Optimization Best Practices, Part Two: Data-Driven Strategies to Drive Performance
So, you've skillfully strategized, meticulously mapped, and deftly deployed your campaign and now you're eager to enhance its efficacy. Optimization is the operative word, and here is a guide to when to start pulling those optimization levers. Let's dive in:
Gather Sufficient Data
Data is crucial for making informed optimization decisions. However, it's important to have a large enough sample size to ensure the data is valuable. Avoid making major optimizations based on just a small amount of data. As a rule, wait until at least 25 percent of the campaign has been delivered or the campaign has been running for 2-4 weeks.
Combine Manual and Technology-Based Optimizations
To optimize effectively, it's beneficial to leverage both manual and technology-based approaches. Manual optimizations allow you to draw on historical data, consider additional metrics beyond the key performance indicator, accommodate campaign intricacies, and apply any critical thinking insights. On the other hand, technology-based optimizations utilize advanced algorithms to identify patterns, trends, and opportunities focused on the key performance indicator. They also automate repetitive tasks, saving time and resources.
Implement Minor Optimizations
Minor optimizations can be made on a tactical level to improve delivery and performance. Consider adjusting bids for win rate and efficiency, as well as reallocating budget to higher performing tactics. Evaluate the performance of your top spending sites and determine if they meet your KPIs. Increase bids for sites that perform well and consider turning off sites that underperform.
If a site receives many impressions but lacks engagement, it may indicate that your ad isn't reaching the right audience, or the page content lacks a strong call-to-action. In such cases, turning off those sites and reallocating the budget to more productive ones is a wise move.
Explore Major Optimizations
Major optimizations come into play when your campaign requires more dynamic changes. It's recommended that each tactic spends at least $1,000, preferably $5,000, before making any major optimizations.
Focus on the following when applying major optimizations:
Building Allow Lists & Block Lists: Identify domains with exceptional or subpar performance and strategically create an allow list of top performers or implement a block list to exclude underperforming domains.
Optimizing Creatives: Review creative performance and eliminate poor-performing sizes or versions. Each creative should have delivered at least 10,000 impressions before considering shutting it off. Additionally, try uploading different creative types or styles in the same size if a particular ad size is performing well.
Evaluating Tactics: Analyze data provider and tactic performance to redistribute your budget towards top-performing entities. Also, explore additional data segments offered by high-performing data providers.
Reviewing Exchanges: Identify any exchanges that negatively impact performance and remove them accordingly. It's important to note that this should only be done for campaigns running for a few months or with a large budget (at least 10,000 impressions per exchange). Don't hesitate to experiment and make changes. If removing an exchange doesn't yield the desired results, you can always add it back.
Best Practices for Campaign Optimization
Whether you're implementing minor or major optimizations, here are some best practices to keep in mind:
Avoid optimizing too quickly. Give your campaign enough time to gather sufficient data for a data-driven approach.
Find the right balance in optimization frequency. There's no fixed schedule for optimization. Checking in on the campaign on a weekly basis is a good starting point. Allow sufficient time, spend, and data between changes.
Keep track of all your optimizations. Maintaining a record, even in a simple Excel document, helps you understand the impact of each change. If your cost-per-click (CPC) suddenly increases, for example, you can refer to your optimization log and identify recent modifications, such as removing an exchange, which may be causing the change. You can always undo the change, revert back to the original settings, or try a different approach.
By following these optimization strategies and best practices, you'll be on your way to improving the performance of your campaign. Happy optimizing!