Meta has introduced new tools to help advertisers optimize for business value rather than just the number of conversions. These enhancements focus on Value Optimization, Incremental Attribution, and Value Rules, enabling advertisers to prioritize outcomes that matter most to their business goals, such as maximizing profit, acquiring loyal subscribers, or targeting specific demographics. Advertisers using the "maximize value of conversions" goal saw an average 12% higher return on ad spend (ROAS) compared to optimizing for total conversions.
Value Optimization Enhancements
Meta's Value Optimization allows advertisers to target multiple KPIs:
- ROAS based on purchases (globally available): Updates to this solution have helped advertisers achieve an average 12% higher ROAS by focusing on revenue value rather than conversion volume.
- ROAS based on profit margin (now testing): Advertisers can send profit data via Conversions API to optimize for profit-driven ROAS instead of purchase size.
- ROAS based on non-purchase event values (expanding globally): Advertisers can optimize for ROAS using custom or non-purchase events, such as first-time purchases or subscription sign-ups. For example, beauty brand Laura Geller increased ROAS by 46% by using Value Optimization with a custom event targeting first-time purchasers.
Measuring Campaign Success Across Channels
Meta recognizes that advertisers use different methods to measure ROI:
- Incremental Attribution: Now globally available, this product optimizes and reports on incremental conversions in real time. Advertisers saw a 46% increase in incremental conversions. It can be activated easily in Ads Manager without prior Conversion Lift tests.
- Multitouch Attribution (MTA): Meta offers integrations with analytics partners (Adobe Advertising, Northbeam, Rockerbox, Triple Whale) to share granular click-level attribution data. This supports a new Custom Attribution feature, allowing advertisers to incorporate external measurement insights into Meta’s optimization.
Expansion of Value Rules
Value Rules allow advertisers to assign higher value to specific customer segments to guide Meta’s AI-powered ads system toward higher ROAS. For instance, an advertiser can increase bids for a demographic known to have higher lifetime value. Ben Schreiber, CMO of Latico Leathers, reported that increasing bids by 75% for the 45-54 female demographic helped focus on higher-value customers while maintaining broad targeting to discover new audiences.
Summary
Meta’s suite of products—Value Optimization, Incremental Attribution, and Value Rules—provides advertisers with flexible tools to define what business outcomes they want to achieve and how to measure success. These tools help steer Meta’s advertising system to optimize for the most valuable conversions, improving overall campaign performance and aligning ad spend with business priorities.
