POAS (profit on ad spend) - Anyone know how to let Facebook ads manager read my cost per item?

Filiph2
Excursionist
14 1 2

Is anyone here using POAS as a metric, or atleast can tell me how to let Facebook ads manager read my cost per item in my shopify store?

Reply 1 (1)

Josh_Uebergang
Shopify Expert
1012 43 269

You cannot let the Facebook algorithm bid based on a POAS metric. However, if you have a catalog, you can create product sets based on a range of POAS values, then set the products you advertise based on this value.

I suggest you use DataFeedWatch to easily do it in bulk, but you can use any feed tool which just requires manual entry for every product.

Use a custom label field of your choice. There's 5 to choose from. Set a POAS value range like what I suggest in "Profit margin" section of my Google Shopping chapter on feed management:

Profit margin. Use the label to assign a range in clusters (20-29%, 30-39%, etc.) like what I suggested with the price range. If instead you use exact margins for a large SKU range, you will create unnecessary work for yourself, you won’t make any better decisions because of it, and you may exceed the cap of 1,000 unique values. The profit margin is a good label to use with a price range label.

I think you'll also be interested in the section of "Cost Of Goods Sold". This is how we set up the value in Google Ads and Facebook ads for Shopify clients.

Run Google Shopping ads? Get the free definitive guide to Google Shopping for Shopify (no optin required): https://www.digitaldarts.com.au/google-shopping