Best Structure For Performance Max Campaigns | 10 ROAS

Performance Max campaigns present a unique opportunity for e-commerce businesses, offering the potential for consistent 10 ROAS. However, achieving this level of success requires a specific campaign structure and strategic approach. In this blog post, we'll explore the best practices for structuring Performance Max campaigns, leveraging the 80/20 rule, identifying hero products, segmenting campaigns, and maximizing return on ad spend.

Structure for Performance Max Campaigns

The optimal structure for Performance Max campaigns involves leveraging the 80/20 rule, segmenting campaigns based on performance, and utilizing a value-based bidding strategy. By implementing these best practices, businesses can create high ROAS campaigns for top-performing products and effectively allocate budgets based on performance, ultimately maximizing their e-commerce success.

Why This Works

Our approach minimizes campaign clutter by consolidating data into two campaigns, allowing for more effective optimization. With fewer campaigns to manage, we can focus our attention on refining asset groups and enhancing campaign performance.

Leveraging the 80/20 Rule

The 80/20 rule, also known as the Pareto principle, suggests that 80% of results come from 20% of efforts. In the context of Performance Max campaigns, it's crucial to identify the 'hero' products that generate the majority of revenue. Businesses can drive better results and optimize their sales by focusing on these high-performing products.

Segmenting Campaigns for Better Targeting

One key strategy for structuring Performance Max campaigns is to segment campaigns by performance. This involves splitting products into higher ROAS and lower ROAS campaigns to enable more targeted advertising. By creating separate campaigns for top-performing and lower-performing products, businesses can prevent budget allocation issues and maximise the impact of their advertising efforts.

Optimizing Asset Groups for Maximum Performance

To make the most of Performance Max campaigns, it's essential to organize products into asset groups at both the product-specific and product-group levels. By utilizing catch-all asset grouping and segmenting campaigns efficiently per country, businesses can maximise their campaign performance and target audiences more effectively.

Value-Based Bidding Strategy

Using a value-based bidding strategy can significantly impact the performance of Performance Max campaigns. This involves setting different Target ROAS based on the performance of specific products or product groups. Businesses can maximise their return on ad spend by prioritizing higher-achieving products and allocating budgets based on performance in different countries.

Conclusion

Structuring Performance Max campaigns is a great chance for e-commerce businesses to sell more products and make more money. To set up these campaigns well, you need to follow these tips:

• Use the 80/20 rule to find your hero products.
• Divide your campaigns by performance and target ROAS.
• Make your asset groups better and bid based on value.

By following these tips, you can make high-ROAS campaigns for your best products and grow your online business.