How Does Facebook Target Ads Exactly?

An interesting thing happened to me over the weekend when I was down in Miami this weekend. At some point during the weekend I logged into Facebook and noticed an ad for South Florida Rehab Homes. Prior to now, I always thought the Facebook ad targeting program used profile data to target users. For instance, if you try to create an ad through the Facebook Social Ads tool, you can target by location.

I always assumed that when you selected a city, state or country, the information was displayed via profile data.

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