How to Effectively Use Facebook’s Dynamic Product Listing Ads
We know how it goes. As an advertiser, you dedicate a large portion of the overall budget to driving customers to your website. This website features carefully curated content and products in your online store, and is designed to encourage conversions. Regardless of your store setup or the items within it, there will always be a set of visitors that don’t complete a purchase while on your website. To identify and repurpose this “lost” audience, Facebook offers the Dynamic Product Listing Ads – one of the most effective ways to retarget your customers.
Facebook Retargeting and Why You Should Use it
Facebook retargeting is a form of digital advertising that aims to target website visitors that didn’t convert, or left without making a purchase. It is an effective approach since this group of consumers is already aware of and engaged with the brand, and has a higher likelihood of re-engagement. The same group has also left a digital data trail, which advertisers can leverage in order to entice visitors back to your online store and generate a completed purchase.
As an e-commerce advertiser, you can use this powerful type of advertising to reach the right audience at the right time, and serve them relevant ads, increasing the likelihood of a conversion. Facebook’s Dynamic Product Listing ads provide advertisers with digital ad automation benefits, such as greater relevance and better timing, which in turn will result in higher click-through rates, increased revenue, and lowered costs.
How to effectively use Facebook Dynamic Product Listing Ads
In order to generate maximum results from the Facebook Dynamic Product Listing ads, we recommend strategically optimizing your campaign. Based on our extensive experience with Facebook Ads, we developed the top 5 optimizations that we find most effective:
1. Define the Audience’s Stage in the Buying Cycle
Facebook offers an extensive array of targeting options. Rather than using Dynamic Product Listing ads to solely target previous website visitors, we recommend prospecting new customers, as well. Do this by separating your target audiences into three main groups: existing customers, warm leads, and cold audience (new prospects). Then, you can further refine your targeting and tailor the ads according to your audiences’ stage in the buying process.
2. Limit the Retargeting Period
Although there is no strict rule on how long you should target an audience, we recommend creating a definitive deadline. Buying urges are typically stronger at the beginning of the buying process. Additionally, if an extended period of time passes between a visitor viewing the website and being retarged with an ad, the product will become less relevant to that potential customer. We recommend retargeting visitors within 30 days from the time they visited your online store.
3. Optimize Ad Frequencies
When setting up a retargeting campaign, it is important to monitor and control the frequency of the ads being shown to a particular user. While serving a specific ad often to the same user could potentially assist with brand lift, a user seeing the same ad repeatedly will more likely result in audience fatigue. Check the frequency settings on the campaign, and aim to serve no more than seven impressions per week (1x per day).
4. Rewrite Ad Copy
When creating copy for the retargeting ads, make sure to use words and phrases that evoke excitement and emotion. For example, if a user recently viewed a sweater on your website, highlight the limited stock of the product to play to the user’s fear of missing out on the opportunity to buy. In addition, if click volume is low, update and refresh the ad copy weekly. Your audience will still be served with the same creative, but they will see new copy.
5. Don’t Manipulate Retargeting Manually
The best way to manage this type of targeting varies from campaign to campaign. However, for the most part, we recommend avoiding manual manipulation. The main purpose of this type of targeting is to drive customers back to your online store. When the system automatically optimizes the campaign, these ads tend to produce better ROAS (Return on Ad Spend) and conversion rates.
Putting it All Together
Whether this is your first touch point with Facebook Dynamic Product Listing Ads or you have experience using these ads, we recommend continuing to experiment with different targeting options and optimizations, and continually follow results to make adjustments as you go.
Dynamic Product Listing ads are always working on the back-end – and you should be, too. It is possible to set them once and let them run, but if you want your campaigns to be truly effective, we recommend keeping an eye on what works best for your business and make optimizations.