The most successful ads on Facebook Exchange (FBX) are those that are dynamically generated based on the products or pages that online shoppers have previously viewed outside of Facebook.
That's according to a study by Kenshoo Social.
FBX is a system for targeting ads to Facebook users based on their off-Facebook browsing history, so advertisers working through the FBX real-time-bidding (RTB) system can display relevant ads to Facebook users. That means advertisers can re-market to Facebook users who have already demonstrated intent by visiting their websites and product pages.
Ads on FBX can be constructed with static images and copy or created dynamically using product feeds. Implementing dynamic, feed-based creative enables marketers to customise their messages based on the specific products that the consumer researched, so ads are more relevant.
Kenshoo found that dynamically generated FBX ads customised on users’ browsing history have click through rates (CTRs) 1.9 times higher than static uncustomised ads.
Dynamically generated ads also have conversion rates (CVRs) which are twice as high and a cost per click (CPC) which is 16 percent lower. Overall return on investment of dynamically generated ads versus static ads is 1.8 times higher ($8.10 versus $4.50), the company found after analysing a sample billions of impressions, clicks and conversions in the first half of 2013.
The sample focused on major retailers actively running SEM, Facebook Marketplace and FBX campaigns. Retailers within the sample all used multi-touch attribution models that apportion revenue and conversion value to each touchpoint in the customer journey rather than simply applying full credit to the ad or channel that generated the last click, according to the company.
The company said that advertisers need to be able to incorporate search engine data as well as website browsing data into campaigns to maximise results.
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