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What is Facebook remarketing?

what is facebook remarketing

Here, we are going to take a look at Facebook remarketing otherwise known as retargeting with regards to Facebook Ads. This covers Facebook users who have visited your website on a previous occasion. It works by installing a pixel on your webpage, which will then relay the information that you need back to Facebook. If the person is signed into their Facebook account, then this account will be logged, making them available for remarketing. It is vital that you set up custom audiences, which will then capture the users that you want to target, you also need to set a goal which is then for them to complete, this could be clicking on a phone number of contacting you some other way.

Those users who do not complete your set goal will then be added to the custom audience list, with a view to removing them automatically in the future if they complete these goals. Not only this, but these lists can also be segmented easily, creating a simple targeted demographic that you can then market to with set relevant content.

The benefits of Facebook remarketing for business

What is Facebook remarketing

It is no secret that Facebook Ads remarketing can be extremely useful for small businesses, but why this is might not always be quite as clear.

Consider this – only 2% of first time visits to your website end in a conversion e.g. sale or lead. That means that 98% of visitors leave without a positive outcome. Taking this further over 70% of people who add products to their cart leave before showing you some love in the form of a completed purchase or enquiry form.

So you have 98% of visitors be they paid or organic that you need to follow – re-engage and get them to come back to your site and convert in one way or another.

To do this we are going to run you through how to leverage Facebook remarketing for business.

Low Cost per Click

Compared to other search engines, Facebook is often cheaper on their Cost per Click rate. This is because Facebook traffic tends to be a much less targeted than other search engines. Search engines tend to work around a pull marketing approach, since there is a good chance that the person will have actively searched for the product or service at the start. Facebook, in comparison, works by exposing potential customers to your product or service, also known as push marketing.

The ability to upload mailing lists to Facebook

Not every single piece of information that we have is online, sometimes our databases and lists are off-line. However, how do you move these into the online world? The great thing about Facebook remarketing is that you can use off-site lists such as mailing lists and import them into Facebook. Facebook will then match the email address with a profile, giving you the chance to market to them on Facebook, when they otherwise may not have found you.

A high conversion rate

Facebook remarketing really helps you to drive a higher conversion rate, this is particularly useful if your business is in a particularly competitive market where you need every single bit of help that you can get. When a customer is browsing multiple sites for the same product or service, chances are that they will click away from your website and maybe even forget about you. With Facebook remarketing you will become visible to them, which significantly increases the chance that they will come to you in the future. Converting them into a customer and securing you a sale.

The power of Facebook lookalike audiences

No-one should underestimate the power of lookalike audiences, something that Facebook is able to give you. It allows you to track the people who actually converted, creating an audience with them. You can then use this information to create a lookalike audience, which, as the name suggests are similar people, with similar interests, but on a much wider scale.

Happy customers mean great reviews

As people, we like to see that a company has done a good job or sold a good quality product to previous customers. The great thing about remarketing on Facebook is that you are going to show people who visit your Facebook page, all the positive comments and reviews that are against your business. This means that if they were contemplating buying from you, or booking your service, then seeing this proof on social media that you are good at what you do, then there is a much greater chance that they will convert to a fully-fledged customer.

Data collection for free

Facebook, in its barest form, is completely free. You are going to be under no obligation to spend any money in order to use it. Of course, you can then pay out for advertising and boosting posts should you need to. However, you can also create a custom audience for free, saving it away for when you are ready to use it.

Installing the Facebook Remarketing Pixel

To create a new Facebook pixel:

Step 1: Create and manage a pixel from your Facebook ad account.

a. In the top-left corner, click Ads Manager and select All Tools.

b. Under Measure & Report, click Events Manager > Pixels.

Facebook Remarketing Pixel

Step 2: On the Facebook Pixels page, click Create a Pixel.

Create Facebook Pixel

Step 3: Enter a name of up to 50 characters for your pixel and click Create. You can have only one pixel per ad account, so choose a name that represents your business. You can change this name at any time.

pixel name

Step 4: Choose how you want to implement your pixel:

  • Select Use an Integration or Tag Manager to integrate with a third-party tag manager.
  • Select Manually Install the Code Yourself to get the code to implement it.
  • Select Email Instructions to a Developer to have the pixel code sent to your web developer.

Installing a Facebook pixel

Step 5: Follow the instructions displayed and click Continue.

Install Facebook pixel

Step 6: Select the events you would like to track and get the corresponding code.

Step 7: Click Done.

You’ve now successfully created a pixel!

If your website is run by WordPress or another similar platform, you may find that there is an option to download a Plugin which will help you to install the required code, without having to worry about learning coding skills at all.

Some Facebook Remarketing Statistics

Want to know more about why we think Facebook remarketing is a great idea, it may be worthwhile checking out the statistics.

