Choosing the right Bid Strategy for you

As you may be aware, Facebook provides four different bid strategies, or techniques to optimize bids. Lowest Cost, Bid Cap, Target Cap, and Cost Cap are the four options.

Frequently, the wrong one is chosen to promote mobile games. This can have a detrimental impact on your marketing strategies, budget, and mobile game.

That is why you must first comprehend and try each method to determine which one will yield the finest outcomes.
So, let’s take a look at each one individually.

Lowest Cost (LC)

This is an auto bid approach in which Facebook’s algorithm looks for consumers who will install a mobile game for the cheapest price (it can discover) while spending the entire budget.

The cost is determined by a number of factors, the most important of which are the operating system, geographic area, age, and gender.

Bid Cap (BC)

You can select a maximum bid you’re willing to pay for a single installation here. As a result, CPI can be lower, but it will not exceed the maximum bid. Keep in mind that the advertiser manages the bidding manually.

Target Cost (TC)

This bid cap method works well for keeping costs steady. You decide on a CPI, say $2 per install. Then, using Facebook’s algorithm, you may discover customers willing to pay +/-10% of that amount ($1.80 — $2.20) to install your mobile game.

Cost Cap (CC)

It’s helpful for cost-efficiency if you keep the cost within a certain range. Facebook will search for new users whose average CPI does not exceed the defined limit.

The point about Facebook bid strategy is this:
A lower-cost user does not always imply a higher-quality consumer. You might want to go with the more „expensive“ user. It’s feasible that a single bid strategy leads to a higher spend and more high-quality users.
Or that using the Lowest Cost bid strategy with resulted in worse quality users than using a Target Cost bid strategy with.
That is why, if your budget allows, you should experiment with bid techniques. It’s a terrific method to strike a decent price-to-quality ratio. Furthermore, it will enable you to scale your initiatives while being cost-effective.

Choosing the best bidding strategy is a crucial step in learning how to start campaigns more effectively.

Finally, your bid will inform Facebook how much you’re willing to pay to reach a certain audience. In addition, you must compete in each auction you enter. Always test new bidding strategies on tiny budgets to see how well they work for your campaigns.