Paladin Marketing

Meta’s New ‘Maximise ROAS’ Goal: What It Really Means

Meta’s New ‘Maximise ROAS’ Goal: What It Really Means

Field Notes

26 January 2026

Alex Taylor

Alex TaylorHead of Brand Marketing

Meta has introduced a new performance goal called Maximise ROAS, which shifts the focus from just more conversions to maximising profitability and generating revenue. The new maximise ROAS goal emphasises targeting high-value conversions, leveraging smarter bidding strategies, and aligning your creative, targeting, and data strategy around business outcomes rather than vanity metrics.

Previously, the majority of campaigns utilising “Maximise Conversion Value” were looking to drive as much revenue as possible. Sounds good in theory, but in practice, it meant clients were frequently wasting ad budget on lower-value purchases. This new goal is changing that. Meta now looks at how much profit each conversion is delivering and pushes spend to customers who are genuinely valuable, helping advertisers generate revenue more efficiently, not just increase conversion volume.

In short, it’s about quality over quantity and maximising return, not just more conversions.

You may see fewer overall conversions, but the ones that come through should be worth more, and if your campaigns aren’t performing efficiently, Meta will hold back spend instead of burning through budget for the sake of activity. This is especially important as higher costs and tighter margins make better efficiency and smarter optimisation essential for campaign profitability.

Here’s how we’re approaching it at Paladin.

Set realistic ROAS targets to begin with, based on what you already know works. Many businesses use a 3x ROAS benchmark, but a good ROAS varies by industry and business model. The average ROAS across industries for Meta ads is around 2.19:1, but top performers can achieve 4-6:1 through strategic optimisation. Monitor ROAS trends over a period of 2-3 days rather than focusing on daily spikes, and always know your break-even ROAS to ensure campaigns are profitable. If you’re seeing low ROAS, it’s a sign to review your targeting, creative, and bidding strategies.

Then, ensure your event values are correct. Meta needs to understand what a “good conversion” is. It can’t make smart decisions if the data isn’t clean or if the value signals are off. Accurate tracking and clean data are essential for optimising ROAS in Meta ads. Implement server-side tracking via Meta’s Conversions API to improve data accuracy and attribution reliability, which is critical for campaign performance and future-proof marketing infrastructure.

Employ this objective first on established campaigns that already have solid performance data. Once you’ve seen stable results, then test it on new ones. Proper campaign setup helps Meta’s algorithm rely heavily on conversion signals, allowing you to exit the learning phase efficiently and optimise effectively. Ensure each ad set reaches at least 50 conversion events per week to stabilise delivery and follow the 15% Rule for budget increases to avoid resetting the learning phase.

And as always, your creativity and offer matter most. Creative quality is a significant driver of ROAS in Meta advertising, accounting for 75-90% of your campaign performance. Regular creative testing and refreshing your creative assets are necessary to maintain high ROAS and prevent ad fatigue. Leverage user-generated content (UGC) and mobile-first formats like Reels and Stories, which often outperform static images and can deliver higher click-through rates and lower costs.

When tracking performance, shift your focus. It’s no longer about how many conversions you get, but how much value they bring. Key metrics to monitor are:

  • Return on Ad Spend (ROAS)
  • Average Order Value
  • Cost per Acquisition
  • Revenue per Impression

Align your ad budget with high-margin, high-demand products to improve ROAS, and use Campaign Budget Optimisation (CBO) and Meta’s Advantage+ Suite to allocate budget efficiently across ad sets. Adjust your bidding strategies to maximise ROAS, especially under tighter margins and higher costs.

Broad targeting generates better ROAS than detailed targeting by allowing Meta’s AI to access a wider pool of potential customers. Meta’s algorithm increasingly relies on broad audience modelling and AI-driven automation, making detailed interest-based targeting less effective. Retargeting campaigns deliver a median ROAS of 3.61 compared to just 2.11 for prospecting campaigns, so targeting people who are already engaged—especially loyal customers—can significantly improve results.

Smarter optimisation, better efficiency, and future-proof strategies are key. Meta recommends a signal-first approach using first-party data, AI-driven automation, and robust attribution to drive high-performing campaigns. Systematic testing, including a two-campaign structure (sandbox for testing and scaling for proven creatives), helps develop and scale high-performing campaigns. Creative ad targeting, value-based optimisation, and leveraging lookalike audiences all contribute to maximising conversion value and long-term success.

Lead generation campaigns also benefit from high creative quality and optimised landing pages to attract high-value leads.

At Paladin, we’ve always built campaigns around efficiency and clarity. The brands that win know what drives profit—and double down on it. Because effective marketing isn’t about spending more. It’s about spending smarter and building a future-proof strategy.

Introduction to ROAS

Return on Ad Spend (ROAS) is the backbone of any successful digital marketing strategy, especially when it comes to Meta Ads. ROAS measures how much revenue your ads generate for every pound spent, giving you a clear picture of campaign effectiveness. For businesses running campaigns on Meta platforms, understanding and optimising for ROAS is essential—not just for tracking performance, but for making smarter decisions about where to allocate ad spend. By focusing on return on ad spend, you can ensure your ads are working as hard as possible to drive real results, not just surface-level metrics.

Understanding ROAS

At its core, ROAS is calculated by dividing the total revenue generated from your campaigns by the total ad spend. For example, if your campaign brings in £500 in revenue from £100 in ad costs, your ROAS is 5:1. This means every pound spent on ads returns five pounds in revenue. Accurate conversion data is crucial here – Meta’s algorithm relies on clean, reliable data to optimise campaigns and maximise results. The more precise your tracking, the better Meta can allocate your budget to the campaigns and audience segments that deliver the highest value for every pound spent.

Setting Up ROAS Goals

Establishing clear ROAS goals is a critical step in optimising your Meta campaigns for profitability. Start by analysing your profit margins, average order value, and overall business model to determine a realistic target ROAS. For instance, if your average order is £60 and your profit margin is 25%, you’ll need a higher ROAS goal to ensure your ad spend is actually driving profit, not just revenue. Setting a specific ROAS goal in Meta Ads Manager tells Meta’s algorithm to prioritise conversions that meet your profitability criteria, rather than just maximising conversion volume. This approach helps you control ad costs, avoid wasted spend, and ensure your campaigns are aligned with your business objectives.

Creative Strategy

Your creative strategy is a major driver of high ROAS. The quality and relevance of your creative assets – images, videos, and copy – directly impact how well your ads resonate with high-value users. Focus on developing creative assets that clearly communicate your offer, highlight value, and encourage action. Systematic testing is key: run controlled tests on different creative variations to see what drives the most conversions and highest ROAS. Over time, refining your creative strategy based on real performance data will help you attract more users and maximise the return on every pound spent.

Targeting Strategies

Reaching the right audience is essential for maximising ROAS. Instead of casting a wide net, focus on high-value audience segments like existing customers, lookalike audiences, and users who have already shown interest in your products. Meta’s advanced targeting options - such as custom audiences and lookalike audiences—allow you to zero in on users most likely to convert at a high value. Broad targeting can help scale campaigns, but for strong ROAS, it’s often more effective to prioritise high-value users. Leverage tools like the conversions API and adjust your attribution window to ensure you’re capturing the full impact of your ads. By continually refining your audience selection, you can boost ROAS, reduce wasted spend, and drive as much revenue as possible from your campaigns.

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