Lookalike targeting using the Facebook Pixel
Creating lookalike audiences and retargeting marketing is backed up by various research studies that confirm the usefulness of these tools. According to Baymard Institute’s research about the e-commerce shopping cart abandonment, 69.57% of the average documented online shoppers abandon their carts before or during the purchase process.
The Facebook Pixel can be explained as a piece of code placed on the backend of a website. It is recognized as one of the most powerful tools in digital advertising because of its many useful capabilities. This small code collects website data that helps businesses to track conversions, optimize ads, and re-market potential customers who have already taken some type of action on the website such as visiting various pages or taking steps to buy a product or service. Moreover, the pixel strategy can help businesses to build a lookalike audience of potential customers who have similar preferences, interests, and learn more about the demographics of people who interacted with the website.
The Pixel Strategy is designed to track conversions from the ads, to identify how many people converted, the cost for each conversion as well as the total spend. Moreover, the Facebook pixel is going to automatically improve ads and show them to more people that are likely to convert such as potential customers making a purchase or an inquiry on a website.
In fewer words, the Facebook pixel will manage to identify more customers like the ones that already completed a conversion or show retargeting ads to potential customers and remind them to return and complete their purchase. The pixel strategy can be used to track events like add payment info, add to cart, contact, signing up for an email subscription, initiate checkout, search or view content and much more. Facebook not only tracks these events but uses the segmentation tool to find users similar to those that perform these actions. Therefore, for marketers, Facebook pixel is an extremely powerful tool to identify high-converting users. As I mentioned in my previous post, the studies have shown that it’s much cheaper to re-target a customer than to acquire a new one, therefore, marketers will use retargeting campaigns as often as they can.