What is a Lookalike Audience on Facebook
Facebook paid marketing can be extremely lucrative, however becoming a master can be hard. One of the key factors to running paid Ads on Facebook is Lookalike audience. Now I know you’re asking what is a Lookalike Audience on Facebook and why do I need to know? A lookalike audience lets you target new users that share similar characteristics to your existing customers, which is a great way to reach out to new customers.
Lookalike audiences are created by taking a previously selected Custom Audience as their source. In order to identify your lookalike audience, our system leverages demographic, interest, and behavioral characteristics from your source audience. By using lookalike audiences, you can reach out to people who are similar to (or “look like”) your existing customers.
You can choose how closely your new audience should match your original audience. Using a percent range when you create your lookalike audience. Size your lookalike audience according to your goals. A smaller percentage matches the source audience more closely, but a higher percentage creates a broader, more diverse group of people. In order to create an ad with a lookalike audience you will need to tracking pixel from Facebook. Tracking pixels allow ad managers to learn who their ideal audience for their products.
Imagine knowing where your ideal customer base is, and knowing how to reach them. By understanding how to use a tracking pixel and building your audience you can maximize your growth. It is very important to learn these toe factors if you plan to run paid ads on facebook.
Lookalike audiences are designed to identify certain traits that are common among your Facebook page visitors, based on your website traffic. Demographics may have something to do with it. Psychographics might have something to do with it. Among other things, interests, age, and location might be factors. It is all about identifying a commonality within a group of people in your customer database and then finding it in other groups. It is, indeed, an incredibly powerful technology for a successful digital marketing campaign.
Facebook Lookalike audiences are specifically designed for marketers. And you might be interested in them because you have an audience of current customers you are advertising to. So you might seek out similar audiences to advertise to. Facebook’s Algorithm will find what’s common with your audience. This will allow your to gain access to more information on what they like and want. In addition marketers can give the best product by having this information.
Creating a lookalike Audience on Facebook
Based on source audiences, Lookalike Audiences are formed. Customer Information can be used to create a source audience (also known as a seed audience). An example is a list of newsletter subscribers or customer files all can be used to create the ideal audience.
Website Visitors. To create a custom audience based on website visitors, you need to have Facebook pixel installed. With pixel, you create an audience of people who have visited your website, looked at a product page, completed a purchase, etc.App activity. With active Facebook SDK event tracking, app administrators can collect data on the people who have installed your app.
Engagement. A Facebook or Instagram engagement audience is made up of people who have engaged with your content. Engaging activities include: a video, lead form, canvas and collection, Social Media pages, Instagram business profiles, and offline events. It is possible to create a list of people who interacted with your business offline, by phone, or in some other way. You can use multiple Lookalike Audiences simultaneously in one campaign. Lookalike Audiences are paired with other ad targeting parameters, such as age and gender, as well as interests and behaviors.
Why Learn How to use Lookalike Audience?
Lookalike audiences are the best way to reach the people most likely to buy from you. In addition to demographic targeting and interest-based targeting, they go much further. Furthermore, they help you eliminate the false assumptions you’ve made about your audience and your customers. Looking at look-alike audiences can be a great way to figure out which audience is most similar to those who buy from you.
Using similar audiences is beneficial when you’re expanding your business, since you can target same-looking people in different markets using the customer data you already have. You can get a really good start with a lookalike audience, though it may not be perfect. Both Facebook and Google are reluctant to disclose how their platforms actually create lookalike audiences, but advertising experts have made some assumptions about factors they consider:
- Comments, likes, and sharing: general behavior
- Page likes, demographics, and interests
- Service purchases and ad clicks
- Activities in groups
- Data pixels
The success of similar audiences can be attributed to them. The targeting of these people has been shown to increase engagement with your brand. They also offer better click-through rates than other targeting methods 90% of the time.
Types of Custom Audiences
Custom Audiences from customer lists
Customer lists offer a way for you to let Facebook know about existing relationships you have with customers. This cannot be mapped through Facebook engagement or the Facebook pixel.
For example, you might have a list of newsletter subscribers or past customers. These are people who have clearly expressed an interest in your business, but Facebook has no way to identify them unless you upload a list. When you upload the information, Facebook uses a process called “hashing” to keep specific customer data private while still allowing it to find matches with Facebook user profiles.
Keep in mind that you can only upload data from customers who have given you permission to market to them. You can’t use a purchased customer list, for example, or data you’ve gathered from other websites—and if someone opts out of your email list, you need to remove them from your Custom Audience, too.
You should also know that customers can see which companies have uploaded customer lists that include their information. If you want to check which advertisers have uploaded lists that include you, log into your Facebook account and click Settings. Then click Ads in the left column, and select Advertisers you’ve interacted with.
Custom Audiences from your website
Once you install the Facebook pixel on your website, Facebook can match your website visitors to their Facebook profiles.
You can use this information to create Custom Audiences that target all website visitors, or to remarket to people who have visited a specific product page or product category. You set the timeframe for how far back you want to go, so you can choose to target only your most recent website visitors, or people who visited up to six months ago.
If you haven’t installed the Facebook pixel yet, you’re missing out on this rich source of data. Check out our full guide to using the Facebook pixel to get it set up on your site.
Custom Audiences from your mobile app
(If this sounds like Greek to you, talk to your developer and ask them to help you with these preliminary steps.)
This type of Custom Audience can be a great basis for app engagement campaigns. Since you can target people who have downloaded your app but may not be using it yet. People who have made in-app purchases, or people who have achieved a certain level in your game.
Engagement Custom Audiences
An engagement Custom Audience allows you to target people who have already interacted with your brand on Facebook or Instagram.
Custom Audiences: How to use them
The Custom Audiences are easy to use once you’ve set them up.
- Click Create Ad in the Facebook Ad Manager.
- Set up your ad by following the steps. Learn how to advertise on Facebook with our complete guide to Facebook ads.
- Choose a Custom Audience for your ad.
- Make sure you target the right audience. You should exclude existing customers from your Custom Audience targeting if you are running a campaign that offers a discount to new customers.
- You’re ready to go once you’ve set your budget and timeline.
There is more to Facebook Custom Audiences than the technical side. Facebook Custom Audiences should also be used strategically.