  • There are 1.86 billion active users of Facebook around the world. That is a whole lot of people that you can target.
  • The most common age bracket that uses Facebook is 25-34 which is the ideal age range for making buying decisions or purchases.
  • The time when Facebook is most used is between 1pm and 3pm, weekdays. This means that you need to target your advertising efforts to these times in order to get maximum input.
  • 50% of 18-24 year-olds check Facebook as soon as they wake up, so why not make sure that you are the first thing that they see?
  • Other companies realise that remarketing on Facebook is a good approach, in fact, 20% of marketers have a dedicated budget to remarketing on Facebook. With 50% also planning to increase their budget over the next 6 months.

The limitations of Facebook remarketing

There are some limitations to Facebook remarketing that you are going to need to keep in mind. The first is that it is still quite difficult to retarget, solely based on certain events performed on your site, this particularly true when the person isn’t being redirected to a page that confirms the actions took place.

Another drawback is that Facebook remarketing ads are getting more expensive, the organic reach that is seen on Facebook has shrunk, and unfortunately, the lower that it gets the higher the price of ads will reach.

Alongside this, it seems that Facebook is going to cut back on adverts that are show in the feed of your users. Another way that the price of ads may be pushed up.

Finally, GDPR has also had an impact, mainly because targeting options have been removed, and users can now opt-out of remarketing adverts, reducing the reach that your ads can have.

The key KPI’s for remarketing

When remarketing of Facebook, you are going to want to make sure that you have been successful in your efforts. This means that you need to track and measure how they are doing. There are a number of metrics that you can use to keep track of your progress, all of which can help give a clear indication on whether or not you are on the right path.

  • ROI – Possibly the most important of all the metrics, ROI shows you how much you have gained, minus the cost of your investment.
  • CTR – also known as click through rate, this shows the number of times an ad was clicked on. The higher the click rate, the better for you. You can also compare your CTR with the CTR for your industry.
  • CPC – cost per click shows how much you have spent out per click that you have received.
  • ECPM – effective cost per thousand impressions. In order to work this out you take the total earnings and then divide it by the number of impressions that were served, finally multiplying this by one thousand.
  • ECPA – effective cost per acquisition. This particular metric is based on the campaign spend dividend. It looks at the impressions served, then multiplies it by the CTR and then again by the conversion rate. This will then give you an idea of how much you have paid out on a cost per action basis.

The Benchmarks of Facebook remarketing

The examples below are the advertising benchmarks for Facebook from 2017. Of course, they are not exact reflections of Facebook remarketing benchmarks as there is simply not enough data on this to be shown in sectors, however, it is likely that remarketing rates would actually be higher than the average advertising rates. Allowing you to use this as a rule of thumb.

The average click-through-rate (CTR)

The following are the average click-through-rates for industries using Facebook’s remarketing.

average CTR facebook

Average Cost-Per-Click (CPC) on Facebook

The following are the average cost per click of adverts per sector using Facebook’s advertising tools.

average CPC facebook

Average Conversion Rates (CVR) on Facebook

The following are the average conversion rate benchmarks per sector using Facebook’s advertising tools.

Average Conversion Rates Facebook Remarketing

Average Cost per Action (CPA) on Facebook

The following is the average cost per action (how much you spend to get someone to take an action on your website after clicking your ad).

average CPA facebook remarketing

These statistics are true as of the 31st of May 2017, and are taken from the WordStream website here.

Facebook Adroll

Facebook remarketing with Adroll

An official Facebook partner, Adroll is not only easy to use, but is also an effective tool for news feed campaigns and remarketing. In order to use it all you need to do is choose your weekly budget, your targeted locations, a schedule and also your maximum CPM bid. You also need to select your visitor segments. Once you have set these factors you will find that your ads will start to appear on the newsfeeds on your user. The ads will be visible to anyone who has been effectively “cookied” on your website, even if that person hasn’t interacted with your fan page.

The one thing to keep in mind about Adroll is that you will be pre-charged for any campaigns, charged the weekly budget, each and every time you create a new campaign.


The thing to remember when it comes to choosing a remarketing platform is that every business is different and therefore, what works for one, may not work for the other.

The very best approach to take is to try out both Facebook and Google as a combination of the two will maximise the visibility of your business. Of course, not every business can do this, so, the best place to start is to take a look at your core goals and then go from there.

For product-based businesses with a limited budget, Google is usually the best place to go, as you can tailor your marketing with the custom graphics and you can also create targeted ad copy too. You also will often see a lower cost per click to sale price. Read about Google remarketing here.

In comparison, if you are a service-based business and your aim is to catch lost clients, then you may find that remarketing via Facebook is a much better option. Not only does Facebook give you a chance to market to a much wider audience, but they can also see that the service that you provide is to a high standard (thanks to reviews and comments that they see on your Facebook page).

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