Facebook Custom Audience – Right For Your Marketing Efforts?

Hey, good morning, internet fans. It’s Ryan Perry with Simple Biz Support. It’s Wednesday morning, therefore, it is Social Media Wednesday. As usual, I have Sarah Giometti with ICT Marketing (Now Provaro Marketing) on the other side. We’ve got something pretty exciting to talk about that I don’t think many people are familiar with. But first of all, good morning, Sarah.

Sarah Giometti: Good morning, Ryan. How are you?

RP: I am doing fabulous. Normally, I would tell you about how great the Dodgers were doing but that was not the case last night. So, we’re just going to move on.

SG: Agreed.

RP: What we’re moving on to is an extension of what we were talking about last week and that had to do with the… I don’t have my notes in front of me, and I totally forgot what the heck we were talking about. What were we talking about, Sarah?

SG: Facebook custom audiences. A little bit more advanced version of it.

RP: There we go. Here we go. Here is my notes. Sorry about that. Yeah, I thought I knew what we were talking about. For those of you that saw the broadcast last week, we talked about the custom audience. But we really focused on just kind of, what it is, how to use it in a simplistic way. Especially if you are service-based, how you might use that. This week, we wanted to save the time and actually go into business owners that actually have a product because it’s pretty cool. By embedding what they call a Pixel into your websites, you can actually track a lot of different information and that will tell your ad on Facebook what to do.

Like last week, we talked about the fact that you could import a database of people you knew, and you could just target them randomly. This is really cool and I’m going to let Sarah explain it in more detail. What we talked about last week about uploading the database, yes they are your customers, but it’s still kind of shotgun approach. What if you could actually narrow it down to the actual items that we’re looking for on your shop and that’s why we’re going to talk about product-based business today. What if you could actually track that, and then when they’re in Facebook, your ad would pop up showing what they were actually looking at. Sarah, why don’t you go into a little bit more details? I know there’s some qualifications that you have to actually be logged into Facebook while you’re shopping and… So, why don’t you give us a broad overview?

SG: Right. So, you do have to be logged in your Facebook account in order for this to work. Or the customer needs to logged into their Facebook account, you don’t need to. And what you do to it… When you create a custom audience, you get a Pixel which is a little bit of code that you put on your website, and they recommend you put it in the header of your website, so it’s on every single page of your website. And then, you go back into Facebook and you create ads that target that audience.

You’re targeting the people that have visited your website. And if that person’s logged into Facebook at the time that they visited your website and looked products, it activates that Pixel, and then delivers the ads to them the next time they log into Facebook. And you can choose to have them live in this custom audience, anywhere from 30 to 180 days. So, if you’ve ever gone shopping and you’ve looked at a pair of shoes, a piece of jewelry, and the next time you’re on Facebook, it’s suddenly all over your newsfeed, that’s exactly what they’ve been using. And the amount of time that ad is displayed to you is chosen in the ad platform by the advertiser.

Once you have the Pixel on there, you go create different ads and you can choose… You got a variety of options in here. You can choose to do, track website conversions. So, if somebody bought something, then you deliver ads to them because they’re more likely to buy again. You can also just track them on any webpage or on certain webpages. So, if you’ve got a special going on a particular product, you can choose to track just people who travel to that website or that particular page on your website and deliver the ads to them the next time they are on Facebook. So, it’s a really, really powerful way to re-target your audience that is already… The traffic that’s already coming into your website, you re-target them on another platform on Facebook.

RP: Right. And so, now we’re taking, from a marketing point of view. We’re taking a shotgun approach or really starting to narrow it down. Because anytime you talk about marketing, as a business owner, I want to talk about everything. But as a consumer, I only want to talk about what I’m interested in. So, we always talk about having a very narrow focus of what it is that you’re talking about. So, by having this Pixel which is a piece of code on your website, and then let’s say I’m a consumer and I log in to your website and you’re selling shoes and I look at a boot. And because I was logged in to Facebook and you have this code that’s linked to Facebook through their advertising, when I go back into Facebook, there is a high probability that I’m going to see an ad from you for that boot. So, that’s very, very targeted. Very, very cool…

But maybe you only want to target women looking for men’s product because it could be… Specially with the holidays coming up, those type of things. And the way you advertise to women, the pictures you use, the words, the message is going to be uniquely different than if you’re going to target men as an example. So my understanding is, with this ad platform, not only can we say, “Hey, you looked at this product but I only want to show the ad to women because we have this huge list within Facebook advertising of criteria that we can create.” So can you go into that a little bit more?

