Budget Types — CBO vs ABO

Understanding how budgets work is essential for managing your ad spend effectively. Wevion supports both of Meta's budget strategies: Campaign Budget Optimization (CBO) and Ad Set Budget Optimization (ABO).

Prerequisites

• Understanding of the campaign structure (Campaign > Ad Sets > Ads) Campaign Launcher Overview — How It Works

How It Works

When creating a campaign in Wevion, you choose where to set your budget:

• CBO (Campaign Budget Optimization) — One budget at the campaign level. Meta distributes it across ad sets automatically.

• ABO (Ad Set Budget Optimization) — Individual budgets on each ad set. You control how much each ad set spends.

This choice affects where you set the daily budget, which bid strategies are available, and how Meta allocates your spend.

CBO — Campaign Budget Optimization

With CBO, you set one daily budget on the campaign, and Meta's algorithm automatically distributes it across your ad sets based on which ones are performing best.

How CBO Works

1. You set a total daily budget (e.g., €50/day)

2. You create multiple ad sets with different targeting

3. Meta automatically shifts budget toward the best-performing ad sets

4. Lower-performing ad sets receive less budget

CBO Settings in Wevion

When to Use CBO

• You have multiple ad sets testing different audiences

• You want Meta to automatically optimize budget allocation

• You trust the algorithm to find the best audience

• You want hands-off management after launch

ABO — Ad Set Budget Optimization

With ABO, you set individual budgets on each ad set. You have full control over how much each audience segment or creative variation receives.

How ABO Works

1. You create ad sets, each with its own daily budget

2. Each ad set spends independently up to its own limit

3. Meta optimizes delivery within each ad set but doesn't shift budget between them

4. You manually adjust budgets based on performance

ABO Settings in Wevion

When to Use ABO

• You want precise control over spend per audience

• You're testing specific audience segments with fixed budgets

• You have ad sets with different values (e.g., retargeting vs prospecting)

• You want to prevent Meta from under-spending on specific audiences

Bid Strategies

Both CBO and ABO support four bid strategies that control how Meta bids in the ad auction:

Lowest Cost (Default)

• Meta API name: Lowest Cost Without Cap

• How it works: Meta automatically bids to get the most results at the lowest possible cost

• Bid amount required: No

• Best for: Most advertisers. Simple and effective. Lets Meta's algorithm optimize freely.

Bid Cap

• Meta API name: Lowest Cost With Bid Cap

• How it works: Sets a maximum bid Meta can place in any single auction. Limits cost per result but may reduce delivery volume.

• Bid amount required: Yes (maximum bid per result)

• Best for: Advertisers who know their maximum acceptable cost per result and want hard cost control.

Cost Cap

• Meta API name: Cost Cap

• How it works: Tells Meta your target average cost per result. Meta may bid above your cap for some auctions but aims to keep the average at or below your target.

• Bid amount required: Yes (target average cost per result)

• Best for: Advertisers who want to maintain an average CPA while maximizing volume. More flexible than Bid Cap.

Minimum ROAS

• Meta API name: Lowest Cost With Min ROAS

• How it works: Sets a minimum return on ad spend that Meta must maintain. Only available for value-optimized campaigns.

• ROAS floor required: Yes (e.g., 2.0 means €2 revenue per €1 spent)

• Best for: E-commerce advertisers optimizing for value who want to ensure profitability.

Budget Quick Reference

Step-by-Step: Setting Up CBO

1. In the Campaign Launcher, set Budget Level to CBO

2. Enter your Daily Budget in the campaign row (e.g., 50 for €50/day)

3. Select your Bid Strategy (Lowest Cost recommended for most cases)

4. If using Bid Cap or Cost Cap, enter the Bid Amount

5. Create your ad sets — they'll share the campaign budget automatically

Step-by-Step: Setting Up ABO

1. In the Campaign Launcher, set Budget Level to ABO

2. For each ad set, enter a Daily Budget

3. For each ad set, select a Bid Strategy (can be different per ad set)

4. If using Bid Cap, Cost Cap, or Min ROAS on an ad set, enter the corresponding Bid Amount or ROAS floor

Frequently Asked Questions

Q: Can I switch from CBO to ABO after launching? A: No. Budget optimization type is set at campaign creation and cannot be changed. You would need to create a new campaign.

Q: What's the minimum daily budget? A: €1.00 (or equivalent in your account currency). This applies per campaign for CBO or per ad set for ABO.

Q: Can I use different bid strategies for different ad sets in CBO? A: No. In CBO, the bid strategy is set at the campaign level and applies to all ad sets. Switch to ABO if you need per-ad-set bid strategies.

Q: What happens if I set a Cost Cap too low? A: Meta may significantly reduce delivery or stop delivering altogether. If your Cost Cap is below what it costs to win auctions in your target audience, your ads won't be shown. Start with a reasonable target and adjust based on results.

Q: Should I use CBO or ABO? A: CBO is recommended for most advertisers, especially when testing multiple audiences. It lets Meta's algorithm do the heavy lifting. Use ABO when you have specific budget requirements for certain audiences (e.g., you always want to spend exactly €20/day on retargeting).

Related Articles

• Campaign Launcher Overview — How It Works

• Launching Your First Campaign — Step by Step

• Campaign Objectives Explained

• Bulk Actions — Pause, Resume, Edit Budget