The advertising reach on Meta’s Facebook and Instagram is massive. With around 3.43 billion active users accessing Meta platforms daily, advertisers get endless opportunities to engage with new people and convert them into paying customers.
In the pursuit of capturing these opportunities, many businesses fail to determine where they should spend their advertising budget. They end up choosing the wrong budgeting option, which either results in scaling too early with the wrong structure or wasting tens of thousands on campaigns that never had a chance.
That’s why understanding the difference between CBO vs ABO becomes crucial.
Meta Ads mainly offers these two budget optimization options, and choosing one isn’t about preference; it’s about aligning your budget strategy with your goals.
Through this blog, we’re going to break down the difference between ABO and CBO campaign in Meta Ads, understanding what they actually are, what they are used for, and the unique benefits they offer, alongside some considerable drawbacks.
By the end, you’ll be able to make an informed decision for choosing the best strategy that helps you scale and grow seamlessly. Let’s dive in!
What is Campaign Budget Optimization (CBO)?
Campaign Budget Optimization (CBO) is an automated budgeting feature in Meta Ads where you set a total budget at the campaign level, and the platform then distributes that budget across your ad sets in real time based on their performance. In 2025, Meta has renamed this feature to Advantage+ Campaign Budget.
CBO is designed for scale and efficiency. Once your best-performing creative and audience combinations are identified, CBO enables Meta’s algorithm to focus the budget on the top performers automatically. However, CBO only works if the inputs are strong, making it an important aspect to consider when comparing CBO vs ABO.
Benefits of Using CBO
Advertisers and businesses prefer CBO due to the numerous benefits it offers, especially to those who are new to Meta Ads.
Straightforward Approach
For beginners, CBO is a great way to get started with Meta Ads without feeling overwhelmed. It simplifies the setup process and handles budget optimization efficiently, making it easier to create a CBO campaign and analyze its performance.
Streamlined Budget Management
The best thing about CBO is that it simplifies budget management by eliminating the need to micromanage the budget across different ad sets. CBO automatically optimizes ad spend so that you can focus more on other campaign elements.
Better Scalability
If you’ve identified winning strategies and are ready to boost your campaign, CBO can help you efficiently scale. CBO allocates more budget to high-performing ad sets, allowing you to scale up better when we compare CBO vs ABO Facebook ads.
Drawbacks of Using CBO
While the benefits of CBO make it an intriguing option, it is important to consider some of its drawbacks before making the choice.
Limited Control
CBO spreads your budget across different ad sets based on performance automatically, reducing your control over where the money goes. You cannot control the budget at the ad set level, making Meta Ads management complicated.
Unpredictable Performance
The algorithmic nature of CBO can lead to unpredictable fluctuations in ad delivery, potentially impacting campaign effectiveness. Incorrect or inaccurate inputs largely affect the performance of CBO campaigns, ultimately resulting in wasted ad spend.
Difficult Assessment
Businesses may find it challenging to accurately assess the impact of budget changes on individual ad sets due to the automated nature of a CBO campaign. It makes it difficult to identify poorly-performing ad sets in the early stages.
What is Ad Set Budget Optimization (ABO)?
Ad Set Budget Optimization (ABO) is a budget optimization feature in Meta Ads that allows advertisers to allocate individual budgets for each ad set within a campaign. Rather than allocating a single budget for the entire campaign, as with CBO vs ABO, it gives advertisers more control over budget allocation at the ad set level.
With ABO, advertisers have the flexibility to adjust budgets for each ad set independently, optimizing spending to maximize results for their campaigns. ABO is mainly used by Meta Ads management experts for testing different creative and audience combinations, giving a better insight into which variation performs better.
Benefits of Using ABO
Choosing the ABO feature in Meta Ads brings along various unique advantages, making it different from the CBO option.
Precise Budget Control
Ad set budget optimization allows more precise control over budget distribution within campaigns and across different ad sets, making it ideal for targeting multiple audience segments or running different strategies in the same campaign.
Detailed Insights
If you like to monitor and adjust every aspect of your Meta Ad campaigns, ABO offers the detailed oversight you need. With ABO, you can fine-tune budget distribution manually and make strategic adjustments based on your insights.
Better A/B Testing
When it comes to A/B testing creatives and audiences in real time, ABO stands out in the comparison of CBO vs ABO Facebook ads. ABO allows you to allocate equal budgets across different ad sets, ensuring each ad set gets equal exposure.
Drawbacks of Using ABO
Similar to the CBO feature, using ABO also has some drawbacks that every advertiser must consider beforehand.
Risk Of Oversight
Without automated budget allocation like a CBO campaign, there is a higher risk of overlooking underperforming ad sets or failing to adjust budgets promptly. This means you might end up wasting resources on ad sets that offer negligible returns.
Increased Workload
Advertisers bear the responsibility of analyzing key performance indicators (KPIs) and adjusting budgets themselves, leading to a heavier workload and potential inefficiencies. Manual errors are quite common while using ABO for Meta Ads.
Unsatisfactory Results
Advertisers may experience fewer conversions or suboptimal campaign performance compared to CBO vs ABO, as manual adjustments may not always be as effective or timely. You may not get the expected results from each ad set of the campaign.
CBO vs ABO: Factors to Consider
When it comes to optimizing your Meta Ad campaigns, the decision between CBO vs ABO Facebook ads plays a pivotal role. Since each option offers distinct advantages that can significantly impact the performance of your campaigns, you must consider some important factors while choosing the best feature for your campaigns.
Here are some key factors to weigh when choosing between the CBO and ABO features in Meta Ads:
Audience Size and Segmentation
The size and segmentation of your target audience are key influencers in the ABO vs CBO comparison. If you’re working with a larger, homogenous audience, CBO is a better option. Conversely, ABO is ideal when dealing with multiple audience groups.
Campaign Objectives and Goals
CBO stands out when you have a single campaign goal, letting the platform allocate budget for optimal outcomes. However, if you have diverse objectives across ad sets, ABO allows you to allocate budgets based on the priority of each goal.
Budget Management Approach
CBO is a time-saver, as Facebook’s algorithm automates budget management, making it an excellent choice for those with limited time. Meanwhile, ABO is great for advertisers who want better manual control and flexibility for budget allocation.
Setup and Ease of Use
If you’re new to Meta Ads or creating your first campaign, it is ideal to go with CBO, as it simplifies campaign setup and budget optimization. On the other hand, experienced advertisers can try ABO to control budget allocation more precisely.
Scalability
Scalability is the most important aspect when considering CBO vs ABO. If you’re confident with your selected audiences and creatives, you can scale better with CBO. If not, it is better to test your ad sets with ABO to identify the best performers.
CBO vs ABO: Which One to Choose?
With both budget optimization options offering unique advantages, choosing one between CBO vs ABO ultimately comes down to your specific goals, budget size, and the level of control you require. CBO works best for large budgets and singular goals, while ABO is ideal for small budgets, precision, and diverse objectives.
Rather than choosing one between CBO and ABO, Meta Ads management experts suggest using both these options. Start with ABO to test your ad sets and identify the audience groups and creatives that perform the best. Once you’ve validated your best performers, switch to CBO for automated budget allocation and better scaling.