- Meta is encouraging advertisers to test out automated Advantage+ campaigns and other AI-based ad creation elements to improve performance.
- Meta’s Andromeda system enhances ad personalization and targeting, leading to better engagement and return on ad spend.
- Businesses using Meta’s AI image generation tools are seeing a +7% increase in conversions.
Meta’s AI Ad Tools Driving Better Performance
Meta has been pushing advertisers to test out its automated Advantage+ campaigns and other AI-based ad creation elements, as a means to maximize their performance, based on Meta’s systematic understanding.
Using Meta’s ad system AI, you can now automate almost every aspect of the ad creation process, from creation to budget to targeting. And according to Meta, those who are utilizing its automation tools are driving better results.
How much better?
In a new overview of its “Andromeda” ad retrieval process, Meta has provided some notes on the take up of Advantage+ and creative AI use within campaigns.
First off, for context, Meta’s Andromeda system is a major update to its ad matching engine, which improves ad personalization and targeting by enabling Meta to assess more factors when deciding which ads to show to each user.
As per Meta:
“Andromeda significantly enhances Meta’s ads system by enabling the integration of AI that optimizes and improves personalization capabilities at the retrieval stage and improves return on ad spend. Its deployment across Instagram and Facebook applications has achieved +6% recall improvement to the retrieval system, delivering +8% ads quality improvement on selected segments.”
Given the amount of ads that each user could be shown, Meta’s implemented more advanced ad matching to improve speed of delivery, and performance, based on response factors.
And that’s helping to drive even better response with its AI-generated ads:
“When advertisers who did not previously use Advantage+ creative turned on its AI-driven targeting features, they experienced a 22% increase in ROAS from our ads.”
Meta has shared similar stats in the past, highlighting the performance improvements that marketers are seeing from its ad automation tools.
The advantage that Meta’s automated selection systems have in this regard is that Meta is inputting user response data from across its apps, which then informs its system as to which users are tapping on which ads. So rather than using your own audience understanding, which could miss segments that you hadn’t thought of, Meta’s ad system is purely based on ad engagement.
That, seemingly, is driving better performance, in engagement and action, across its apps.
“We estimate that businesses using image generation are seeing a +7% increase in conversions.”
Meta added AI image generation for ads earlier this year, which enables you to create all new images from scratch within its ad system.
Which seems risky, but clearly, it’s driving results as well, which could be another consideration for your approach.
I mean, some of the AI-generated stuff on the web looks horrible, so you’d want to be cautious. But it could be another factor that could help improve your ad performance.
“Even at this early stage, more than a million advertisers used our generative AI (GenAI) tools to create more than 15 million ads in a month.”
So more and more advertisers are getting into these options, which could be another sign that you should also be looking to test them out, as a means to potentially improve your ad appearance, performance and response.
These are some interesting notes, which could prompt more thinking about the potential of Meta’s advancing AI ad tools and their applicability in your approach.
You can read more about Meta’s Andromeda ad targeting update here.