SG: Correct. So you still would create the ads the same way you create any other Facebook ad. You’re just utilizing the traffic that’s coming from your website and so you’re right, you can choose to only target women or men, you can determine the geographic location if that matters, their age, any other of the qualifiers that we’ve got over on past broadcast that teach you how to create Facebook ads. So those work the same and you could do A/B testing. So you could do, show an ad only to women who have looked at those products, you can do a second ad that’s only men who looked at that product, and see which one converts better ’cause then that tells you where to focus your effort and you can even further narrow down the targeting that if you’re selling men’s products and the ad that you’re targeting to women performs 10 times, 50 times better then you just stop the men’s one. Why spend your money on that if it’s barely converting and you just focus all your time and energy onto the women especially with the holidays coming up. You really want to be creative and think outside the box in order to up your online sales.

SG: You’re mute.

RP: Sorry about that. I have a lot of street noise so a lot of times in order for the picture not to flip back and forth, I mute my microphone. So we can do very targeted ads, which is very cool. Now, let me ask you advertising on Facebook, very simple, you just need to have a business account. Yeah, you have to have your personal then you have to have a business. What about this code? Do I have to hire a programmer to install this code? Is it just copy and paste?

SG: It is copy and paste, but you do need to be familiar with your code. You need to know how to put it into the proper section of your website. So it depends on how comfortable you are with that. Obviously, I’m not a web developer but I’m very comfortable in web code so I am able to place it on a website with no problem. However, my sister who owns a bar, I would never hand it to her and say, “Hey, put it on your website.” I wish that I’d take care of her website for her, but that’s not her level of expertise. So, I have a bunch of clients where I would never hand it to them. So it really depends on how comfortable you are playing in a code of your website. I would highly recommend if you’d barely do anything, you never touched it, you don’t know how to recode at all or barely, I would highly recommend having your web person put it in. It’ll take them less than five minutes to add the code, so it’s a really easy thing for them to do, that way you guarantee you’re not messing up your website in any way.

RP: Alright, okay. Perfect. And then the other part is going to be the cost because this is a… In Facebook you have different types of ads that you can run. This is more expensive, less expensive. Is it per click? Per view? What are some of the details there?

SG: I was needed. It works the exact same way and so, it’s the same cost. The cost is determined by who you’re targeting and so they do recommend you do the CPM, so cost per thousand, not per click because that way you get, you have a better chance of conversion and then once the customer, audience builds up to a big enough number, you switch over to optimize cost per thousand. But the cost per ad, it runs the same as any of the others. So it really depends on who you’re trying to target. So if your audience ends up being a really highly targeted audience, this can be more expensive. If you’re going after somebody who’s almost no biggie goes after it then you’re going to spend a lot less money. But it’s not more money just because you’re using this Pixel and this other format, that doesn’t make it more expensive. It’s really who you’re still trying to target in the end.

RP: Okay, so it just boils down to a supply and demand type of situation ’cause I don’t know a lot of people don’t realize that when you’re on Facebook or even if you’re in Google and you’re looking at pay per click advertising or any of the other types, the screen that you’re looking at, that’s real estate. So you have limited real estate in order to place these ads and obviously, companies like Google, like Facebook, and even Twitter now, they want to maximize that real estate and get as much money out of it as possible. So ads that are performing well, especially on Google they always will promote ads that perform well, but ultimately if, you’ve got 20 people that want to fit into a space that only three could fit in, that’s a supply and demand.

