CORE PRINCIPLE
ABO and CBO are not competing choices — they're sequential tools.
ABO (Phases 1-2)
Used for comparing creatives and audiences. Forces equal budget distribution so data is fair. The moment you find the winner, ABO becomes a handicap.
CBO (Phases 3-4)
Used for scaling. Once you know the winning creative and audience, CBO lets Meta optimize delivery automatically. Stop managing budget manually.
THE 4 PHASES
Phase 1: Creative Test
Find the winning creative hook. You don't know what message works yet — test multiple angles.
STRUCTURE
- →1 campaign ABO
- →3-4 ad sets (Broad audience)
- →1 ad per set (different creative/hook)
WHY ABO/CBO
Each creative needs equal budget to compare fairly. CBO would pick one early and starve the rest.
DECISION GATES
IF: CPA above $10 at $30 spend
KILL - Pause campaign
IF: At least 1 purchase + 1 ad with CTR above 2%
GO TO PHASE 2 - You have a signal
EVALUATION POINT
After $30 total spend
Phase 2: Audience Test
Find the best audience for your winning creative. You now know what hook works — find who responds to it best.
Phase 3: Validation
Confirm CPA is consistent at slightly higher spend. You have 1 winning creative + 1 winning audience. Let Meta optimize automatically.
Phase 4: Scale
Grow volume while defending CPA. Budget increases in 30-40% steps max. Never double overnight.
QUICK REFERENCE
KILL RULES
STARTING BUDGET
Product price above $25?
Start at $15/day instead of $10
Ran this product before?
Skip Phase 1, go to Phase 2 with best creative
New niche/category?
Add 1 extra day to each phase
KEY INSIGHTS
Never skip a phase gate. The phases are short — Phase 1 costs $30 total. That's the price of knowing whether a product is worth Phase 2.
Phase gates are the most important part. Every product gets a maximum of $30 before its first kill/go decision. This discipline stops you from wasting money on losing products.
Your v1 problem was using ABO the whole time. Even in validation and scale, ABO prevented budget from consolidating around winners. V2 fixes this with sequential tools.
Budget increases reset the learning phase. Never increase more than 30-40% at a time. Give Meta time to learn after each increase.
Ready to implement the strategy? Start with Phase 1 and follow the decision gates.