Is There a Thing Such As Optimization Plateau? (5)
I've seen some famous copywriters advicing this: Always aim to beat your control (always aim to get your ROI bigger).
From there, I got this question:
Is there a point in pure arbitrage campaigns (Banners >> LP >> Offer) where you simple can't increase your ROI, doesn't matter the number of variations you split test?
And once that point is reached, how do you know, what are the signals that you reached a point where you can't make your ROI any bigger?
What are your experiences and what would you advice for newbies and veterans?
Probably. Theoretically, No.
There's definitely a point of diminishing returns. but it involved 10-100's of thousands of tests.
For me, I look at it in terms of ROI on my time.
I could keep optimizing one campaign till I go grey. But I always get to a point that where my time is better spent creating new campaigns.
You are the only one to be the judge of that. Every campaign is different.
If I were starting out, and had cash flow issues. I would definitely "over" optimize my campaigns, for the sake of learning and to squeeze my dollar.
I can chime in, for example with app installs I probably tried 300 angles, and 1000 different banner designs. And as sad as it is, the original best i found, with the original simple design worked best hands down throughout after our extensive testing. Can't say we didn't try to improve it, but fuck... it really comes a time where you gotta stop trying to improve something and just work to scale using the best method you found.
So, I've stopped trying to come up with a better angle, and a better design to squeeze more CR and then more ROI - instead I opted to scale what I got, to other traffic sources, split test it on other networks, and increase my ROI & profits that way.
As in many aspects in business, in life, and in nature, the 80/20 rule, the law of diminishing returns and the S-curve applies here as well
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