how does facebook retargeting ads work

Facebook Retargeting Ads Tutorial 2022 [Step-by-Step] - BEGINNERS Guide

what's up guys in this video i'm going,to show you how facebook,retargeting generates purchases of our,core sales,for less than half the cost i'm going to,show you,all of the ways in which you can,retarget people using facebook because,there's a number of ways,in this video if you haven't subscribed,already consider subscribing because i,drop,digital marketing content every single,week just like this,and you don't want to miss out,what's up everybody eric preston here,and i help realtors,and entrepreneurs level up their,businesses online with paid,advertising now in today's video we're,going to talk all about facebook,retargeting one of my favorite subjects,and one of the most interesting pieces,of online marketing today,because there's a lot of people curious,about this but they're not sure how to,actually execute,so i'm going to show you how to actually,execute this stuff and by the way,everything i teach has been either done,by myself and my team,my online course students or my agency,clients so this is coming from a good,place now i'm going to go over how,retargeting works but the first step to,retargeting generally is installing your,facebook pixel so i'm going to link to a,video here if you haven't installed your,facebook pixel,that means your website is not connected,to your ad account and you can't track,who's been your website and you can't,retarget them,so that's one thing you're going to want,to do but a pixel is not the only way,you can re-target people you can,re-target people who watch your videos,you can re-target,people who visited your instagram page,now you can re-target people based on a,list of people that you,upload into facebook there's lots of,stuff you can do and i'm going to get to,it all,in this video now remember retargeting,is all about staying,front of mind often times when you're,advertising online you're advertising to,a cold audience right so you want to,make sure,that you understand that people that see,your ads are seeing you for the first,time they don't know,anything about you and oftentimes it,takes several,times for them seeing you and your,content for them to actually,make a move on calling you becoming a,lead,making a purchase from you rarely do,people just do it on as a cold audience,so,retarding's super important to stay,front of mind and depending on what,industry you're in,retargeting is going to have different,values and benefits so,i mostly work in real estate and what,happens in real estate is there's,people that are searching for homes and,retargeting,services the purpose of you know when,they sign up on your website as a lead,and you start reaching out to them they,have no idea who you are and they may,not respond to you,but if they keep seeing your retargeting,ads whether that be listings or,market updates or lead generation,objectives like giving away free content,free pdfs all that kind of stuff,at some point they're going to start to,trust you a little more than they did,initially when they sign up on your,website as a lead so,retargeting serves the purpose similar,to how a,monthly newsletter does or an email drip,campaign it's about staying top of mind,and establishing rapport and,establishing trust because at the end of,the day people only work with you if,they know like and trust you so,retargeting is all about,getting people to know like and trust,you in a more effective way,so now let's get into how to actually do,it all right guys first things first,with retargeting how i always like to,start this subject,is by giving you a case study or example,now this is very very common for my,business just to tell you a little bit,about my business right now or my main,business anyway,is we have an online course that,services realtors,uh we are realtors ourselves and we had,success in our business by,uh generating leads online and,converting them online now we turn that,around and we actually teach realtors,how to do this for themselves because we,both have,digital marketing backgrounds so we were,able to teach it in a really effective,way now,um when we're selling our online course,we're selling it through a webinar,funnel so what we're doing is we're,running ads on facebook,and mind you for this specific course,we've spent over 50 000,in advertising um now basically how it,works is we we run ads saying hey,here's how you can generate all these,leads online yourself,right um so that's what we teach is how,to run your own online lead generation,so you don't have to pay another company,to do it for you,now obviously there's some people that,want to pay another company and don't,want to get invested in the diy stuff,but there's a part of the market that,does so,we sell a course to teach them how to,run their own google ads their own,facebook ads,and their own youtube ads okay so that's,what we focus on is,paid advertising so this is really our,bread and butter and what we do now,when we're when we're selling our course,we're running basically ads on,google on youtube on facebook and,they're all directing to a webinar now,the webinar adds a ton of value,and we talk about online marketing all,the things you need to understand and,then at the end it gives you an option,to purchase our course okay,so that's kind of a little bit about how,we're selling our course now there's a,couple different types of ads we run,the first ones are usually like to a,cold audience so there'll be something,like,we're using lookalike audiences if,you're not familiar with them i'm not,going to go into them in this video but,they're basically facebook's algorithm,using previous like leads you've,generated to find,more people