What is Budget Optimization?
Automatically distributing ad budget to the best-performing ad sets.
Definition
Budget optimization (Campaign Budget Optimization or CBO on Meta) lets the platform automatically allocate your total campaign budget to the ad sets delivering the best results. Instead of manually splitting budget equally, the algorithm shifts spend toward the audiences and placements generating the lowest CPA or highest ROAS. This approach works best when you have 3-5 ad sets with proven creative and sufficient conversion data.
Example
A brand sets a $200/day CBO campaign across 4 ad sets. The algorithm allocates 60% of budget to the top-performing lookalike audience, maximizing conversions without manual intervention.
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