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My NEW Scaling Strategy For TikTok Ads ($1,000/day)
My NEW Scaling Strategy For TikTok Ads ($ 1,000/day)
Introduction
In this updated dropshipping scaling guide, we'll explore how to scale your dropshipping store to generate $ 1,000+ per day using TikTok ads. We'll begin by discussing the product being sold, the store setup, and the ad creatives. If you're eager to dive straight into the ad setup, I have included a timestamp for you to skip ahead.
Product and Store Setup
Our product of choice is the "Protect Our Ocean" hoodie, marketed at $ 19.95, with an additional $ 17 for shipping at checkout. The store has a cohesive light blue theme to give it a branded look and feel. This strategy is effective for several reasons:
- Cause Marketing: A portion of the profits is donated to help keep our oceans clean, which is a strong selling point.
- Simple Design: The website features benefit icons, a high-quality GIF showcasing the product, and customer testimonials to help visualize the hoodie in real life.
Ad Creatives
We're running three distinct TikTok ads for this hoodie:
- Middle Ad: This ad has proven to be the most effective, with 2 purchases for every $ 11 spent. It has a cost per purchase below our break-even point of $ 21, making it profitable.
- Top Ad: Turned off due to a high cost per click.
- Third Ad: Also turned off after nearing our break-even point without generating any sales.
The ad creatives were sourced from Minia during product research, featuring a helpful download button to save videos for testing.
Campaign Setup
Step 1: Create the Campaign
- Navigate to the "Create Campaign" section and select "Conversion," followed by "Website Conversions."
- Name your campaign appropriately (e.g., "Protect Our Oceans Bids") and ensure "Campaign Budget Optimization" is turned off.
- Click "Continue."
Step 2: Set Up the Ad Group
- Name your first ad group based on your break-even point (e.g., "Bid $ 21").
- Select your pixel and set the event to "Complete Payment."
- Choose manual placements and target only TikTok, disabling comments, downloading, and sharing.
- For location, select the USA, choose both genders, and set the age to 18+.
- Set a daily budget of $ 200 but don't worry—it will only spend a fraction of this.
- Schedule the ad to run from 8 a.m. to midnight the following day.
- Use a Target CPA equal to your break-even point ($ 21 in our case).
Step 3: Add Creatives
- Choose "Smart Creative Ads" if scaling.
- Upload your proven ad creatives and finalize the text and URLs.
Step 4: Duplicate Ad Groups
- Duplicate your ad group nine times to create 10 in total, with bid ranges from $ 17 to $ 26.
- Update the bids and names accordingly.
Performance Review
After letting the ads run for a full day, our store generated $ 1,838.04 in revenue with 53 orders. Here’s what we did:
- Turned Off Poor Performers: Ad groups with high cost-per-click or high cost-per-complete-payment were turned off.
- Kept Profitable Bids: Five ad groups with cost-per-purchase below our break-even point remained active.
Profit Breakdown
With $ 1,838 in revenue, after accounting for ad spend, order fulfillment, and transaction fees, we made a net profit of $ 546.198, resulting in a 29% profit margin.
Conclusion
Running effective TikTok ads involves testing and optimizing ad creatives, correctly setting up campaigns, and closely monitoring performance. If you want similar results, consider joining my one-on-one mentorship program where I’ll guide you step by step.
Keywords
- TikTok Ads
- Dropshipping
- Scaling Strategy
- Break-even Point
- Ad Creatives
- Conversion Campaign
- Profit Margins
FAQ
Q1: What is the main product in this scaling strategy? A: The primary product is the "Protect Our Ocean" hoodie, which sells for $ 19.95 with an additional $ 17 for shipping.
Q2: Why is cause marketing used in this strategy? A: Cause marketing is utilized to appeal to customers’ altruistic values, with a portion of profits donated to environmental protection efforts.
Q3: How should I set my daily budget for TikTok ads? A: Set the daily budget to $ 200, but remember that TikTok will only spend a fraction of this amount based on your bids.
Q4: What criteria do you use to turn off unprofitable ads? A: Ads are turned off if they have a high cost per click or cost per complete payment that exceeds the break-even point.
Q5: How do I determine my break-even point? A: Subtract the total cost to ship one hoodie from the total checkout price, including product price and shipping fees. For this strategy, it was $ 21.