Why Value Based Optimization?
TikTok’s Value-Based Optimization (VBO) focuses your web or android campaigns on value creation by targeting high-value users and maximizing return on ad spend (ROAS). VBO optimizes ad delivery to people most likely to make higher-value purchases, such as buying multiple products or choosing higher-priced items.
Depending on your bid, VBO will utilize either the Highest Value or Minimum ROAS strategy when setting up an ad group.
With TikTok’s advanced AI, you can enhance your campaign outcomes by focusing on the most relevant audience, likely to generate a higher return on ad spend (ROAS)
Better Customers
Whether you are a B2C, Fintech, App, Marketplace, Delivery Subscription, or PLG business, shifting from cost-based strategies like CPC or CPA to value-based strategies that consider customer value, will result in bigger and better conversions.
Outcomes include increased conversion volume, longer plans (annual vs. monthly), recurring subscriptions, more seats per account, the selection of larger packages and more.
Increased ROAS
Paying the right price for high-value customers and not bidding too much for low value customers ensures you are not leaving money on the table while maximizing your business outcome potential.
You will start seeing increase ROAS very quickly. Customers who partnered with Voyantis are reporting 20%-50% ROAS increase.
Sustainable and Stable Growth
Over time, your business will reap long-term benefits, including increased customer lifetime value, higher profits, and the ability to better allocate your marketing budgets across channels and ad formats and you can optimize for more nuanced goals.
Why you might not be getting results
TikTok allows advertisers to set click-through attribution windows of 1, 7, 14, or 28 days, and view-through attribution windows of 1 or 7 days (or disable them entirely).
Conversions must be actualized within the selected window, especially by day 28; otherwise, predictions will be necessary. When you start your campaigns, TikTok recommends running ads for at least seven days to gather insights that help optimize targeting for your highest-value audiences.
Common Challenges
Why you need Voyantis
AI Predictions For TikTok
Prescriptive AI Automation
Predictions based on user level signals, are sent to TikTok using their Event’s API enabling Meta to optimize campaigns for ROAS.
Voyantis AI knows how to balance the timing and value of signals to meet TikTok’s AI training needs, delivering early signals to jumpstart your campaign optimization quickly and effectively.