Perpetual Traffic Podcast Summary

Episode: The 8 Essential Ad Types to KILL IT on the New Meta Ads Andromeda Update
Release Date: August 1, 2025
Host: Ralph Burns
Featured Guest: John Moran, Innovative Media Buyer and Digital Marketing Strategist at Tier 11

I. Introduction to Meta Andromeda Update

Ralph Burns opens the episode by highlighting a significant shift in Meta's advertising landscape. He introduces the Andromeda update, describing it as the most substantial change to Meta's AI algorithm since he began managing Meta ads around 2012-2013.

"[00:00] Ralph Burns: ...this is the biggest change I've seen in Meta since I've been doing Meta ads."

Burns emphasizes the critical need for advertisers, marketing directors, and CMOs to adapt to this update, as previous Meta advertising strategies are now obsolete.

II. Understanding the Andromeda Update and AI Innovations

John Moran delves into the technical aspects of the Andromeda update. He explains that Meta has discreetly integrated advanced AI and GPU-powered computing into their ad ranking system, significantly enhancing ad delivery and targeting precision.

"[12:06] John Moran: ...Andromeda is essentially creative targeting. And that is extremely hard to grasp because for the last decade at least, we dictated targeting."

He introduces the concept of the "Meta lattice," a vast data sorting mechanism that allows Meta to deliver highly personalized ads by understanding user behaviors and relationships at unprecedented speeds.

"[02:49] Ralph Burns: ...like having a super brain that can read an entire entire library of books in seconds..."

John points out that despite the profound changes, Meta has kept the Andromeda update under wraps, with little public communication or guidance, necessitating proactive adaptation from advertisers.

III. Transitioning to Content Diversification Strategies

Previously reliant on User-Generated Content (UGC), Tier 11 encountered limitations in scaling and increasing cost-efficiency. The Andromeda update mandates a broader content diversification approach, incorporating multiple ad types to leverage Meta's enhanced AI capabilities fully.

"[34:07] Amy: ...these are the types of ads that these eight ads right here are the ones that you need to now push into an ad set."

John introduces the nine categories of content diversification recommended by Meta, including "Us vs. Them," "Founder Story," "Face to Camera," and "Product Feature," among others. This strategic variety ensures that Meta's AI can effectively target users at different stages of their purchasing journey.

IV. Case Studies: Implementing and Benefiting from Content Diversification

John presents a detailed case study showcasing the impact of content diversification on ad performance:

1. Initial UGC Campaigns:

   • Issue: Fluctuating ad spend and rising CPAs.
   • Result: Limited scalability with UGC alone.

2. Introduction of "Us vs. Them" Ads:

   • Impact:
     • Stabilized ad spend, avoiding the "bouncing around" effect seen with UGC.
     • Reduced CPA from $282 to $213, marking a 25% decrease.
     • Increased new customer acquisition by 40%.

   "[27:49] John Moran: ...a 30% reduction in new customer cost per acquisition for the same exact cost that we have been spending the week before."

3. Addition of "Product Feature" Ads:

   • Improvement:
     • Further lowered CPA to $100, representing a substantial decrease.
     • Enhanced ad spend stability without the previous volatility.

John underscores that diversifying ad content allows Meta's AI to better understand and target various audience segments, effectively breaking past the scalability ceiling imposed by UGC-only strategies.

V. Strategic Implications for Media Buyers and Future Advertising Approaches

The shift towards content diversification signifies a fundamental change in media buying. Advertisers must now focus on creating a variety of high-quality ad creatives to feed Meta's AI, which, in turn, optimizes ad delivery across different user segments.

"[48:12] John Moran: ...we are leveraging the algorithm. We're finding ways to pull the biggest lever for the biggest result."

John emphasizes the importance of being adaptable, stating that the role of the media buyer is evolving. Success now hinges on understanding and cooperating with AI-driven systems rather than attempting to manipulate them with outdated techniques.

"[34:07] Amy: A whole new thing. And we've seen it all the way through."
"[48:49] Amy: ...the death of the media buyer that cannot adapt."

VI. Overcoming Industry Challenges and Adapting to New Norms

Ralph and John discuss the industry's general lack of awareness regarding the Andromeda update. Many advertisers are either unaware or resistant to changing their established strategies.

"[16:51] Amy: ...the head of digital didn't even know."

John notes that without widespread discussion and education on these changes, many will lag behind, unable to harness the full potential of Meta's updated ad system. Tier 11 is positioning itself as a leader in navigating this transition, offering insights and strategies to stay ahead.

VII. Embracing an Omnichannel, Full-Funnel Approach

Beyond optimizing Meta ads, Ralph and John advocate for an omnichannel strategy where Meta serves as the primary prospecting engine. This approach integrates various platforms like Google, email, and organic channels to create a cohesive and efficient marketing funnel.

"[47:27] Amy: ...the algorithm and the campaigns have to understand like who you're going to target like when you first start."

They highlight that Meta's advanced targeting capabilities can significantly enhance the efficiency of the entire funnel, from initial prospecting to customer retention.

VIII. Conclusion and Future Outlook

Ralph concludes by reiterating the necessity of adapting to Meta's Andromeda update. He encourages listeners to embrace the future of media buying by diversifying ad content and leveraging AI to optimize performance.

"[50:09] Ralph Burns: ...Do not live in the past, ladies and gentlemen. Live in today and with an eye towards the future."

John echoes this sentiment, emphasizing continuous learning and adaptation as critical for sustained success in the evolving digital advertising landscape.

Key Takeaways

1. Meta Andromeda Update: A significant AI-driven enhancement to Meta's ad algorithm, requiring new advertising strategies.
2. Content Diversification: Moving beyond UGC to include various ad types (e.g., "Us vs. Them," "Product Features") is essential for leveraging Meta's AI effectively.
3. Improved Performance: Diversified ad content leads to more stable ad spend, reduced CPAs, and increased new customer acquisition.
4. Evolving Role of Media Buyers: Success now depends on understanding and collaborating with AI systems rather than using traditional media buying techniques.
5. Omnichannel Strategy: Integrating Meta with other platforms forms a cohesive and efficient marketing funnel, maximizing overall performance.
6. Industry Adaptation: Early adopters like Tier 11 are leading the way, while many in the industry remain unaware or resistant to these changes.

Notable Quotes

• "This is the biggest change I've seen in Meta since I've been doing Meta ads." — Ralph Burns [00:00]
• "Meta did this extremely quietly. And I spoke...they're like, what's Andromeda?" — John Moran [12:52]
• "If you don't believe us please just sign off this YouTube live like it's we're not for you." — John Moran [35:59]
• "Do not live in the past, ladies and gentlemen. Live in today and with an eye towards the future." — Ralph Burns [50:09]

Conclusion

This episode of Perpetual Traffic provides a comprehensive overview of Meta's Andromeda update and its profound implications for digital advertising. By embracing content diversification and adapting to AI-driven ad targeting, advertisers can unlock significant performance improvements and scale their campaigns more effectively. Ralph Burns and John Moran offer valuable insights and actionable strategies, positioning listeners to navigate and thrive in this new advertising paradigm.