Paid and Owned Media

What Marketers Need to Know from The Meta Performance Summit 2023

In the ever-changing world of digital advertising, Meta is looking to keep marketers ahead of the curve. The recent Meta Performance Summit brought together industry leaders to discuss the latest advancements that will shape the future of advertising and empower businesses to optimize their ad performance.

Here are the three key takeaways from the event: 

Harnessing the Power of AI

When it comes to a consumer’s attention, every second counts. Meta highlighted their commitment to optimizing ad delivery with cutting-edge AI technology. While the delivery time remains unchanged, Meta has revolutionized its data infrastructure by leveraging larger, broader models while deprecating niche models. By enhancing their data warehouse and computing power, Meta ensures better algorithmic performance, elevating ad relevance, and enabling efficient transfer learning. 

One noteworthy example of Meta’s evolution is their Advantage+ product portfolio. Ovative was among the first to embrace and advocate for Advantage+ Shopping adoption across their retail clients. The results were substantial: clients who followed this lead experienced stronger ad serving capabilities and increased ad supply, ultimately leading to a 17% decrease in cost per acquisition (CPA) and a 32% boost in return on ad spend (ROAS). This emphasizes the importance of testing modern technology and being proactive to seize opportunities before they become commonplace. 

Within Advantage+ Shopping, Meta is rolling out enhancements that include the ability to control targeting by age and geography directly through the platform and via bid multipliers, uploading videos into catalogs with AI-driven decision-making, audience expansion, creative updates, and refreshed permissions for enhanced collaboration and local inventory.  

What Marketers Should Do Next

Brands that have not yet tested ASC+ (Advantage+ Shopping Campaigns) should start to test this tactic against business-as-usual (BAU) for performance campaigns. It’s not a one-size-fits-all approach and can be tailored to each brand’s unique goals. For advertisers who have already proven ASC+ as part of their evergreen strategy, testing bid multipliers or audience expansion can drive incremental impacts to Meta program performance. 

Embracing Comprehensive Measurement 

Traditionally, advertisers have relied on attributed results to demonstrate ad value. However, Meta’s shift in focus prompted a scorecard evolution. They now recommend leveraging multiple measurement tools, including attribution, media mix modeling, and incrementality testing, to gauge impact accurately. This shift resonates with Ovative who have been utilizing a comprehensive measurement approach for years, utilizing Enterprise Marketing Return (EMR) to drive growth for their clients. 

By relying less on last-click attribution (which Meta claims undervalues their ads by 47%) and running more tests (Meta quoted ~15 per year), advertisers can achieve 30% higher ad results. Embracing this mindset and investing in measurement, both in the short and long term, is crucial for maintaining innovation. Although testing might incur initial costs, it ultimately leads to significant savings and revenue generation in the long run.  

What Marketers Should Do Next

If incrementality isn’t part of your measurement approach, start incorporating it into your plans. Gaining insights into incremental impact will help unlock the true business impact of your brand. Meta’s measurement ecosystem is more robust than ever, and by working closely with their marketing science team on a Measurement360 approach, advertisers can gain a more holistic view of their program’s impact. To leverage multiple measurement models Ovative’s clients use MAP, an AI-driven measurement tool that unifies MMM and MTA and calibrates using incrementality testing to give marketers a clearer, timely picture of their holistic impact. 

Creative Is the New Targeting

While Meta leans into AI to inform targeting at scale, brands will need to lean in to creative to really impact how customers are consuming their ads. Creative diversification is as important as ever for brands to be able to reach new and existing customers in a way that resonates most with them. It’s key for brands to focus on what is meaningful to audiences and to tell stories around those themes. Creating and amplifying persona-driven ads will help build connections with potential customers.  

Creators and partnership ads are a big way for brands to leverage micro influencers to grow their existing audience – especially if a brand’s focus is on gaining traction within GenZ. GenZ spends 13x more time interacting with creator content versus brand content, which Meta has seen lower CPAs by 19% and drive a 53% higher CTR. Meta is building out a more robust marketplace to allow brands more seamless connections with creators to help lower the barrier to entry.  

Regarding advanced ad innovation, Meta introduced creative updates like converting static content to video, larger call-to-action buttons, and seamless browsing experiences within the app. These updates indicate the direction of future ad experiences. 

What Marketers Should Do Next

If your brand hasn’t started working with creators yet, it’s time to get started. Begin with upper or mid-funnel campaigns to identify which content resonates most with your target audience. As you explore diversified creative approaches, leverage these findings to develop a creative playbook that can inform future iterations. This will enable quicker execution and a more cohesive strategy across different objectives and audiences. 

Opportunities for Marketers

These key takeaways only scratch the surface of what Meta is rolling out. There were opportunities for growth and collaboration within site optimization, shops, creators, Reels, customer lifetime value, and offline outcomes. Embracing these avenues can unlock new possibilities for your business. 

Additionally, it’s crucial to note that Meta’s new products center around AI and automation, fostering collaboration, reducing friction, and offering creative opportunities. Ovative feels it’s essential to start testing and activating these valuable opportunities for our clients. Let’s work together to elevate advertising performance with the latest innovations at Meta. 

Chris Thueringer

Senior Director, Paid Media

About the Author

Chris is a Senior Director on the Paid Search team, leading full management and advisory engagements across multiple industries, with an emphasis on retail clients. His specialty has been using store and customer data to drive enterprise retail strategies. In addition to his client roles Chris has been focused on driving paid search subject matter expertise of Ovative team... Read More >>

More Paid and Owned Media

Owned Media

5 Key Takeaways from Google Marketing Live 2024

From AI-generated creative to PMAX reporting updates, read our experts’ top takeaways from Google Marketing Live 2024.... Read More »

Chris Thueringer

Senior Director, Paid Media

Owned Media

What You Need to Know About the Google Algorithm Leak

Google’s algorithm is no longer a mystery after a document leak. Read our experts’ tips for leveraging these insights... Read More »

Kaitlin Kaiser

Senior Director, SEO

Owned Media

Looking for a New Revenue Stream? Leverage Your Owned Assets.

The key to margin relief could be your owned assets. Read on to learn how to leverage them.... Read More »

Lisa Clinton Loftus

Director, Client Services

accent bar