Like it or not, Facebook knows us better than our friends do. And it’s all information about ourselves that we granted it free access to, from our personal data to what we like and what we don’t. Everything we did since we first scrolled through the terms and conditions, liking, following, commenting, and blindly accepting everything that crossed our path through the years, helped Facebook collect data to build one of the most sophisticated and precise user personas ever. Looking at the bright side of it, if you have to see advertisements, they might as well be something that you could actually be interested in. Because if there is anything more annoying than being submerged with products, is being submerged with products we will never want to buy.
It can sound intrusive, but it definitely is a true gem for advertisers.
Facebook ads platform gives us the opportunity to target the specific niche based on demographic factors, behavior, shopping habits, interests, and more. For example, did you know that if you are operating in the United States, you can segment people based on their annual income?
On the downsides, we count high CPAs and an oversaturated market. This leaves very little space and fierce competition that will make even the giants struggle.
“Brands can pop up from nowhere overnight and you can advertise on Facebook. Suddenly, there’s a brand that you’ve never heard of that’s pushing ads and you’re like, where did they come from? So ultimately, we weren’t selling anything.”
– Matt Knapp, CEO of Dollar Shave Club, in an interview to Mi3.