who are like those leads,it's really cool now,essentially what we're doing here is,we're running cold ads to say hey do you,want to learn,how to you know generate your own leads,online hop on our webinar we're going to,teach you okay,now what happens with that is people,will watch our webinar,and a lot of times they will not,purchase at the end of the webinar so,what's important with retargeting is you,want to re-target people with something,that you know you got to think the,process through depending on your,business,is what's going to make sense for people,who've watched my webinar but didn't buy,to see well one of the biggest and best,things you can do for an online course,is,use video testimonials right as a way to,remarket to people who've watched your,webinar because they may almost be,convinced but maybe they're not fully,convinced so showing them,testimonials is a great way to get them,a little more convinced now we always,offer a 30 day money back guarantee with,our course because we want to make sure,people are,you know getting what they want out of,it but i just want to show you some,results here so,this is our kind of cold audience ad now,this is a pretty,i'm just showing you these two ad sets,as a good example because this is a,pretty standard result here so you'll,see that,with our cold audience our cost per,purchase is about,3.99 okay that's a pretty typical cost,per purchase,um now our course is um,a 997 us so that's a good return on your,investment that's a 3.3 return on ad,spend so that's pretty good,but when we factor in retargeting into,the mix our cost per purchase actually,goes way down,because we're dealing with a warm,audience who's already seen our offer,and we're retargeting to them with,testimonials so what we'll do,is we'll take student testimonials and,we'll layer them into this ad set,okay and as we get new testimonials,we'll keep putting in new testimonials,so they're fresh and there's a variety,of them to cycle through,and we're just retargeting everyone,who's watched our webinar,and what happens is our cost per,purchase goes from roughly 400 to,roughly 150,okay now these are just numbers from two,ad sets in the last little while,but those numbers are usually pretty,consistent um,so our return on ad spend gone from 3.3,to 7.04,right so you get a much better return on,your investment this is the piece a lot,of people are missing with their online,marketing they're just doing the cold,audience stuff,they're not actually retargeting people,in an effective way,so i'm going to get into how to actually,do this don't worry but in,a real estate contest context because i,know a lot of you out there will be,realtors,what you would want to do is you send,traffic to your website through google,ads,google ads generally creates a higher,quality,lead higher quality traffic because,there's some pre-meditation behind,when people go into google and they,search homes for sale in vancouver and,they click on your ad,um they've already gone through a bit of,a process right um to determine that,you know uh they might be interested in,buying or selling a home,now like i said before they're not,always gonna sign up as a lead right,away about 10,of traffic usually converts 10 to 15 if,it's good,um from google so that means like of,every 100 people you send,to your website that click on your,google ad there's 85 to 90 of them that,didn't convert into a lead so that's,where facebook retargeting is really,powerful,is when you can start retargeting that,traffic with you know more,brand awareness type ads you know more,ads for market updates for listings for,open houses for free pdfs for,some kind of offer for a custom list of,homes like,i won't get into it now but i'll have,another video i will link,i will link here that will go into,actual ads on facebook that work,in 2021 but i want to talk about just,specifically how to actually do,retargeting in this video so,um basically that's how it would work is,you're building trust and rapport and,brand awareness because as a cold,audience people aren't going to want to,work with you,they want to see you all over the,internet for a while in order to trust,you and,really come to see you as an authority,in your space so that's a really,important point to make now,let's actually get into how to do this,so,what you're going to go to is,facebook.com ads managers you'll see up,here,i have a business account so mine's,business.facebook.com ads manager,and that's when you're going to get into,this back end here of facebook now,if i go over here i'm just going to see,kind of more or less some,my dashboard for the last little while,now,what you're going to want to do when,you're we're talking about retargeting,this is a really important,point is that retargeting is all about,building,audiences okay so normally in facebook,when you go to target someone you're,you're targeting them based on their,location their age their gender their,interests their demographics,whatever with the retargeting you're,targeting and so you're creating,audiences based on those factors but,with retargeting you're creating an,audience around,people who've taken specific actions in,the past now there's two ways,to access facebook's retargeting,features okay,the simplest way is go through the ad,creation process,so say i go i want to choose a,conversion ad as my campaign,i go continue and then next when i get,into the ad set,so i can hit next down here at the,bottom uh you might not be able to see,this,but i hit next on the bottom right and,then i go into my ad set,now in the ad set when you go down to,the,audience section and you see create new,audience you can see custom audience,okay so you can just hit create new,custom audience so this is