I know what you might be thinking. Who has time to worry about Facebook dynamic ads? Consumers don’t even go to Facebook to shop anyway. They go there to stay in touch with friends and share cat videos.
Hang on right there, because that’s where clarification is needed. The best e-commerce pros always have an ear to opportunity—and Facebook dynamic ads is one of them. Here’s why.
1. Just because consumers don’t intend to shop on Facebook doesn’t mean they won’t.
No one types a product name into Facebook’s search bar hoping to find retailers that sell that item. Like most social networks, Facebook lacks consumer intent. But that doesn’t mean consumers won’t shop at all on Facebook.
If a consumer looks at a product several times over the past day, and they’re ready to buy it, and you show that consumer an ad for that product in their Facebook feed, there’s a good chance they’ll pull the trigger.
Our testing of Facebook ads has shown that when users display this high-intent behavior, they are up to four times more likely to convert than an average visitor. The key is being highly relevant—and more relevant than your competition.
2. Facebook is the most mature advertising platform of all major social media channels.
Little known fact: Facebook has been running advertisements since its inception in 2004. The company’s advertising operations have come a long way since then. Facebook’s ad revenue reached $16.9 billion in Q4 2018 – an increase of 32% from the prior year. For context, Twitter’s Q4 2018 ad revenue was $791 million, up 33% year over year.
Facebook’s dynamic ads have also been available longer than other social networks’ direct response units, and they’re specifically built for e-commerce. YouTube introduced product ads in May 2015. A month later, Pinterest introduced buyable Pins and Instagram rolled out its “Shop Now” button. Then Twitter broadly rolled out its “Buy Now” button in September 2015. Facebook, on the other hand, introduced dynamic ads in February 2015.
Facebook’s size and scale gives it a major advantage over other social networks that offer direct response advertising. The company’s ad operations have grown exponentially over the last few years—and still have a lot of headroom.
3. Facebook has a large and growing mobile user base that retailers need to retarget.
When consumers don’t buy on your e-commerce site, you have to get back in front of them. Increasingly, the mobile channel — specifically Facebook’s mobile app — has the audience needed to do that.
According to eMarketer, consumers spent, on average, 3 hours, 35 minutes per day on their smartphones in 2018. Consumers are in an app over 90% of the time as opposed to a browser. Among the most downloaded apps? Messenger and Facebook. Mobile monthly active users on Facebook totaled 1.74 billion in September 2018.
That’s a tremendous audience to leverage, and advertisers are recognizing its value. Mobile ad sales drove 93% of total ad revenue in Q4 2018, up from 89% the prior year. Facebook is the third most visited site after Google and YouTube. Instagram, the Facebook-owned social platform, is the 15th most visited site.
What Does This All Mean for E-Commerce Pros?
Facebook has the wherewithal to continue investing heavily in the technology needed to reach consumers with targeted, relevant ads. At the same time, advertisers continue to show they have strong and growing confidence in Facebook’s ad platform.
Dynamic ads are an opportunity to start claiming share of a channel that has become a major part of every e-commerce pro’s marketing efforts. This is the time for implementation— the time to experiment, determine best practices, and create the best strategy for your business’s needs.