Tik Tok Ads Value Optimization Strategy (NEW 2022)

Introduction

Hey everyone, Team IRF here! In this article, we'll dive deep into our Tik Tok Ads value optimization strategy. We focus on topics like Tik Tok ads, drop shipping, eCommerce, and making money online. If these interests align with yours, make sure to stick around, hit the like button, and subscribe to our channel. It genuinely helps us understand what content you enjoy and allows us to keep making it.

Additionally, don't forget to check out our extensive free training sessions and Spy Talk, the top Tik Tok ad spying tool, linked below. You can gain beta access at a discounted price as it releases and expands. Now, let's dive straight into the details of this exciting strategy.

Introduction to Value Optimization Strategy

I've been toying around with value optimization in the early stages of my Tik Tok ad account for a brand I'm scaling. This is pretty much a live audit of what I am working on today. Although I've previously discussed cost cap bidding and lowest cost bidding, this value optimization strategy provides a unique angle. Even the smallest nugget of information from this article can hugely impact your ad account.

Unlike the typical regurgitated content you see, this article is packed with practical, immediately applicable tactics for your campaigns.

My Current Strategy

Previously, I was heavily invested in cost cap bidding, but we're now shifting gears. We take our already winning ad groups and test them with value optimization. Here's how it matches up:

First Bid of Value (Minimum ROAS): Launched at 2.77 yesterday.
- Crushed with a 14 cents EPC.
- CPM: Under $ 2.
- CPA not tracked accurately but estimated to be good.

Overall, the ad groups perform well, keeping a 30-40% margin despite low-scale spending. Here’s a closer look at our test setup:

Setup: Value optimization ad group with a 2.77 bid, targeting broad US demographics (18-55+, male and female) with Automated Creative Optimization (ACO).
Ad Variations: 3-5 ad creatives with 3 ad copies, utilizing dynamic CTA.

Step-by-Step Process

Initial Testing: Start with a 2.77 ROAS bid and a 3.33 ROAS bid for comparison.
- On average, 2.77 ROAS performed better.
Incremental Testing: Duplicated the 2.77 group and tested in one-cent increments (2.78, 2.79, etc.).
- Planning to keep ad budgets low until payment processing settles.
Scaling Up: Once the winning bids are identified, duplicate them 10 times.
- Track performance closely using the baseline data for consistency.
Single Campaign Setup: All strategies and bidding types are run within the same campaign, believed to optimize algorithm performance and CPA.

Conclusion

We’ll keep you updated on the performance of this value optimization strategy. Make sure to like, subscribe, and comment if you have questions or want more content like this. Also, don’t miss out on the Spy Talk tool to stay ahead of ad trends.

Keywords

Tik Tok Ads
Value Optimization
ROAS
Cost Cap Bidding
Automated Creative Optimization (ACO)
Ad Budget Management
Ad Testing Strategy
Baseline Data
Campaign Optimization

FAQ

Q: What is value optimization in Tik Tok Ads? A: Value optimization focuses on maximizing the return on ad spend (ROAS) by setting minimum ROAS bids and adjusting them through incremental testing.

Q: How do you set up value optimization on Tik Tok? A: Start by selecting winning ad groups and testing them with initial ROAS bids. Incrementally adjust these bids by one cent increments to find the optimal setting.

Q: Why run different bidding strategies in one campaign? A: Running different bidding strategies in one campaign can help optimize algorithm performance and CPA across ad groups, leveraging the platform effectively.

Q: What should you do once you find a winning bid? A: Duplicate the winning bid ad group 10 times to scale up, using the baseline data for consistency and continuous performance tracking.

Q: How to keep track of ad performance during scaling? A: Monitor ad group data closely, comparing it against the baseline performance metrics and adjusting as necessary to maintain optimal spending and conversions.