Facebook today announced that its new “Lookalike Audiences” feature, which helps advertisers target users similar to those in their Custom Audience databases, will be rolled out globally to Power Editor accounts this week.
Lookalike Audiences can be created after an advertiser has uploaded a list of first-party data, such as customer email addresses, phone numbers or user IDs to make a Custom Audience. Facebook’s algorithms analyze the Custom Audience and produce another audience segment that is likely to have a similar customer profile based on interests and demographics.
Facebook previously told us that an online travel site saw 70 percent lower costs per action using Lookalike Audiences, and an online shopping site experienced 56 percent lower CPA and 94 percent lower costs per checkout while the feature was in limited beta.
Lookalike Audiences should be available to all Power Editor users this week. To create a Lookalike Audience, advertisers can select the “Audiences” tab from the left menu of Power Editor. After they’ve created a Custom Audience, advertisers can click “Create Similar Audience.” Facebook recommends that the Custom Audience include at least 500 people, but the larger the list, the more information the system will have to create an accurate Lookalike Audience.
Advertisers must then choose the country where they’d like to find consumers to target and select whether they’d like to optimize for similarity or reach, then click “Create.” Advertisers can optimize for reach, which will return Lookalike Audiences that are larger but a bit less precise, or optimize for similarity, which will return audiences that are smaller but more similar to the advertiser’s existing Custom Audience. These audiences can be combined with other Facebook targeting options and used for any ad type on the social network. Facebook notes that it could take between six and 24 hours for the new audience to be ready to use for a campaign.
There is no additional cost for creating or using a Lookalike Audience, but the targeting is only available for ad campaigns, not page post targeting.