How to instantly improve Facebook ads profitability

Transcript

I've driven over a billion dollars in Facebook ads revenue for brands like Young Nails, Glam Squad, Studio Suits, Harvest Dental, and many more. And in this video, I'm going to be going through 42 ways that you could instantly improve your ad profit with proven tests that we have run here at the Moonlighters. Number one, founder ads. Create an ad, ... Read More

Key Insights

• Founder ads should be raw and authentic, shot with an iPhone to convey authenticity and unique value.
• A graduation system is essential to scale top performing ads into dedicated spending without diluting performance.
• Offer testing is critical; brands must test multiple offers rather than relying on a single value proposition.
• Tracking break even ROAS is mandatory to avoid losses and know when to scale or pause campaigns.
• Country testing can unlock large scale if you properly test different markets and shipping options.
• UGC ads with native feel perform well when creators are allowed to express naturally without heavy scripting.
• Analyzing day of the week helps allocate spend to higher performing days for each brand.
• Creative refreshes are necessary to keep ads effective, especially with increasing platform dynamics.
• More videos from this channel:
  • How to Scale Facebook Ads With Avatar Targeting
  • How to Build Winning AI Ads with Better Context
  • How to scale ecommerce with Alex Hormozi strategies
• More from this channel: Sam Piliero

Questions & Answers

Q: How can I start testing new offers to improve profitability?

Begin by creating multiple offers rather than relying on a single price or bundle. Track each offer’s performance across key metrics and adjust based on real data. The goal is to identify which offer resonates most with the audience and yields the highest incremental profit, while maintaining acceptable margins. Regularly cycle in new offers to adapt to market changes and consumer behavior.

Q: What is the purpose of a graduation system in ads?

A graduation system is used to progressively scale the best performing ads into larger budgets or more intensive campaigns. It ensures that only ads that prove profitability receive more spend, while underperformers are phased out or optimized. This approach helps maximize ROAS by concentrating budget on proven winning creatives and audiences.

Q: Why is break even ROAS tracking important for ad campaigns?

Break even ROAS tracking is critical because it defines the exact return required to cover costs and zero out profit. Knowing the break even point allows you to decide when to scale, pause, or optimize campaigns to avoid negative margins. It provides a clear performance benchmark across all campaigns.

Q: How can country testing impact ad performance?

Country testing helps identify markets where products perform better and where margins are stronger. By testing different countries with appropriate shipping and localization, brands can uncover scale opportunities, expand audience reach, and improve overall profitability. It requires careful segmentation and adaptation to regional preferences.

Q: What role do UGC ads play in profitability?

UGC ads create a native, authentic feel that resonates more with viewers than heavily scripted content. Allowing creators to express naturally can reduce production costs and increase engagement. This alignment with consumer expectations often leads to higher click-through and conversion rates, boosting profitability.

Q: How should day of week analysis influence ad spend?

Day of week analysis helps identify which days perform best for specific brands. By reallocating spend to higher performing days, you can improve overall ROAS and reduce waste. This is a data-driven way to optimize budget pacing and maximize revenue per day.

Q: What is the benefit of bold product callouts in ads?

Bold product callouts clarify the value proposition and help the algorithm place the ad with the right audience. Clear messaging increases comprehension and reduces hesitation, contributing to higher engagement and conversions. This simple tactic can amplify impact without changing the creative concept.

Q: Why are post-purchase upsells recommended?

Post-purchase upsells leverage existing buyer momentum to increase average order value without additional acquisition cost. They generate incremental profit by offering relevant add-ons or bundles after the main purchase, enhancing profitability from existing customers and improving overall lifecycle value.

Summary & Key Takeaways

• The video presents 42 tested strategies to increase ad profitability, including founder ads, graduation scaling, offer testing, and break even ROAS tracking, all aimed at improving profitability quickly.

• The speaker emphasizes testing across countries, creatives, placements, and days of the week, plus using UGC, bold callouts, and post purchase upsells to maximize returns.

• A practical framework is provided for building a modular system with clear prospecting, retargeting, and retention, supported by ongoing creative testing and workflow development.