What Is Facebook Remarketing? How to Run Facebook Remarketing Effectively

Did you know that fewer than 2% of users decide to buy on the first contact? Without investing in Facebook remarketing, you lose the remaining potential customers customers. So let's look at MONA Media look at What is Facebook remarketing? and how to run Facebook remarketing ads to close more orders.

Learn about Facebook remarketing

According to IRP data, most customers buy after seeing a product 2, 3 or even 4 times, and only 1.62% buy on the first contact. Large businesses usually take data from their website and run Remarketing on the platforms they want. The aim is to appear often enough in customers' minds that they remember your product or service.

Facebook is a popular choice for many businesses. To apply Facebook Remarketing effectively, you need to know some basics, which MONA covers below. 

What is Facebook remarketing?

Facebook Remarketing or retargeting on Facebook, is the set of advertising activities and campaigns aimed at raising conversion rate, increasing revenue and keeping customers who already have, or have had, the intention to buy on Facebook.

Put simply, Facebook remarketing gives your business a second chance to reach people who have visited your website within a certain period.

≫ Read more: Facebook advertising services committed to results and optimized costs

Pros and cons of Facebook remarketing

Although Facebook remarketing has many benefits, it must be done carefully and with a detailed strategy to get the best results. 

Advantages

Knowing how to run remarketing on Facebook brings strengths such as:

• Reaching potential audiences: Facebook remarketing lets you reach users who have interacted with your brand, products or services before. They are more likely to buy than people who do not know your brand. By targeting Facebook audiences effectively, you raise your chances of conversion and revenue.
• Optimized advertising costs: It helps you focus resources on people who are already interested in your products or services, which optimizes cost, improves ad performance and helps you reach ROI results.
• Easy Custom Audience creation: Facebook remarketing provides tools to create Custom Audiences based on users' behavior, interests and personal information on Facebook. This lets you tailor ads to each target group and improve campaign performance.

Disadvantages

Alongside these strengths, remarketing on Facebook has drawbacks you should weigh before you start:

• Dependence on Custom Audience quality: Ad performance depends heavily on the quality of the Custom Audience. If the audience is not segmented properly, the campaign will not deliver the expected results.
• Time needed to build a Custom Audience: To get a quality audience list, you need time to collect and analyze data. This can take a while before you see results from a Facebook remarketing campaign.
• Users may feel their privacy is invaded: If remarketing ads are not designed carefully, users may feel their privacy is being invaded. They may then stop engaging with the brand, which hurts your image and reputation. 

Compared with the benefits of Facebook remarketing, the drawbacks of this ad format do not affect results much. If you optimize your Facebook remarketing ads well, you can avoid these drawbacks and capture the potential of the remaining 98% of customers.

How much does remarketing on Facebook cost?

The cost of remarketing on Facebook is not fixed because it depends on many factors such as the customer audience, campaign scale and the business's budget. Facebook remarketing is usually charged in 3 ways: CPC (pay per click), CPM (pay per impression) and CPA (pay per acquisition).

You can manage costs by balancing and adjusting Facebook ad bid prices to fit your budget and goals. 

• CPC (Cost Per Click) can range from a few thousand to several tens of thousands of VND per click, depending on how competitive the market is. 
• CPM (Cost Per Mille) is the cost for 1,000 impressions, which lets you reach a large number of users at a relatively low cost
• CPA (Cost Per Action) is a pricing model based on each specific user action, such as a purchase or a form submission. This cost is usually higher because it helps achieve a more valuable goal.

What is the difference between retargeting and Facebook remarketing?

People often confuse the two concepts because they are so similar, and a few even use the terms interchangeably. Retargeting is a more specific form Facebook Remarketing, retargeting and remarketing still have distinct features. Telling them apart helps you set the right goals and run Facebook remarketing more effectively.

However, marketers have gradually become more familiar with the term remarketing, and the two terms have merged into one. Remarketing also has much higher search volume than retargeting, so MONA uses Facebook remarketing to reach you better, but keep in mind that the real subject of this article is Facebook retargeting.

Detailed steps to run Facebook remarketing ads

Facebook remarketing process can seem hard to set up for beginners, so MONA is here to walk you through Facebook remarketing in detail. You can follow the steps below.

Step 1: Create a Facebook ad account

First you need an account to start running Facebook ads which is also a requirement for launching a remarketing campaign on Facebook. You can log in to Facebook and register an ad account at the following link: https://vi-vn.facebook.com/business/tools/ads-manager.

Step 2: Install the Facebook Pixel on your website

Facebook Pixel is an important tool for identifying your customer audience and seeing what they do. Without a pixel, marketing becomes difficult. You can follow these steps:

Create Pixel

• Open link that Facebook supports for creating a Pixel
• Click the icon on the right side of the screen to connect a data source > choose Website
• Next, click Meta Pixel > choose Connect
• Name your Pixel
• Enter the URL of the website you want to remarket
• Select Continue and finish creating the Pixel

Find the Pixel code

• Go to Facebook Business > choose Facebook Pixel. This is the interface for new users; click “Set up Pixel” to continue.

• At Step 1, choose to install through platforms such as BigCommerce, Google Tag Manager, etc.

• After following these steps, you will see your Pixel code as the line shown in blue.

