Facebook recently introduced a new bidding strategy for advertisers that will drive results keeping the costs under limitation.
Previously Bid strategies were just used to maximize conversion value volume or cost assumption.
Facebook will provide a bidding strategy so that they can help businesses reach particular goals. The strategy would include its earlier offerings.
“Cost cap maximizes cost efficiency by getting you the most results, such as purchases or installs, at or below your set maximum cost per optimization event.”
The difference between cost cap bidding and other cost-optimized bidding strategies is it enables marketers to set the high CPA/CPI they want to pay.
When it introduces, cost cap bidding will be accessed through an updated, guided bid experience.
As above given example shows, marketers can put a cost control, which Facebook will try to meet with the cost cap bidding strategy.