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(Part 2) My Full TikTok Ad Strategy: Phase 1

Introduction

Welcome back, everyone! In this article, we will dive into part two of my TikTok ad strategy, focusing specifically on Phase 1. If you caught my last video, you would know that we started with a warm-up ad to get our ad manager and product ready for action. Now, let's discuss the metrics and how we will proceed to the next phase.

Analyzing the Warm-Up Phase

After running the warm-up ad for about one and a half days with a total expenditure of $ 32, we gathered some insights:

  • CPC (Cost Per Click): $ 0.70, which is slightly above my usual preference of $ 0.60 but still acceptable.
  • CTR (Click-Through Rate): By my standards, anything above 1.5% is good, and we are looking to test various ads further.
  • CPM (Cost Per Mille): This value turned out to be abnormally high. I suspect there's an issue with the pixel not accurately tracking conversions on my Shopify store. Although we recorded six 'add to carts', no purchases came through, which aligns with the warm-up strategy's expectations.

Phase 1 Campaign Setup

Now that we have validated our product's viability, it’s time to advance to Phase 1 of the campaign. Here’s a breakdown of how I set it up:

  1. Campaign Structure: I created one Phase 1 campaign, containing three ad groups for 'add to cart'. Although I had initially set up one ad group with three ads during the warm-up, I will use the same three ads for this phase but add significant adjustments.

  2. Ad Group Configuration: Each ad group will feature only one ad but will include three separate lines of text. This is to test various captions and see which ones resonate best with the audience.

  3. Budget Allocation: Each ad group is allocated a budget of $ 20, allowing us to distribute the budget evenly across the three ads. The ad manager will prioritize the ads that yield the most clicks and impressions.

Steps for Creating the Campaign

Let’s go through the process of creating a Phase 1 campaign:

  • Create Campaign: I set the goal to 'Complete Payment' rather than just 'Add to Cart' to ensure we're optimizing for conversions.
  • Targeting: Location is set to the United States, with age targeting set to 18 and up. Gender targeting depends on your product but I generally opt for all genders.
  • Dayparting: I like to schedule ads to run at specific times, typically from 6:30 PM to 11 PM.

For the ad creatives, I upload one ad but will include three different texts to test the different approaches: an offer-focused text, a casual review text, and a blend that invokes curiosity.

Key Performance Metrics

Once the ads are live, I'll be monitoring the following key metrics closely:

  • CPC: Aim for below $ 0.60.
  • CPM: Target below $ 9.
  • CTR: Look for a rate above 1.5%.

If we notice low CTR but acceptable CPC and CPM, it might indicate that our creatives aren't engaging enough, even if they are being shown widely.

Conclusion and Next Steps

After monitoring the campaign for 1-2 days, we will analyze the performance of the ad groups. If one ad group shows promising metrics in CTR and conversions, we can focus our efforts there.

Stay tuned for the next video, where we'll delve into the next phase of the strategy and refine our targeting based on performance metrics!

Keywords

  • TikTok Ad Strategy
  • Phase 1
  • Warm-Up Ad
  • CPC
  • CTR
  • CPM
  • Ad Group
  • Conversion

FAQ

Q: What is a warm-up ad, and why is it important?
A: A warm-up ad is used to prepare your ad manager and product for a new campaign, gathering initial performance metrics before launching full-scale ads.

Q: How do I analyze CPC, CTR, and CPM?
A: CPC measures how much you pay for each click, CTR shows the percentage of impressions that lead to clicks, and CPM indicates the cost per thousand impressions. These metrics help you understand the overall effectiveness of your ad campaigns.

Q: What should I do if my CPC is high?
A: If your CPC is above your target, you may need to evaluate your audience targeting and ad creatives. High CPC indicates that people are not engaging with your ads as expected.

Q: How long should I run my Phase 1 ads?
A: It's recommended to run Phase 1 ads for at least 1-2 days to gather enough data for meaningful analysis.

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