• Install the Pixel ID on your website

Install the Pixel in a WordPress theme: Install the Pixel ID before the Head tag in your website template as follows:

• Install in the theme
• Go to Header and Footer Scripts
• Paste the Pixel code into Header Scripts > Save

Install through Google Tag Manager

• Click Add a New Tag in Tag Manager
• Choose Tag Configuration > Custom HTML
• Paste the Pixel code above into it
• Choose Advanced Settings > Once per page > Triggering

*Note that the Pixel only works when there are at least 20 matching users, so increase your traffic before running ads.

Step 3: Create an audience through Custom Audiences

You can set up an audience by going to Facebook Ads Manager > Click All tools > Audience > Create audience and choose Custom Audience. Facebook will then suggest similar audience groups, which you can review, refine and set up as needed.

Step 4: Choose a suitable campaign objective

To set the campaign objective, you can follow these steps:

• Create an ad.
• Choose the objective that fits your goal: Traffic (bring back customers who have visited) and Conversions (push customers to complete an order) are the 2 common objectives.
• Select "Continue" and finish choosing the objective.

Step 5: Choose a Custom Audience

At this step you can choose between Create New (create a new audience) or Use a Saved Audience (a saved audience). After you enter the audience details, Facebook estimates the size and ad results after 1 day, and you can use that to adjust the audience to the size you want.

*Note: 

• You can exclude groups you do not want under “Exclude custom audiences”.
• Choose “Advanced targeting” only when your customer audience is large enough, to avoid losing many potential customers because of Facebook's algorithm.

Step 6: Choose ad placements

As with regular ads, remarketing gives you a range of placements, such as Stories, Messenger, Video, the Facebook Feed, Instagram and more, or you can choose the devices you want the ads shown on, such as phones or computers.

Step 7: Adjust the ad budget

There are 2 ways to set a budget: a lifetime budget and a daily budget. If you do not have much experience running ads, a daily budget makes it easier to control and adjust at each stage.

Step 8: Choose the ad format

Common formats include images, video and collections, along with the message you want to give customers. Do not forget to add your website link and a UTM code to track traffic sources to your website. Finally, click confirm to complete your remarketing campaign.

Does Facebook remarketing need a website?

To remarket to audiences on Facebook, a business basically only needs to own a Fanpage on the platform. So you do not necessarily need a business website to run the campaign, because the remarketing feature is already built into Facebook.

However, a marketing system that combines a website and a Fanpage is an advantageous way to run Facebook remarketing and gives better results.

As noted above, true remarketing needs a website as the source of data. If you do not have one yet, see a proper sales website for running remarketing. The cheapest channel for nurturing customers once you have data is email marketing service, and if the core concept is still unclear, read what is remarketing.

How to run Facebook remarketing effectively without a website

If you only have a Fanpage, or customer data you already hold, and still want to do Facebook remarketing, Facebook's Custom Audience tool helps you reach your target audience more effectively. Learn more about how to run Facebook remarketing ads without a website in the content below.

Remarket to people who have engaged with your Fanpage

This method lets you target people who have engaged with your Fanpage within a specific period of no more than 365 days. You can follow these detailed steps:

• Step 1: Log in to your personal Facebook account
• Step 2: Click Create ad
• Step 3: Go to Ads Manager > select Audience
• Step 4: Create a custom audience according to your campaign goal
• Step 5: Choose the target Fanpage you want to build the audience from
• Step 6: Name the audience and choose Create audience
• Step 7: When done, click create ad for the new audience > click Xong to finish

Retarget people who watched your video

This is a way to re-advertise a video to people who have watched your videos before. To do it, you can:

• Step 1: Go to Facebook Ads Manager to create a campaign > choose Video Views
• Step 2: Upload your video and set details such as objective, placement, audience, budget and schedule.
• Step 3: Create a Custom Audience based on people who watched your video by going to Facebook Ads Manager > Audience > Create Audience > Custom Audience
• Step 4: Choose the specific video to build the audience from by selecting Engagement > Video
• Step 5: Set the level of engagement with that video, such as “people who watched at least 40% of the video”
• Step 6: Name the audience to finish creating it
• Step 7: Start using that audience to create remarketing ads for your video.

Use data to run retargeting ads

Facebook can find users based on their email or phone number records. So you can also build an audience by uploading a data list and letting Facebook show ads to your customer audience.

• Step 1: Go to Facebook Ads Manager, and create a customer list from the file you collected earlier.
• Step 2: Create an ad campaign with the objective “Retargeting” and choose the audience created in step 1.
• Step 3: Choose a suitable ad type such as video, image or message.
• Step 4: Set the ad parameters such as optimization goal and budget.

Retarget people who interacted with a Lead Ad

Lead Ads are an expensive format. To run Facebook remarketing for this group, you must first have a history of running Lead Ads so you have data to build a Custom Audience. Then you can follow these steps:

• Step 1: Open the Custom Audiences > Engagement
• Step 2: Click Lead search template > select Number of days ago
• Step 3: Name the audience group > choose Create audience

Understanding customer behavior helps you generate revenue by running effective ads. Above, MONA has walked through how to run Facebook remarketing ads in two cases, with and without a website. We hope this article helped you understand Facebook Remarketing and find a way to do Facebook remarketing that raises the conversion rate of your ad campaigns.