If you’re an e-commerce company, the frustration of customers abandoning a full cart is probably already familiar. Painfully familiar, since, according to Baymard research, the average online shopping cart abandonment rate currently sits at 70%. The figures showing people who view your products – often repeatedly – but don’t make a purchase are even more stacked against you.
The exasperation these users who never quite materialise cause is an issue Facebook created ‘dynamic ads’, commonly referred to as Facebook product ads, in order to address.
What are dynamic ads?
“Facebook dynamic ads automatically show the right products to people who have expressed interest on your website, in your app or elsewhere on the internet,” reads Facebook’s website.
In other words, dynamic ads display your inventory and automate the process of remarketing the product and nudging the user back toward that abandoned cart. They can take the form of single image ads, carousel ads or collection ads.
Facebook dynamic ads are currently available to companies working in the e-commerce, hotel, flight, destination, automotive and property space.
How do they work?
Facebook uses the engagement data it collects from your website or app using the Facebook Pixel or SDK to see how users have interacted with products. That way, when you create a dynamic ad you are able to include everyone that exhibited the same behaviour, and advertise the very product they engaged with.
With dynamic ads, you are able to create a series of incredibly personalised Facebook ads. Facebook has shared the example of a travel company remarketing to customers who’d been browsing flights from Taipei to Hong Kong:
What you need
To get started with a Facebook dynamic ads campaign, you need to first ensure you have:
A product catalogue created and uploaded to Business Manager is also helpful (unless your website is powered by one of Facebook’s partners such as Shopify, Magento or BigCommerce), but we’ll quickly run through the process of doing this first.
Set up a product catalogue
The first thing you need to do when setting up Facebook dynamic ads is to create a product catalogue containing your product feed. Facebook describes a catalogue as “a container that stores all of your product information”. Using this catalogue, Facebook can create dynamic ads and personalise the content based on user behaviour.
Your product catalogue is uploaded to your page’s Business Manager. Simply go into ‘Assets’ and select ‘Catalogues’.
You’ll then be asked to select what category best describes your business to assign your catalogue to.
Once you have chosen, you’ll be able to upload your products.
Here you can choose to connect your catalogue to an e-commerce platform if your website is powered by one of Facebook’s partners (e.g Shopify, Magento or BigCommerce), meaning you can automatically import products. If not, you can upload your products through a CSV file by downloading Facebook’s CSV template and filling in the appropriate product information. The more products you upload (Facebook recommends adding at least 20) the more relevant your ads will be for a wider audience.
You can either upload products once or have Facebook check your catalogue regularly to look for new products or those out of stock.
Now your products are uploaded, you can get going on your Facebook dynamic ads.
Setting up your dynamic ads campaign
When setting up your Facebook dynamic ad on Ads Manager you need to choose the objective ‘Catalogue sales’ .
When directed to the ad set level, select a product set (these can include filters such as availability, read more about creating those here) which is a subset of your product catalogue. It contains the products that will be shown to potential customers during this campaign.
You’ll then be taken to the audience section. When remarketing to existing visitors you will need to select the option “Use info from your Pixel or app to create a retargeting audience “. Then scroll down and click ‘Show Advanced Options’. Here you can refine your audience and exclude the audience who are unlikely to take action, for example someone who has already bought one of your products.
You now need to optimise for every type of event. You do this by choosing the event type for which you want to optimise, for example ‘Add to Cart’ or ‘View Content’, to set the window to suit your needs.
Here you will also fill in other information, such as budgeting and target audience, the way you would for a traditional Facebook ad.
Because catalogues have been set up, you don’t need to manually insert product information when creating the text for the ad. Instead, simply use the ‘+’ button that you will find next to each box to select a catalogue field from your product feed.
The additional aspects of your dynamic ad will be the same as the process as setting up a Facebook ad.
Your Facebook dynamic ad
And there you have it! You’ve set up a Facebook dynamic ad for remarketing to those indecisive customers which will, hopefully, get them to finally move that product they’ve been thinking about for days now into the checkout.
Now you know the process, why don’t you check out some of our growth hacking tips for Facebook ads so you can get the most out of your future Facebook dynamic ads or sign up to our weekly newsletter to receive regular tips and insights for the world of marketing.