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Facebook Ads for Retail: What Are Dynamic Ads and Why Use Them?

Facebook has long been a mainstay for social networking. More than two-thirds of U.S. adults use the platform while usership in every demographic group continues to grow. Its reach isn’t limited to the U.S., either. According to Facebook, there were 2.32 billion monthly active users in the channel at the end of 2018.

Numbers like these show how immense Facebook’s advertising opportunity is for retailers. Over 30% of the world’s population uses Facebook each month. Still, the question remains: How can retailers tap into this bustling online community?

Dynamic ads retarget past visitors to a retailer’s website or app with data-driven promotions of their brand or products.

One way is with dynamic ads. Dynamic ads retarget past visitors to a retailer’s website or app with data-driven ads promoting their brand or products. Data collected from a Facebook pixel on the retailer’s website track traffic and conversions at the product level.

Dynamic ads tie pixel data to the feed. This makes previously viewed or purchased products automatically display within dynamic ads. As a result, Facebook users receive a personalized experience intended to make them reconsider a brand and its products.

Dynamic ads are a powerful remarketing tool when used for the right objectives. In this article, learn more about the different kinds of dynamic ads and when to use each on Facebook and Instagram.

Types of Dynamic Ads

Dynamic ads are a great way to nurture past visitors and drive conversions. But how many types are there and what role does each play in a retailer’s marketing mix?

There are three types of dynamic ads: single image ads, carousel ads, and collection ads. Each fulfills different objectives and appears in different placements across Facebook and Instagram. View the chart below and find out more about these three types of dynamic ads.

Single Image Ads

Single image ads are a versatile format help reach many different goals. Retailers of all sizes use these ads to raise brand awareness, increase traffic and engagement, boost page likes, and drive app installs. They are one of the most used dynamic ad formats because of their versatility. Single image ads support a wide range of business objectives and place across many Facebook and Instagram applications.

Single image ads require one image per ad. This image can promote your brand, sale, or a specific product. Support your ads with text and an optional text-driven call-to-action image that encourages viewers to click and learn more. Tell your story with up to 125 characters of text. If using a call-to-action image link, headlines cap at 25 characters and descriptions at 30. You can create up to six variations of an ad with the same image.

Single image ads appear across Facebook and Instagram. Retailers can place these ads in Facebook and Instagram feeds and stories as well as Facebook Instant Articles and Facebook Marketplace. See the complete list of placements where single image ads apply above.

Carousel Ads

One of the most creative ways to engage with Facebook users is with carousel ads. A single ad can expand to display multiple images and designs. This allows retailers to promote several different products or services through the same ad. Many retailers use carousel ads to tell a longer brand story or promote a specific line of products together.

Carousel ads allow up to 10 “cards,” or images or videos, per ad. One major benefit of carousel ads is the ability to link to a landing page within each card. That allows retailers to include up to 10 landing pages and push viewers to pages featuring similar products or directly to a checkout page. Carousel ads also drive lower cost per clicks: With up to 10 cards showing per ad, retailers can increase sales while paying less.

Carousel ads are a great way to drive conversions and expand your reach across devices. Advertising multiple products within one ad increases the likelihood of converting customers. Carousel ads display across desktop, mobile, and tablet, ensuring Facebook users on any device see your ads.

Collection Ads

Collection ads are mobile-only dynamic ads that promote brand discovery and action. These ads offer an immersive viewing experience to Facebook users through mobile video and imagery. One hero image or video displays above four products and a call to action leading to more featured products. Users can click through your video and/or products to learn more. Following a click, users remain on Facebook until they take action to complete a sale on your website.

Collection ads inspire a seamless and interactive mobile shopping experience on Facebook. Facebook users can learn more about your brand or specific product in your hero image or video and see similar products showcased directly below. Users that click on collection ads enter a full-screen Instant Experience without leaving Facebook or Instagram.

Collection ads are a great way to build brand awareness, increase store traffic, and drive sales. It avoids the clutter of multi-platform experiences and keeps users moving seamlessly from discovery to checkout.

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