what you're,going to do instead,of targeting by location age gender,detailed targeting,you're going to go create new and you're,going to go custom audience okay,this is retargeting here this is,literally what retargeting is and,facebook,now you can choose to build an audience,a retargeting list,based on your website traffic so again,if you want to build an audience on,website traffic then you need your pixel,installed,you cannot backtrack and it cannot,scrape data from people who visited your,website in the past it's only,since the day you install your pixel now,again i have another video,uh where i have installed i'll show you,how to install a facebook pixel,you can find that on my channel if you,haven't done that already,now there's a number of other ways you,can do this you can do,a customer list so you can actually,upload,a list of people into facebook and run,ads to them now this is there's a few,things you need to know around this now,i'm actually going to link to,something i've created it's a it's a,template that you can fill out,to upload your leads into facebook okay,now,i've made that template really simple,and effective facebook's template i find,is convoluted and complicated,i've simplified it down for you so i'm,going to leave a link,to that template in the description now,what you need to understand about a,customer list is what facebook's going,to do is they're going to take a list,of people that you've uploaded and,you're going to upload it in a very,specific structured way like first name,last name,phone number country state zip code,any information you have the more,information you give facebook,the higher likelihood that they can,match your information with a facebook,user,okay if they have different emails and,you don't put in the state or the,country,it's unlikely that facebook's gonna,confidently match your list to that,person,so there's something called a match rate,so if you upload 100 people and you get,a match rate of 50,you actually only uploaded 50 people now,in order to do this you need,to make it worth it with any retargeting,you need a minimum,audience size of 100 your ad will not,run without an audience size of 100,so don't even think about retargeting if,your audience is 100 people like it's,not even worth it,you need to have thousands and thousands,of people to work with,for retargeting to be actually effective,so when you're uploading a customer list,if you have a database of like 6,000 great upload it into facebook you,might only get,3000 people matching on your list but,hey you still have a list of 3 000,people,so when you go in here to customer list,you'll see that it'll,it'll say prepare your list and then you,can go next,and you can actually upload a list and,it'll say download list template here,but again i will,link you to a better one that i use and,you can just copy that from google drive,but that's how you upload a list and,then when you go back,into the custom audiences section when,you create an ad,you can click over to custom audience,and you can find,uh your list so like we uploaded one a,little while ago called i think,um master contact list september 22nd so,like we uploaded our list now it's not,going to tell you how,big this list is it's not going to tell,you that's a new privacy thing facebook,introduced,last year where it's not going to tell,you how big the list is in the past it,used to actually say how many it is,but you can use your judgment um you,know if you choose that list,uh facebook will say estimated daily,results you know up to 208,if you increase your budget it'll say a,little bit more you can estimate,sometimes what your actual list size is,but anyways um let's go back here and,talk about a little bit of everything,else,um so that's a list and your website,there's other simple ways you can do,retargeting without,any like list without any pixel being,installed,but before i get into those i just want,to show you really quickly how you might,use the pixel so if you click on website,then what you're going to do is you're,going to select your pixel and then you,can choose a variety of options you can,do,and for most of you this is all you're,ever going to do is you're going to do,all website visitors,in the past 180 days 180 days is the,maximum amount of time,you can go back to actually retarget,people,maximum time 180 days most of you this,is all you're going to do for your,website traffic,i'm going to retarget all website,visitors in the last 180 days,if you're in e-commerce you might be,doing something like this,you might go initiate checkout in the,last 180 days,and those are going to be people on your,website now this is if you have your,pixel installed properly and these,events are triggering and working and,i'll go over that in my pixel video,um but you can run a say a 20,off you know ad to people who've,initiated checkout but haven't purchased,okay now another thing you can do is you,can exclude people,so if i was doing this i could exclude,people who've purchased,so for us we sell an online course so we,actually do do this people,i target people who've done um initiate,checkout,but haven't purchased so we do ads like,that um so you can exclude people who've,purchased in the last 180 days but,target everyone who's initiated checkout,in the last 100 days,but again i'm gonna reiterate if you,don't have a hundred,initiate checkouts at least and those,people are actively,on facebook using it or instagram your,ads not gonna run so,don't worry about doing this straight,away this kind of granular stuff what,you're generally gonna do right away is,all website visitors and just run,retargeting ads,to keep warming up your audience uh with,new content,and you should have a strategy behind,this