Everyone has been freaking out about Meta performance lately.
Everyone’s been freaking out about Meta performance lately…
Andromeda this, Andromeda that.
There’s something clearly going on at Meta right now as September & October (so far) had a noticeable falloff after a strong July & August.
👇 Here’s what our data is showing YoY…
🔽 July & August:
Spend +61%
ROAS -2%
CPM +53%
CTR +38%
CVR +9%
In summary, we scaled spend aggressively YoY at virtually the same ROAS as last year (same timeframe) despite a massive spike in CPMs.
🔽 September – October 8:
Spend +71%
ROAS -24% 🚨
CPM +36%
CTR +11%
CVR -1%
In summary, we continued to spend aggressively YoY, HOWEVER- at a much lower ROAS than last year (same timeframe). What’s interesting is that CPM growth (YoY) decelerated from July-August… but CTR growth (YoY) fell off a cliff…
This is clear evidence Meta is toying with new models in the auction. Whatever they’re tinkering with is clearly impacting their ability to serve the right ad to the right person at the right time… something they’ve been absolutely dominating at for the past year.
Could it also be that consumers are more fragile right now and holding out for Nov-Dec sales?
HIGHLY POSSIBLE.
I remember this time last year I already started seeing BFCM ads. This year? Nope.
Bc of last year’s sales dynamics, Q4 also pulled forward a TON of revenue that led to a weaker Q1 this year than anticipated.
