Facebook ads in e-commerce

Facebook Ads are a valuable tool for advertising. While Facebook has become a traditional advertising and marketing channel for retailers, its development as an e-commerce platform is still at an early stage. But companies are testing new ways to get people to shop directly through Facebook.

Why do e-commerce companies place ads on Facebook? #

Facebook is one of the best platforms for placing ads for e-commerce stores, and there are three key reasons for that.

  • Ad quality: Facebook has a massive database of high quality that will help companies target their customers in the best way.
  • Ad reach: Facebook has almost 3 billion active users per month, and so many people in one place allow companies to increase revenue.
  • Ad price: Facebook advertising is still relatively cheap compared to many other platforms allowing advertisements for profit.

The biggest use of Facebook in e-commerce so far has been to redirect traffic to their websites through ads or by posting offers or new products on Facebook. Retailers have also posted a “Like” Facebook button on their websites as a quick way for users to automatically like a post on Facebook.

Today, Facebook allows companies to sell products directly on the platform, so consumers do not have to click on a third-party site to buy the product. Reports and studies nowadays say that Facebook is more suitable for small retailers, while it has smaller value for larger e-commerce companies.

The importance of Facebook Pixel  #

Facebook Pixel is a piece of HTML code placed on a website. It collects data that helps the company track conversions on Facebook ads, optimizes ads, builds a target audience, and re-advertises to people who have already taken some action on the website.

Although paid advertising on Facebook is not free, installing Facebook Pixel is entirely free. 

Facebook allows running extensive campaigns without the need for a Facebook Pixel. But by installing Facebook Pixel, the platform can continue to track the behavior of those users and give the company a better insight into their path to conversion or identify why they didn’t convert.

Facebook ads are a fantastic tool for e-commerce companies when done correctly. Once the Facebook Pixel is installed, the company can understand the best targeting audience and make suitable ads for that audience.

8 Facebook e-commerce ads tips for online retailers #

  • Companies should use the Facebook ad library to look at the best creative ideas from their competitors.
  • Companies should combine different ads within the same carousel, including videos, product images, and statements.
  • Video ads are on-trend. Companies need to use video ads that present the product correctly.
  • Companies should run a re-advertising campaign for people who have left the shopping cart or viewed products on your site but have not purchased anything.
  • Exclude recent customers. E-commerce companies should use Facebook’s Audience Exclusion feature to prevent the ads from showing to people who have already purchased from them in the last 30 days.
  • Companies should test new ad types. Facebook is constantly introducing new ways to display ads, and they can “unlock” powerful features and outperform other types of ads.
  • Companies should closely monitor ad performance and pay attention to ad reach and frequency metrics.
  • The Call to Action (CTA) should be clear and show the next step for customers.

Do you want to learn more about e-commerce? Continue reading about → PPC in e-commerce.

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