but a lot of times at first,you're just going to put up ads that you,think are going to be relevant to your,audience,usually they're going to have a call to,action they're going to send people back,to your website,or whatever it is maybe download a free,pdf something but you don't always know,what ads are going to be the most,successful,so it's all about testing so that's how,you use the pixel,um basically you can do like you know,all website visitors in the last,you know something like that you could,do all so art leads is complete,registration then you could do,leads and initiate checkout so you can,include both of those,right or you can exclude people so,that's just something,to note now basically that's how you do,basic retargeting for,your pixel for your website so pretty,simple stuff and again most of you are,just going to do all website visitors so,let's go back and let's get into the,more fun stuff with retargeting now this,is where you don't need a pixel you,don't need a customer list,you can actually use on facebook sources,okay,so one of the most common ones that you,are going to want to run today,is using your instagram account so you,can select,instagram and you can choose your,instagram page and then you can choose,everyone who's engaged with my account,in the last year or anyone who even,visited your account in the last year so,this is a good one,then you can run ads to these people so,this is really cool if you focused on,building your instagram profile and you,want to actually like,you know run ads to increase engagement,to increase,sales to increase web website traffic,whatever it is,you can run ads to people who have,visited your profile who've engaged with,a post,uh anything like that i wouldn't really,do save to post or send a message,especially,in the early stage because your audience,again is not going to be at least 100,people,so you could just do everyone who's,engaged with your account easy,it'll keep it simple anyone who's,engaged or visited or anything like that,in the last year,and again keep retargeting simple,especially in the beginning if you're a,newer advertiser,don't let this get all confusing for you,um,you know if you're running an ecommerce,store and you have an instagram account,you might just run anyone who's engaged,with our account you might run a new,video you just launched you might run,our new promotion to these people,um and these are a warm audience so you,should spend a little bit more money on,those people than,a cold audience right so that's an,interesting one you can do the same,thing with a facebook page okay,anyone who's engaged with your facebook,page exact same thing as instagram,you can also do people who have attended,an event or responded interested or,going to an event so for some of you,that do event stuff and you did an event,on facebook,and say you had like a few thousand,people who clicked interested,you can run an ad to those people after,the event so sometimes this is a good,strategy is if you run an event,and you have a product at the end of,that event you can run a retargeting ad,to those people who clicked interested,on your event right pretty cool,um another thing with lead generation if,you're doing lead generation and you,know about lead generation ads,you'll know that when people click on,the ad it'll pop up a little lead form,right and then in that lead form,people's information will already be,filled out and they're going to either,hit submit or they're going to hit back,and they're not going to fill out your,lead form now this is really cool,you can actually target anyone who's,opened the form but,didn't submit it in the past 90 days so,if you're doing a big lead generation,campaign maximum time for this is 90,days so if you're doing a big lead,generation campaign then,um this is a great retargeting ad to,actually run because,people opened your form so they showed,some interest but they didn't submit it,so you could run a new ad to them to try,to get them to submit their information,again,and you can select specific forms that,you created so if you know how,retargeting,works uh when you or sorry if you know,how lead generation ads work when you,do a lead generation ad you create a,specific form so you might create a,specific form,for a specific lead magnet and you can,run a retargeting ad for just people who,opened that,forum but didn't submit it so again i'll,reiterate,there's going to be a lot of you out,there who've done stuff like this but,you don't have,you know at least 100 people in your,audience to work with so it doesn't make,sense for you to do that so most of you,aren't going to get this granular you're,going to keep it very generic but,let me show you one that i love now this,is video,now you can actually retarget people,who've watched a certain amount of your,video,so you can say people who viewed 3 10 15,25,15 seconds by the way uh 25 75 or 95,of your video so oftentimes what you'll,do is say people who watched at least 10,seconds of my video,now this could be a video ad it could be,a video you posted on your facebook page,it could be anything so like this video,here has 66 000,views right i can re-target people,who've watched half of that video it's,only 40 seconds,so i can go i'm going to retarget people,who are i could do 10 seconds here,or i could say people who watch 50 of my,video,and i'm just going to select that ad,video and then i'm going to run a new ad,to those people,who've watched 50 of that video now i,know that audience is going to be huge,there's probably going to be like,you know 20 000 people in that audience,which is well enough to run a good,retargeting ad,so that's a good option you can also,select more than one video so you can,say,i'm going to