GTM Sauce

Unnamed company

On a small budget, put all ads in one group and pick winners weekly

Unknownpaid-socialexperimentation

What they did

Cash-constrained/bootstrapped accounts: put all ads in one ad set, see what wins, repeat weekly until no longer losing money; split into more ad sets only once they can run at break-even. VC-backed teams can split by hypothesis from the start to learn faster.

In their words

Marcus Burke - How to Build a $2M/Month App (Copy Me)

Play from 54:29

… the beginning, when you're brand new to ads, you actually just want to throw all your ads into one ad set. Even when you're like trying to test multiple different variables, like the messaging and the formats and the placements and everything, you just put everything in one ad set? Most likely you will, yeah. If you're restricted in budget, then in the end, if you'd want multiple ad set, you would have to double, triple, quadruple your budget.

54:29

And when you're cash constrained in the beginning, you're probably just going to throw everything in one, see what comes out on top, do the same again next week, and over time, learn these patterns first. Well, of course, I don't know, if you're like VC-backed and you have big ambitions and money isn't as much of a problem, you can already do some pre kind of hypothesis of saying, well, we're going to split out the different messages. we're going to split out the different static and video because we can spend a lot more money as long as this kind of speeds up our learning. But for like those bootstrap companies I've worked with at lower budgets,

55:00

of course, like you don't want to kind of waste massive amounts in like a week on just testing. And that's where it's more like step by step moving in one direction and then getting better every week until you feel like, okay, this is at least not burning money anymore. And then, of course, it becomes a lot more. It's much easier to then like spin up additional ad sets at least a break-even cost compared to when you're losing 30-40% on each of …

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Tags: meta, low-budget, single-ad-set, bootstrapped