SG: Absolutely. And, I see that all the time when we do A/B testing. I’ll have one ad that will blow the other one out of the water. It just doesn’t convert so that Facebook stops feeding it as often because it’s not doing as well, and that’s the biggest reason why you do A/B testing and you run multiple ads and you narrow down to, and Tweet to find out what works and what doesn’t. And the ads do tend to change every time you refresh your screen because there are so many people trying to advertise. Facebook, they’re walking this fine line of being it is real estate they want to make money and serve as much as they can, but also not serve too much to irritate the end user because then they’re going to lose their readership and then all of it just falls apart. So, they can only put so many within the body of the newsfeed, and then the ones on the right side ads, and then the third option is when people are on mobile, feeds differently than the other two. So, they really have to be careful and it’s still competition, but it’s still the cheapest around. Facebook is still cheaper than Google. It’s cheaper than any traditional advertising you can do. You can’t beat it for the cost per thousand people that you reach.

RP: Right. And the fact that you can really target and segment your audience which is, is the part that I think is really cool. And I like the fact, I’m always a big fan of A/B testing, but how cool would it be to A/B test people with an iPhone versus people without an iPhone, depending on what your product is. But the reality is that people that buy an iPhone typically think, they have a tendency of thinking in a different way than somebody who buys a Droid as an example. Just like somebody who is part of the NRA is going to think differently than somebody who supports the National Animal Rights Foundation. And therefore, again, it always goes back to your message. That message is going to be uniquely different for this group versus this group. And being able to optimize and test and retest to maximize the return on investment is really important, and I just said return on investment. There is that ROI that a lot of businesses are looking for. With advertising into a funnel, you put X number of dollars in the top, now you can actually quantify how much money is coming out of the bottom. It’s a very, very powerful tool for a lot of business owners.

SG: It is. It’s really powerful. And for, like as I said, not a lot of money, you can really see what you’re money is doing. ‘Cause the other types of advertising on Facebook aren’t quite as ROI generating, but by building an audience you still see you’re building a community, you can still quantify the community and the engagement. But this takes in another level where you can quantify them, not only the engagement you’re going to have on Facebook, but you’re now connecting them to the traffic on your website and you can see that it’s really working for you. And if it’s not quite working, then it just tells you you need to tweak it, not quit it. Because it does take time. It takes time and effort just like any other part of business. It takes time and effort to get it right and to get it to work properly for you. You need to have the right amount of audience, the right size of audience, the right message, and tracking the right stuff on your website. And so, if it’s not working quite as well as you want it to, that’s a sign of you need to tweak it and give it more time, not go, “Oh, well, it doesn’t work and I’m going to quit after 30 days.” because you need to give… It takes time.

RP: Right. Yeah. Just like anything, you start off with a good plan and then you have to work that plan and work that plan until you fine tune it into a well oiled machine. On that note though, it is 10:00 so we need to wrap this up. For people that are interested, can they just go to facebook.com/ads or do you know what the URL is?

SG: Yeah, facebook.com/ads takes you to ad platform, and then on the left hand side, you can go to custom audiences and that will walk you through creating that Pixel code for your website and creating the ads from there.

RP: Okay, perfect. And if they’re trying to find you on Facebook, ICT Marketing you, how would they do that?

SG: They would go to facebook.com/ICTmarketing I believe. I never seem to remember my own page.

RP: It’s like remembering a new phone number. I don’t know my phone number ’cause I…

SG: Well, our website has a hyphen in it. I think our Twitter has an underscore in it. So, Facebook does not, so it is just ICTmarketing, all one word. And so you can find me there, find me on the website.

RP: If you’re looking for me, mine’s a little complicated also because it’s Simp, S-I-M-P biz support. I wasn’t able to do the whole simple, so I went simpbizsupport. So, totally understand. Sarah, as always, I appreciate your time. That’s going to wrap it up for today, and I hope you have a great day.

SG: Thanks, Ryan. You, too.

RP: Alright. Take care. Bye.


About the Author:

Ryan Perry is the founder and CEO of Simple Biz Support, Inc. Ryan started video blogging in 2009 as an alternative to written blogs to create visibility and credibility online. During the workweek, he enjoys helping small business owners harness the power of video to grow their companies. On the weekends, he enjoys hiking and searching out waterfalls throughout the state of California.

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