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Today, we’re talking about one of the most advanced features of Facebook advertising, especially used for e-commerce: Dynamic Remarketing.
What is Dynamic Remarketing
Dynamic Remarketing is an advanced advertising campaign that allows you to show users the exact product they have previously shown interest in.
This online ‘interest’ is evaluated in two ways: the user has viewed the product on your website (e.g., clicked on the specific product page) or added the product to the cart without completing the purchase. Facebook tracks user activities on your online store through a code called Pixel, which must be installed on the website to initiate dynamic ads.
The sponsored ads in Dynamic Remarketing are, unlike standard Remarketing, highly personalized. The user on Facebook will see a sponsored post with the exact product they viewed on your site the day before.
How to Launch a Dynamic Remarketing Campaign on Facebook
Implementing a Dynamic Remarketing campaign is more complex than starting a regular Remarketing campaign. As mentioned before, it’s necessary to have the Facebook Pixel correctly installed on your website. The Pixel must track all the relevant ‘events’ for your marketing campaign.
For Dynamic Remarketing, you also need a Product Catalog uploaded to Business Manager, preferably connected directly to the e-commerce site through platforms like Shopify. The Product Catalog in BM and the products visible on the website must be perfectly synchronized to create effective dynamic ads.
Why Dynamic Remarketing is Useful
The advantage of this type of campaign is clear: the budget is spent exclusively on a ‘warm’ audience – people already interested in purchasing your product.
This type of ad is therefore much more effective in driving Conversions (Purchases, in the case of e-commerce); the ROAS will be higher, and the Cost per Acquisition will be lower than any other active campaign.
Decochic: the Antartika Case-Study
Decochic is an online store specializing in home products, particularly adhesive wallpapers, vinyl carpets, and children’s bedrooms.
With our social media activity, started in December 2019, Decochic increased the percentage of sales attributed to social media from 44% to 93% of total sales on the site. Furthermore, from December to April, sales attributed to social media increased by 914.9%.
In the same period, Website Traffic and ROAS skyrocketed.
“ROAS” (Return On Ads Spend) refers to the revenue generated for every euro invested in advertising. But what is a good ROAS? In general, a ROAS is considered positive if it’s above 4: for every euro invested in advertising, you’ve gained 4. The appropriate ROAS for each e-commerce should be calculated based on the fixed and variable costs of the product being sold.
In a few months, the ROAS of Decochic’s Dynamic Remarketing on Facebook jumped from 14.08 to an incredible 78.96.
And Instagram? In just three months (February-March-April), Instagram’s ROAS went from 8.89 to 56.92. Pandemic? Yes, but not only: Instagram’s ROAS for May is even higher: 67.12.
We won’t deny that the Covid-19 emergency played a role: many e-commerce businesses saw improved results during the lockdown months. Thousands of people staying at home flocked to Facebook, Instagram, and WhatsApp, enabling Facebook to reach a record of 2.6 billion monthly active users.
Many of these users were intercepted by active Social Media Marketing campaigns during that period, resulting in more conversions and purchases. However, we want to stress that the lockdown didn’t give anything to anyone for free: it rewarded the e-commerce businesses that were already engaging in excellent SMM activities.
Pandemic or not: how was it possible to achieve these results so quickly?
Decochic is an online store known for years with an active and loyal fan base; the site was optimized in November using the Shopify platform.
To this strong foundation, Decochic added a comprehensive and strategic monthly Social Media Marketing plan:
- Website Traffic campaigns on Facebook
- Website Traffic campaigns onInstagram
- Facebook Editorial Plan
- Instagram Editorial Plan
- Dynamic Remarketing on Facebook
- Dynamic Remarketing on Instagram
Thanks to continuous, controlled, and optimized activity, Decochic made a leap in quality: and we’re sure that we couldn’t have achieved such rapid results without Dynamic Remarketing.
Conclusions
What else is there to say? If you have a well-structured and frequented e-commerce, there’s no debate: consult a good communication agency and start a Dynamic Remarketing campaign today to succeed with Facebook Ads.
Have we convinced you?
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