An advertiser's Pinterest campaign consists of three ad groups targeting different demographics. To maximize the results, the advertiser decides to let Pinterest distribute its budget across these ad groups based upon performance.Which approach should be implemented?

To let Pinterest automatically distribute a budget across multiple ad groups based on their real-time performance, an advertiser should use Campaign budget optimization (CBO). In a traditional setup, budgets are managed at the ad group level, requiring the advertiser to manually shift funds if one demographic performs better than another. With CBO: The budget is set at the campaign level rather than the ad group level. Pinterest’s algorithm continuously analyzes which ad groups (in this case, different demographics) are providing the best results relative to the campaign objective. The system dynamically shifts more of the daily budget toward the high-performing ad groups and away from underperforming ones to maximize overall efficiency.