Dynamic product ads help you select the most relevant products out of your entire product catalogue. This way you can promote them better on Facebook or Instagram.
Retail shops and e-commerce businesses both have a large product range.
This means they also have a very complicated product feed. As dynamic product ads automatically select the most relevant products in your feed and show them to interested customers, they can be very useful. The product selection is not only based on the customer's’ location or interest, but it’s also possible to reach shoppers who are really considering to buy your products. For example shoppers that viewed specific products, or a particular product category on your website or application will be shown relevant products. It’s even possible to target a customer based on an abandoned shopping cart.
How do dynamic product ads work?
1. Create a product feed
Create a product feed based on your product catalogue and upload this to Facebook Business Manager.
2. Place the Facebook pixel on your website
The Facebook pixel is a must if you want to know which user has visited which product page. Install this pixel on your website, or install the Facebook SDK on your application to see who visited which product page, added it to his shopping cart or even purchased the product.
3. Create a dynamic template
Decide the look and feel of your advert via the dynamic template. Choose a product or a product category and define if it will be a single image ad or a multiple image ad (= carousel ad). Maximum 3 products are allowed to create a carousel ad.
You can dynamically add data in your adver via this template: title, product name, an image, the price,...
4. Define your targeting
Specify who can view your ad and who doesn’t:
For example, you’re able to target visitors who have viewed at least 1 product, or who have added at least 1 product to their online shopping cart during the last week. You could also exclude visitors who have purchased a product in the last 10 days. Moreover you could define the target group based on socio demographic data, interest categories or remarketing lists to make your ads even more relevant to your audience.
5. Et Voilà, all set!
Activate your dynamic product ads and start optimizing them! Another good advice: don’t forget to add the newest Facebook conversion pixel, in that way you can find out how successful your ads are.
Sounds familiar?
That’s possible. This type of ad shows a lot of similarities with Google’s dynamic remarketing ads. Google can show product ads to customers who have visited your website before. The biggest difference is that Google ads are only shown when customers are looking for your products. The customer has to use a search term that’s related to your products. If the search volume for your products is limited, then your dynamic product ads will also be shown for a limited number of times.
If you’re using Facebook dynamic product ads, than you’re able to target based on audiences that have been created via the Facebook pixel, or via interest or socio demographic targeting. This means that your dynamic product ad will be shown a lot more often, especially since you can create ads to target Facebook (newsfeed on mobile and desktop) and via Instagram
Dynamic product ads: Best Practices
- Use dynamic product ads for cross selling and upselling. Show additional products to customers that already bought something, or show something more expensive than what they’ve bought before.
- You should definitely add a price to your ad to increase your CTR. If this price is a special sales price, don’t forget to mention this in your ad.
- Don’t forget the 20% Rule! This rule has been adapted, but we would definitely recommend you to use less than 20% text.
- Only adapt your ads on moments when you don’t expect a lot of traffic, to lose as little data as possible.
- Test extensively: different ad texts, different images, single product ad versus multiple products, target group,... Carrousel ads lead to a higher CTR, but try a single product ad if you would like to show a lot of information regarding your product. Carrousel ads don’t always allow an extensive description. Only be testing thoroughly, you could detect the best practices for your sector.
Author: Edith Denys