In this blog post we’ll cover what Facebook Dynamic Ads are, how to set them up, and how to run profitable retargeting campaigns through Paid Social.
What is Dynamic Retargeting? Let’s call it DR for short
Do you ever visit a website and browse a few products and decide not to purchase? You then visit Instagram or Facebook and get hit with and advertisement for those exact same products.
That’s what Facebook Dynamic Ads are. There’s an emphasis on the word dynamic here. Meaning it isn’t the same ad for everyone, it changes from person to person based on what products they have shown an interest in.
And when we say ‘shown interest’ this is up to you to decide what you deem as interest. Maybe it’s if they have simply looked at the product, or maybe it’s if they have added the item to their basket. We’ll cover audience creation further in this blog post but for now there’s a quick explanation of what DR is.
How To Set Up Facebook Dynamic Ads
This step can differ depending on what platform you have created your website on. If your site is built on Shopify, Magento or WordPress there are plugins that can help with the set up.
Once you’ve installed the plugin you’ll need to link it to your Facebook Catalogue. If you need help setting this up here’s a tutorial from Facebook. And you’ll also need to have a pixel set up to track users in order for the DR to work. Again if you need help on how to install the pixel just click here
Running Profitable Facebook Dynamic Ads
To get started with your DR campaign first you need to select the Catalogue Sales Objective. Then at the ad set level you’ll need to select the product set that you want to advertise.
You will have the option to advertise all products inside one ad set but there are some drawbacks to this.
Let’s say that you have a store that sells products in different niches e.g. cars, motorbikes, motorhomes.
You may want the wording to change on each ad depending on what type of products are being advertised.
To do this you’ll need to create custom product sets and label them accordingly. Then you’ll have all motorbike products in the Motorbike product set, car items in the Car products set etc. Now you can create separate ad sets for that specific type of product. This allows you to tailor your messaging to be more product specific.
Choosing Your Audience
Once you are tracking your users and have the catalogue set up, you just need to choose who you would like to target. The setup that we recommend is to have separate ad sets in a Campaign Budget Optimisation (CBO) campaign with different audiences per ad set.
The reason we put them in a CBO campaign is because the budget is set at campaign level not ad set level. This means that the machine will learn over time and start to put money behind the top performing campaigns for you.
So go ahead and create a Catalogue Sales campaign with CBO enabled. Create around 5 different ad sets and trial different audiences within them e.g. Added to cart 30 days, Initiate checkout 30 days, View Content 90 days etc.
Let this CBO run for a week or so and you’ll slowly start to see which audiences are working for you and which ones aren’t. At this point you can either carry on with the campaign or pull winning audiences out and duplicate them into their own new CBO.