May 24, 2017
Forget flashy new ad units and messenger bots. A new set of insights buried in Facebook’s Ads Editor might just be the most important update yet of 2017 for power advertisers. The new tool, aptly named Delivery Insights, shows what happens with your ads after you send them to auction.
Launched a few weeks ago, we’ve found Delivery Insights to reveal answers that marketers have wondered about for years. As a Facebook ad agency, we pulled anonymous data from dozens of clients to understand benchmarks for the new set of measurements. We’re sharing these insights here in the spirit of greater industry knowledge.
We’ll focus on three most critical dimensions that Facebook’s Delivery Insights measures: Auction Overlap Rate, First Time Impression Ratio, and Audience Reached Ratio.
Benchmarks for the 3 Most Important Metrics in Delivery Insights
1. Auction Overlap Rate
2. First Time Impression Ratio
3. Audience Reached Ratio
Common Scenarios: What Type of Advertiser are You?
Although these are overall averages, we did find wide variance between different types of clients based on industry, age, and objectives. A few common profiles we noticed:
The New Advertiser
- Low Audience Overlap Rate: New audiences are being tested often.
- High First Time Impression Rate: Testing quickly through different personas.
- Low Audience Reached Ratio: Scale is still low enough to leave plenty of impressions on the table.
The High Price Point Advertiser
- Medium Audience Overlap Rate: Widespread appeal products can stay low, while more niche products will quickly run into high overlap.
- Low First Time Impression Rate: It likely takes a few touch points and sequential messaging to convert someone on a higher price purchase.
- Medium Audience Reached Ratio: Auctions may be more competitive, so there are still prospects left to reach if you pay the right price.
The Experienced Advertiser
- High Audience Overlap Rate: Winning audience segments see the bulk of ads, maybe too many.
- Low First Time Impression Rate: Best audiences have been discovered, but more need to be found to avoid burnout.
- High Audience Reached Ratio: Prospects have heard from you once, so they need to hear different, more specific messages to finally convert.
Changes to Consider Based on Delivery Insights
If you have high Auction Overlap…
If the number is relatively high, consider combining your ad sets so they don’t work against each other.You can look at your Audience Overlap by using Facebook’s tool.
First, go to your Audiences. Then, check up to five boxes of the audiences you want to compare. Finally, click Actions → Show Audience Overlap.A Venn diagram like the one to right will detail the overlapping audiences
Facebook also highly recommends using targeting exclusions when you can. Using well defined audiences can help prevent auction overlaps before they occur.
If you have Low First Time Impression Ratio…
Your First Time Impression Ratio can be boosted in a couple ways.. If your First Time Impression Ratio is falling, accompanied by declining performance of the ad set, it may sound an alarm to extend or discover new audiences.
Alternatively, if you had a Custom Audience that was seeing success recently, but is producing a low First Time Impression Ratio, you could run a Lookalike Audience of people with comparable traits to those who responded to your ads prior, but haven’t seen the ads yet.
Last, use your First Time Impression Ratio a signal to renew your creatives and audiences. Keeping these fresh will ensure your targets see new advertisements, and will be much more likely to convert.
If you have Low Audience Reached Ratio…
To increase your Audience Reached Ratio, you should consider ways to increase your relevance score by targeting your audience more specifically. You can do that by narrowing your age range, gender, geographic location, interests, and of course you should learn from your tests. It’s really important to target a highly qualified audience.
Low audience reaches are a sign that there’s significant room ahead to scale without yet having to worry about high saturation or rising costs. This is an admirable position to be in, but it likely won’t last for long in the quickly changing Facebook marketplace.
At the end of the day, Delivery Insights is indeed just a tool. It can’t be expected to transform your digital marketing agenda in a silo. However, it’s a very sharp tool. Top Facebook advertisers will utilize it multiple times a month and use it as a strong signal for the health of their campaigns.
Interested in optimizing your Facebook ad campaigns? Learn more about Bamboo’s Facebook advertising expertise and offerings >
We design and execute highly scalable advertising programs for trailblazing brands.More About Us