(11) CPM: How to minimize this metric during

peak seasons

● External factors that affect your CPM

● Internal factors that affect your CPM
● How to minimize CPMs focusing on internal factors in BFCM
Factors that affect your CPM

General ones
1. Competition
Peak times and expensive countries.

2. Account history
Zuckerberg’s record of his relationship with you.

Things like consistent spending, payment history, ad account

bans in the past, not having periods of crazy customer
complaints, …

3. Payment history
This would be the most important part of account history.

It includes things like:

→ Always paying on time
→ Payment method not being declined
→ Not hitting your spending limit every week and resetting, or
even forgetting about it, then ‘account error’ and re-starting
4. Customer feedback score
https://www.facebook.com/business-support-home/

Feedback people give on Meta Surveys after buying in your

store.

If they tell Facebook that the experience was bad, Facebook will
NOT want to display your purchase ads to other people, because
it escalates the same problem to thousands of people.

Maximize post-purchase emails and have good customer

support.
5. Number of ads rejected
https://www.facebook.com/business-support-home/

→ Clean your rejected ads !!

Fix the error they say

Put a neutral thing
 Relaunch at $1/day
Pause the next day

Factors that affect your CPM

More specific ones

1. In-Ad: EAR
If you optimize for purchase, this is Meta’s estimation of how
likely somebody is to buy from this ad. The probability of a
purchase happening if the ad is shown.

The higher the better. Can’t see the number in the ads manager.

2. In-Ad: CTR
The higher the better. Sends the best positive signal to Meta.

3. In-AD: engagement rate

The higher the better.
Be proactive !!
Send the link to close people.
Reply to every single comment, especially on winner ads.

4. To avoid: bold claims, time ranges

“Get rid of wrinkles in less than 30 days”
“Make $10,000 easily and online”
Also, crazy before and afters

5. Auto Placements
Basic. Advantage+ placements will be better.
Some people have a high EAR on stories, others on feed.
6. Broad audiences
Broad. Max I do is generic interest.

7. Bidding
With a high bid it’s more likely to have lower CPMs as you enter
all the auctions. With a small bid, CPM will be higher as there are
many auctions you cannot enter. Also in automatic, it will still
prevent you from some auctions.

8. Multi-Advertiser
9. Variety of ad stock
Single image, video, carousel.
This makes everyone our target, no matter in what placement
they have the highest EAR.
If you for 1 placement, your force EAR. Then EAR lowers, CTR
lowers, and finally CPM is higher.