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Fb ad theory

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HOW does Facebook ad work? 

My theory is that, in terms of products such as HiSmile. Guru say it’s quite difficult to beat them as they have majority of the market and social proof. But they also say that if you have the money to gather enough data & better marketing you can beat them. When they refer to more money, is it the fact that since they have most the market, when you try to advertise and sell your product it’ll take more money to make it profitable? 

But what does this “ more money “ entail ? is it basically spending 4-5x CPP to get 1 sale and slowly get your sale count up so your pixel/ad acc will eventually be able to provide you with your ideal customers ? 

Has anyone Been able to make an unprofitable product profitable (can you share what your scenario was). And why / how you think you were able to make it profitable in terms of fb ad theory? 

(was it because you kept scrapping for sales even at a loss and eventually fb got enough data to know who your customers are and made you profitable?)



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Money in the sense of buying data for pixel optimization and the likes. 
More money is also in relation for content creation (advertisement creatives) and the likes.

Having the right branding, execution and strategy in place will allow any product to be sold via facebook or any other advertisement manager!

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