select all of my ad videos,that i've ran,in the last little while and all the,people that have engaged with or watched,them right,so pretty cool stuff um i just wanted to,go into really like kind of,a shallow overview of kind of how,retargeting works,there's always going to be a strategy,behind what you're doing so,i might take you know people who've,watched this video and run a,photo image to them of promoting my,webinar,because they might have watched like,part of the video and all they need is,another,photo to click on to go to my landing,page and sign up for their webinar right,because if they've watched 50 of my,video i was able to stop them in their,tracks,enough so you got to always think about,the psychology behind it i was able to,stop them in their tracks in their news,feed,and actually watch 20 seconds of my,video but then they kept scrolling for,some reason right,so really really important you can also,do fun stuff like this is,say i wanted to do 50 of people who've,watched this video in the last 365 days,so i would go add video 365 50 percent,right so i'd create this audience,now what i would do is i would now i'm,going to target people who've engaged,with this video,right but what you can also do,is you can exclude an audience after,that so i might,i might want to exclude complete,registration,lead and complete registration 180. so,what this is doing here to give you a,practical example,is i'm targeting people who've watched,50 of this video in the last year and,i'm excluding people though who've,already taken action and signed up for,my webinar,so that's like a more practical example,of how you might,do retargeting um in any sense of the,forum because my goal of this is still,to get people to sign up as a lead right,so anyway,that's really it um retargeting is all,about creating custom audiences and,creating,uh groups of people um to run ads to,in in a nutshell uh people get really,confused with retargeting but,it's actually really simple you just go,create new custom audience so this is,one place you can do your retargeting uh,the next place is if you go over to,business tools on the left hand side,uh you can actually look at,audiences here go into audiences and,that's where you'll actually find all of,your audiences and you can create them,in here as well you don't have to create,them right in the ad process,so you'll see that audience i just made,is right here so i can go create,audience,custom audience okay now to take that to,the next level,uh so same thing you'll get the exact,same dashboard here so to take that to,the next level,you can do something called lookalike,audiences now lookalike audiences are,not retargeting,it's a totally different thing so what a,lookalike audience is,is you can select a source audience so,say i wanted to select,other sources and i wanted to select all,pixel traffic 180 days so this is,everyone who's been to our website in,the last 180 days i can also do,uh here's a good one check out or,purchase 180.,so i can take everyone who's been to our,website and this is how we run all of,our ads now,is check anyone who's been to our,website and,gone to initiate checkout or purchased,our program,and i can say okay i want facebook i,want you to find,one percent of the population who are,most,closely related to those people okay,and what will happen is these audiences,are dynamic so anytime new people come,in and they they initiate checkout or,they purchase,it'll keep updating this audience and,it'll keep giving facebook more data,to use its algorithm to find people who,have similar interests,similar professions similar hobbies all,that kind of stuff,to show our our ads to and these ads,work the best if you can execute them,properly,um but again you need an audience of at,least 100 people,to create a lookalike audience and even,if you only have 100 people it's not,going to create the strongest look-alike,you generally want to have,like 500 or more people to create a,strong lookalike audience so,that's look like audiences that's kind,of taking things to the next level and,when you go back to the ad account,um you're actually going to see that you,can,use a lookalike audience just like you,can a custom retargeting audience okay,so,alright guys that wraps up today's,retargeting video i hope you learned a,lot and you can actually take this,knowledge and implement it for your,own business as always smash that like,button if you enjoyed this content and,hit the dislike button if you didn't,any feedback at the end of the day helps,me create better content for you,if you're interested in more stuff like,this smash that subscribe button and the,little bell,so you don't miss the videos i drop,every single week around subjects,related to online,marketing now if you want to take this,training to the next level,feel free to check out one of these two,videos i'm going to link up here and if,you have any questions you can leave,them in the comments i'm a pretty,approachable guy so,leave a question in the comments i will,respond to them it's my life goal to,respond to every single youtube comment,ever so,um make sure that you do that and i'm,happy to engage with you and uh at the,end of the day guys this knowledge means,nothing if you can't go out and,implement it,um so feel free to implement it if,you're a realtor um,feel free to join my facebook group real,estate marketing mastery that's a great,place to connect and mastermind,um and if you're not a comment section,down below is a great place to do it too,so anyways,uh thanks for watching and i'll see you,guys in the next video

The above is a brief introduction to how does facebook retargeting ads work

Let's move on to the first section of how does facebook retargeting ads work