Making > £100,000 using a Facebook Ads Strategy for Dropshipping (Chris Wane)
Chris Wane is a really successful dropshipper from the UK that I’ve been fortunate enough to actually have the chance to talk to in person. He’s legit: Chris has made hundreds of thousands of pounds selling snow goggles and other hit products using a specific combination of dropshipping and Facebook Ads, and the value of the information he gives is absolutely insane.
This blog post is literally just a transcription of my own notes I took from his free video, but I’ve also embedded the video below for your viewing pleasure. At the time of writing, Chris is not super widely known (I stumbled across one of his posts in a Facebook group), though he gives a TON of incredibly valuable advice on his channel that you should go check out if you’re interesting in successfully running a Facebook ad campaign. I don’t say that lightly: you can tell when someone is good simply by how specific they get in their advice to you.
Just for reference, I’ll briefly put down some of the terminology here:
- LLA = Lookalike Audience. In a nutshell, you can use Facebook’s massive amounts of data in order to define a set of customer that looks like another group of people that did a certain thing (e.g. visited your website). When we talk about e.g. 2% LLA, this means the top 2% of people who look like the people that e.g. visited your website.
- PPE = Page Post Engagements (e.g. likes)
- ROAS = Return on Ad Spend (e.g. if your ad costs $1 and you make $3 revenue, then your ROAS is 3.00)
1. Run a PPE ad – 18-65+ WW, AND run a Video Views Ad – 18-65+ worldwide
Aim is to be able to get enough data to create a 95% lookalike audience.
Need to just focus on video views (VV) or PPE.
You should use about $60.
Just set up the conversions to be VV or PPE respectively, for this point of the ad.
2. Once you have enough data (takes only one day), then switch to 95% Video Views audience (Lookalike Audience).
Then you run this as $110 AUD/day at the campaign level. Make sure to turn out Campaign Budget Optimisation (CBO).
Within the campaign, run the following adsets:
- 3 of EACH of:
- 1% LLA
- 1-2% LLA
- 2-5% LLA
So you should have 9 ad sets in total. The idea behind this duplication is to give Facebook a chance to tinker with different variables.
3. Make sure you know what your breakeven Return on Ad Spend (ROAS) is. (To calculate this, you have to basically figure out how much you can afford to spend on ads in order to reach a profit of $0)
4. For every time you reach your breakeven point over a 7 day period, you turn off that ad set.
If your ad doesn’t make a profit over a 7 day period, stop that ad!
Kill your ads that aren’t profitable every 7 days.
5. Create a ViewContent LLA audience x 9 adsets, now that you’ll have that data.
You generally should hit profitability within a few days at best.
Offer a discount as they get further and further down the funnel.
- Single image
- Retarget people who viewed video but not page
- Retarget people who viewed page but not AddToCart
- Retarget people who AddToCart but not Checkout
- Retarget people who Checkout but not purchase
7. From your data – specifically, determine WHO the target demographic gives you the best ROAS (based off your 95% LLAs etc.). Use the ‘Breakdown’ option (Age, Gender, Country) and sort by ROAs.
- Then use that as your demographic for another 9 adsets.
- Even though you know your audience, you need to test it just to be sure.
8. Duplicate your profitable ad sets, then raise the budget of the duplicate ad set.
Set a target cost limit as appropriate.
Campign bid strategy needs to be target cost.
Hope you found this transcription useful! I’ll be posting more and more about Facebook Ads as I try out similar strategies in the future. If you’re interested, use the newsletter form below to subscribe! And, of course, credit to Chris Wane for the original video – you really owe it to yourself to check him out. He’s recently launched his own course Advanced Dropshipping Academy. There’s certainly a lot of guru course out there that can mislead new players to the game, but I can personally vouch for Chris, having talked to him in person – he really knows his stuff.