WARC: ‘Taking back control from Meta’s algorithm: The imperative of rigorous testing’

WARC recently recently published an article from Nest co-founder and CCO Luke Jonas: ‘Taking back control from Meta’s algorithm: The imperative of rigorous testing’.

“The appeal of Meta’s algorithm is clear. Meta has made huge strides in ensuring its platform is optimised for advertising.

“The recovery of its ad business in Q3 2023 plus positive results from Black Friday suggest that it is succeeding. A key factor driving its recovery is the investment in its algorithm. Improvement is driven by better performance and reduced costs. This is encouraging advertisers during a period of tighter budgets.

“Seduced by the promise of better results, many brands are being led by Meta’s algorithm and in-platform solutions. Critical analysis is side-lined, given the platform’s impressive reporting metrics that create a deceptive appearance of success. Meta’s algorithm, designed for over 13 million advertisers, is inherently straightforward – it drives sales, but the catch is, the algorithm determines which sales.

“Progressive advertisers can both embrace algorithmic advertising but also adopt solutions for enhanced control over brand and merchandising. This involves adopting a robust testing framework.

“Training an algorithm on ROAS (as Meta does) differs significantly from training it on incremental ROAS, which aligns more closely with business needs.

“For businesses to really be in control of testing, they need to switch from Meta-driven platform A/B tests to their own tests. Principally conversion lift tests,” Jonas explained.

Read more in the full article.

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