Earlier this week one of our account managers discovered a new feature Facebook is currently testing: value-based Lookalike Audience.
A value-based Lookalike Audience helps you serve ads to people who are similar to your highest value customers. To create a value-based Lookalike Audience, you must upload a Custom Audience that contains a customer lifetime value, or customer LTV, defined by Facebook as “a numeric representation of the net profit you predict will be attributable to a given customer over the duration of your relationship with [that customer].”
Here’s how you create a value-based Lookalike Audience.
Step 1: Go to “Audiences”
The new value-based Lookalike Audience is located in Audiences, a page categorized under Assets. To access Audiences, click the three-lined hamburger icon located on the upper-left corner of Business Manager. From the dropdown menu, click “Audiences.”
Step 2: Click “Get Started”
You will find a welcome message on this page. Click “Get Started” to proceed.
Step 3: Click “Get Started” again
Your welcome message with then be followed by more information about the new feature. If you want to know more about the new feature, you can click the accordion boxes containing FAQs. Click “Get Started” to continue.
Step 4: Accept the terms
The terms for the new feature will appear. Click “Accept” to accept the terms.
Step 5: Upload Custom Audience file
Upload a Custom Audience. If you prefer, you can give your Custom Audience a name and a description. Once you’re finished, click “Next.”
Step 6: Choose your customer value
Expand the dropdown menu and choose a customer value. Click “Next.”
Step 7: Click “Upload & Create”
Click “Upload & Create.”
Step 8: Click “Create Lookalike”
Once your Custom Audience uploads, click “Create Lookalike” to create a Lookalike Audience with your Custom Audience LTV as a source.
Step 9: Create a Lookalike Audience
To create your Lookalike Audience, you must choose the location you want Facebook to find customers from. Next, you must choose an audience size, or the amount of people you want Facebook to find. Afterward, click “Create Audience.”
Step 10: You’re done
And that’s all there is to it.
