There are countless metrics to look at in Meta ad manager.

So what should you actually focus on?
And what does the data tell you?

Adspend

An extremely underrated data unit, but the most important metric. Adspend gives actual data on what is getting and using money from Meta, aka an indicator of what Meta is betting on and not! Rule:

• Do not cut ads before they are validated through Ad spend

• Target must always be set based on accounting numbers.

• Calculate from there Target CPA and/or AOV. The main rule is that an ad is never validated before it has received:

• 2x AOV in spend

• 3x CPA in spend

Key information:

• Until you have data you should NEVER, turn off or increase spend on ads!

CPA [Cost per Aquisition]

The second most important metric to look at. How much does a purchase actually cost you!

Here it is EXTREMELY important that you have the correct numbers to go on.

That means you must have calculated it correctly, as this is the one you use to validate ads on.

AOV [Average Order Value]

Almost as important as CPA.

Make sure to use per product, or average if you have it.

You should aim to get as high AOV as possible! The higher you have, the better the opportunity to scale profitably.

ROAS [Return on Adspend]

Far too many overrate this metric, and far too many base everything on it.

It means nothing, if you are losing money on the bottom line.

ROAS should only be there to indicate whether an ad is working or not.
[IMPORTANT] It is EXTREMELY important that both Target and Breakeven are calculated correctly!

CPM [Cost per Million]

Not a decision based metric, meaning it is not key for making decisions!

Gives however very nice info on whether an ad is working or not.

Goal = have as low CPM as possible!

Nøkkelinformasjon

All Metrics work together. That means you must have a total overview.