Starling Social

Facebook has incorporated customer lifetime value into its custom audiences , thereby enabling advertisers to create lookalike audiences using that information. While the most common seed audience and lookalike is users who have purchased, seeds can be grouped by anything meaningful to the advertiser, including users who share a combination of behavior correlated with or known to be associated with high monetary value.

The things people like” and particularly the brands they follow and the publications they read are massive indicators of their demographic bandings, social class, lifestyle etc so stacking these types of interests on top of other types of targeting is massively powerful.

Video Engagement: If you're sharing video on Facebook (whether it's uploading video or hosting Facebook Live videos), you can then create engagement audiences of people based on how long they watch your video. Website Visitors: For website visitors, the obvious idea is to create a custom audience of anybody who visited your website.

Technically, you can create a Lookalike Audience with just a 100 people on the source list, but we've found you get better results with a larger list. Failing to optimize your Facebook ads is like walking up to a dart board, blind-folded, being spun around 5x and then firing away, hoping to land your target.

As you can imagine, Facebook lookalike audiences are a powerful tool when utilised to drive additional revenue; especially during key trading periods such as Christmas (and beyond). And if that wasn't enough, recent Bain & Company research shows that repeat customers are cheaper to acquire and are likely to spend more on their second, third and ongoing visits.

Uploaded custom audiences do have a downside: they are historical, not forward. You've been serving ads to a list of your company's current e-newsletter subscribers, but you want to reach similar people who haven't engaged with your business yet. Rather than creating a new audience, the Lifetime Value Custom Audience simply adds another column of data to one of your existing audiences.

Facebook leverages its massive trove of customer data to connect the dots between your target audience, helping you find highly-qualified users you previously wouldn't have been able to reach. By selecting the Purchase event as the conversion to optimize for, Facebook will crunch it's data to isolate the users in your audience who are most likely to purchase from an online store.

Once you've selected the audience on which to base your new Lookalike Audience, adjust the settings for Location and Size, then click Create Audience at the bottom right. If he is getting a lot of traffic to the podcast pages on his website, he can use that traffic to create a custom audience of people who are interested in the podcast.

To create one, head back into the 'Audiences' tab in Ads Manager. The recommended source audience size should be at least 1,000 people or more. Both new features are designed to help maximize your profit while minimizing your up-front cost, and connect you with quality customers that will prove to have a high value.

Lookalike audiences can produce strong results when your audience targeting is lacking, stale, or when you experience a campaign slump. This audience can be either created based on your CRM export or the purchase event on your Facebook Pixel (it depends on how back you want to look at the data as Facebook sets a 180-days limitation).

Lookalike is an advanced targeting option by Facebook and requires a reasonable amount of data before it becomes available and effective. Simply upload a seed audience, Facebook then finds these individuals' profiles, looks at their interests, and finds users with similar interests, behaviors, and demographics.