A few days ago, Facebook announced the launch of their new advertising unit, Dynamic Product Ads, to help businesses promote their products or even entire product catalog to shoppers across any device. With Product Ads, business owners can dynamically showcase more products in a single advert, while Facebook users can discover the most relevant products, both on mobile and desktop devices. Here is what you need to know about Facebook’s new Dynamic Product Ads:
How Are Product Ads Different to Other Facebook Ads?
The new advertising unit is different from other Facebook ad units in many ways. Below are some of them:
Promote Single or Multiple Products:
Facebook Dynamic Product Ads can be displayed either in a single ad or multi-product ad unit: a set of three or five products. Each product in the ad unit is fully customizable and has its own ID, name, image, description, landing page URL, statistics, and so on. A single ad unit contains only one product while a multi product ad unit features a dynamic carousel that scrolls a set of three or five products from left to right.
Advertise Entire Product Catalog:
The new Product Ads let advertisers upload their entire product catalog or feed, a list of products you wish to promote on Facebook, to populate ads. Once you upload a product catalog, Facebook automatically starts generating ads and showing them to best target audience. You can also create custom audiences for specific products within your catalog. This way, Product Ads saves you the trouble of guesswork in advertising.
Create a Dynamic Ad Template:
Setting up a dynamic product ad template, you can save a huge amount of time that you spend configuring each ad individually. You just need to give your ads a title and use relevant keywords. Facebook’s dynamic template, which works for both single ad and multi-product ads, would then dynamically pull product images, names, pricing etc. from your catalog and deliver ads on any device.
Improved Custom Audience Pixel:
Dynamic Product Ads use the same Custom Audience Pixel, which you used to create to target users who have previously visited any page or specific pages on your site, with additional requirements. You don’t have to learn nothing new except three required tracking events: content being viewed, products added to cart and purchases made.
A very lucrative feature of Product Ads is the ability to re-target products on multiple devices. Means, Advertisers can target the same audience again regardless of which device visitors used to interact with your site at the first time. As Ads are triggered after a user visit a product on your site or mobile app, they are already optimized for cross-device re-targeting.
Require a Business Manager Account:
Facebook Business Manager is a professional tool that helps you manage your ad accounts, apps, pages and user permissions. To get started with Product Ads, you’ll need a Business Manager Account where you could set up and manage your product catalogs and feeds. If you wish to use Business Manager, you can sign up here.
Let Advertisers Leverage Proprietary Data:
Until now, advertisers were able to run dynamic ads only on desktop through DSPs that were not allowed to use Facebook’s proprietary user information in targeting users. Thanks to Dynamic Product Ads! Advertisers will now have the ability to use Facebook’s proprietary data in targeting appropriate audiences on mobile as well.
Show Only Highly Relevant Product Ads:
Relevance and Timeliness are two main characteristics of Facebook dynamic product ads. In order to increase the likelihood of sales, Product Ads display super relevant ads to people according to the keywords they use to browse products on your site or app. Strictly speaking; Product Ads are designed to serve right product ads to the right people on the right time.
Automatically Turn Off Out of Stock Items:
By only showing products that are available in stock and at the latest price, Product Ads keep your business up to date. Also, they automatically turn off showing ads to shoppers for a product which they have already purchased from your site. Thus, Product ads create a never seen before like ad experience.
Set them up once, and you’re good to go:
With Product Ads, you need to set up your campaigns only once with Design Recommendations in mind and Facebook will continually display right product to right people at the right time. Also, you can customize your campaigns anytime throughout the customer journey.
How Can They Help You Grow Your Business?
Having advanced targeting methods and being dynamically optimized, Product Ads can help you:
Generate More Website Traffic:
Product Ads send a huge amount of relevant social traffic, which is relatively cheaper than other mediums, to your site. You can drive high-quality traffic to your site at one-half or one-third of the typical cost, according to some advertisers who are running dynamic product ads.
Reach the Right Audience:
With various targeting options, such as Lookalike Audiences and Custom Audiences, advertisers can now reach more relevant audience. The improved Custom Audience Pixel let advertisers automatically reach people who have previously visited your app or website. As well, advertisers can curate Product Ads as they see fit.
Improve Website’s Conversion Rate:
You would not believe but Product Ads can double or triple your website’s conversion rate over a very short span of time. As every image has its unique web address, more traffic is derived to different pages of your site which leads to better conversion rates.
Highlight More Aspects of Your Business:
Products Ads provide you a highly creative, extremely engaging and visually rich way to introduce most interesting aspects of your business to potential customers. You can now show more products, promotions and services in a single advert. The more options you give to your customers, the more reasons they would have to click.
Find New Customers:
The new advertising unit not only lets you re-market products to existing customers but also introduces them naturally to new customers. Being so attractive and attention-grabbing, Product Ads show their true magic when it comes to target new customers.
Are They Similar to Google’s Shopping Ads?
Yes! Product Ads (PAs) are quite similar to Google’s Shopping Ads, which were previously known as Product Listing Ads (PLAs), except some minor differences. Both Facebook PAs and Google PLAs are feed driven, have the ability to retarget a consumer across devices and serve only accurate data of available products to a user, but still Facebook seems to steal ad dollars away from Google due to having better control over ad display on both desktop and mobile devices. Let’s see, how?
Google owns showing product ads in search results outside of Facebook; on the other hand, Facebook owns displaying them within itself – in Newsfeed and Right Hand Column – and on mobile apps. Google search has a limited ad display space and search volume while Facebook UI has much more available space to display ads and people on Facebook are active all the time. And finally, Google PLAs appear in response to the keyword search performed by people, on the contrary, Facebook PAs are triggered on the basis of customer’s history on the app or site of the advertiser.
What Kind of Response Are They Getting?
Several reputable brands including Target, Shutterfly, Jewelscent, Nomorerack and Jon Loomer have tasted Facebook Product Ads and seen strong results beyond their expectations. Let’s see what all these businesses are saying about Pas:
- According to Kristi Argyilan, Senior Vice President at Target, Target found 20% incensement in conversions when compared to previous Facebook ads.
- Shutterfly, a popular image publishing service, have seen similar results – 20%+ increase in click through rates. They also said that the multi-product ads provide their business “a clean and engaging way” to showcase a variety of products.
- Derin Oyekan, Co-Founder and CMO of Jewelscent, says that their business found 3x decrease in cost per click and a massive increase in website traffic.
- <Nomorerack, an eCommerce company, reported a 42% increase in click through rates and up to 45% decrease in its cost per acquisition.
- Jon Loomer, the King of advanced Facebook marketing, is seeing the same results. According to him, he is driving a decent amount of website traffic for an average of $.08 per click.
Needless to say, the new Facebook ad unit would have a big impact on marketers.
Where can you find them?
Product Ads are available now only via Facebook Marketing Partners, and will be available soon in Power Editor for everyone over the upcoming few weeks.