottom Line: Continuous Creative Refresh

Creatives have a limited lifespan on TikTok; hence:

  • Minor iterative tweaks (color, call-to-action adjustments, frame exclusions) can breathe new life into existing campaigns.
  • Competing creatives internally helps determine the most effective ads.

Conclusion

These detailed steps can dramatically enhance your TikTok ads’ performance leading to higher ROAS. For more advanced guidance, consider professional mentorship program tailored to scaling brands from $ 10K to $ 100K and beyond, with one-on-one support focusing on data analysis and strategic improvements.

Keywords

  • TikTok Ads
  • ROAS Optimization
  • Broad Targeting
  • Creative Strategy
  • Conversion Metrics
  • Comparative Analysis
  • Retargeting

FAQ

  1. What is the ideal Cost Per Click (CPC) on TikTok ads?

    • Aim for a CPC under $ 1 for maximum efficiency.

  2. How do I maintain a low CPM on TikTok?

    • Utilize broad targeting and regularly refresh your creatives to stay under $ 10 CPM.

  3. How often should I refresh TikTok ad creatives?

    • About every 7-14 days, making minor tweaks to maximize campaign longevity.

  4. What audience strategy works best on TikTok ads?

    • Broad, open audiences combined with specific interest targeting and expansion for consistent performance.

  5. How can creative tweaks impact my ad performance?

    • Small changes in video duration, frame transitions, and benefit highlighting can significantly impact engagement and conversion rates.

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