80% of your profit comes from 20% of your audience. So what does this 20% look like? The answer: just like your customers! We’re talking Customer Lookalike Audiences here.
What’s a Customer Lookalike audience then?
A Customer Lookalike Audience is an audience Facebook creates for you, based on a database you provide of your best customers. Facebook will find similarities between people who bought your products then, it will match this data with its giant database, to create a wider audience of people similar to your customers. That new audience is a Lookalike Audience.
Or how Facebook Defines it:
A Lookalike Audience is a way to reach new people who are likely to be interested in your business because they’re similar to your best existing customers.Facebook.com/Business
So where does this database come from?
To provide Facebook with the necessary database to create the Customer Lookalike Audiences, There are two possible resources:
- Pixel traffic purchase data.
- Product sales data (From Shopify).
We recommend using sales data from Shopify for Customer Lookalike Audiences (purchasing customers) since Facebook only keeps the pixel data available for a limited number of days.
Why is it great?
Having a lot of traffic to your website is cool, it really is. But having a lot of traffic that doesn’t convert is a horrible way to burn your money.
Think of it this way: your Ads will only show up to people who have the same buying behavior as your customers. You’re selling camera gear? Cool! Your Ads will only show up to folks who previously bought camera-related gadgets, and are overall interested in photography.
So instead of showing your ads to a broad audience of people who might not tick all the boxes of your customer persona, on Facebook, the algorithm only shows your ads to a specific audience of people who are very similar to your customers.
This makes them more likely to become your customers just by advertising to the right people.
Why should you use Facebook Customer Lookalike Audiences?
By only showing your Ads to Customer Lookalike Audiences, you are:
- Increasing your conversion rate.
- Decreasing your cost per purchase.
- Making more money!
If 80% of your profit came from 20% of your audience, imagine having an entire audience of Customer Lookalike Audiences and spending way less than 20% of your time working on it. Well with Scalify you can do just that!
Let’s set up a Customer Lookalike Audience with Scalify!
Step 1: Open the Scalify App and click on “Customer Lookalike Audiences”.
Open the Scalify app and click on the Go button to create a Customer Lookalike Audience.
Step 2: Select an Ad Account.
First, select the Ad Account you want these audiences created on. You can choose to create a new campaign or use an existing one.
Then, find the page post you’d like to run as an Ad to these audiences. To find the page post you want, you can search by campaign or by page. usually searching by “campaign” is better, since searching by page will pull out all the page posts.
Now choose an Ad Set and then select one or more posts that you want to use as an Ad and click on the “next” button.
Step 3: Select your preferred Customer settings.
You can choose to base your Lookalike Audience on all of your customers, or on customers who bought specific products from you. This is great because if you have a general store you want to have Lookalike Audiences specific to each niche you’re in or even Lookalikes for specific customers you have.
You can also filter customers by Lifetime Value or LTV which is how much a customer has spent on your store in total.
Let’s say someone bought a $10 dog collar then on Halloween they bought a $30 dog Halloween costume, then comes back six months later to buy a $5 chew toy. Their Lifetime Value would be:
LTV = 10+30+5 = 45
In this case, LTV equals $45. That’s how LTV is calculated. You could also filter by people who spent more than a specific amount on your store.
By choosing the high spenders and the frequent buyers, you’re telling Facebook to only look for the best quality customers for you. Now click next.
Step 4: Create Customer Lookalike Audiences.
Scalify will calculate the total size of your audience, based on your filters (if you selected any) for a Lookalike Audience to be created.
Remember, Facebook needs an audience of at least 100 people.
You can select the country of the audience from the list of countries Scalify has pulled up.
With Scalify you can create Lookalike Audiences up to 20 percent of the country’s population!
Facebook only allowed us through their business manager to create lookalike audiences up to 10 percent but with Scalify we can go DOUBLE as deep using the Facebook API!
In the Ad Set settings, you find the daily budget that every Ad Set you created will have. If you have a $100 day budget for this campaign and you’ve selected to create 10 audiences, then you’ll want to set the daily budget to 10.
You can also select the age and gender you’re targeting by age segments and gender.
You can optimize these Ad Sets for conversion landing page views, link clicks impressions and daily unique reach.
Now, select the conversion placements where you want Facebook to display your Ad, you can select which types of devices you’d like (desktop or mobile) and which platforms you want. Usually, you want to be on Facebook and Instagram feeds but you can select as many or as little as you want.
Now to the Good stuff! You can actually break down these Audiences by age and gender!
Select split ages, let’s split ages by 9 years for example. Now it creates five different Ad Sets:
Each of these is a separate Ad Set based on the age group. You can get even deeper and split these audiences by gender.
By getting more specific, the number of audiences you have has doubled. You can choose to get as specific or as broad with your Audience.
When you’re done filling in these boxes, click next.
Step 5: Review & Run.
In this page, you’ll see a summary of the Customer Lookalike Audiences you just created and the estimated time Scalify will take to create this campaign with these many Ad Sets and Lookalike Audiences. Scalify will do the entire Ad launching process for you, creating the campaign for each Ad Set and each Lookalike Audience.
If you’re ready to start publishing these Ad Sets as soon as they’re created by Scalify then Make sure to tick “Enable Ad Sets”, If not and you’d like to go in and review things before launching then make sure it’s ticked off.
There you go! You have successfully created a massive Customer Lookalike Audiences Campaign in 6 minutes!
So if this is so great why aren’t people making the switch?
It takes Too.Damn.Long. That’s why!
It only took us a couple of minutes to create this entire campaign. If you were to create only one of these Ad Sets manually on Facebook, it will take you at least 5 minutes. If you create just 10 Ad Sets manually through Facebook, that’s 50 minutes to create 10 Ad Sets. 50 minutes! No wonder why nobody is doing this!
With Scalify, you saved yourself hours of boring work. You can get very specific with your Ad sets and get results faster than your competitors. Be the one to win the market! Make the switch!
Don’t use Scalify yet? What are you waiting for? Setting up Ads manually will drain your time and energy. Scalify gets you the results in no time. You can try Scalify 7 days for free and decide later.