Lookalike Audiences

Find more of your best customers using AI

Imagine you’re hosting a fantastic party, and your guests are all having a great time. You want to throw another party just as good, so you ask your guests who they know who would love to come to the next one. Their recommendations are like gold, right?

That’s essentially how lookalike audiences work in online advertising. But instead of asking party guests, you ask a platform like Facebook or Google Ads to find people similar to your existing customers or website visitors. These platforms use Machine Learning and Artificial Intelligence to analyze massive amounts of data about people’s demographics, interests, and online behavior. They use this data to create a “lookalike audience” of people who are statistically similar to your existing audience.

Here’s a breakdown of the process:

1. Seed Audience: You provide the platform with a “seed audience,” which can be a list of email addresses, website visitors, or even people who have already purchased from you. The bigger and more diverse your seed audience, the better the platform can understand your ideal customer.
2. Modeling Magic: The platform then analyzes the data points of your seed audience, such as demographics, interests, online behavior, and even purchase history. It uses this information to create a complex mathematical model of your ideal customer.
3. Finding Lookalikes: The platform then scours its vast database of users to find people who closely match the model of your ideal customer. These are your lookalike audience members!
4. Targeted Advertising: Once you have your lookalike audience, you can use it to target your advertising campaigns. This means your ads will be shown to people who are more likely to be interested in your products or services, leading to potentially higher conversion rates and a better return on your advertising investment.

Lookalike audiences are a powerful tool for both online AND retail advertisers because they allow you to reach new customers who are highly likely to be interested in what you have to offer. They’re like having a never-ending list of recommendations from your best customers!

Here are some additional things to keep in mind about lookalike audiences:

• The size of your seed audience will affect the size and accuracy of your lookalike audience. A larger seed audience will generally produce a more accurate lookalike audience.
• You can control how closely your lookalike audience matches your seed audience. You can choose a wider or narrower audience based on your needs.
• Lookalike audiences are constantly being updated as new data becomes available. This means your audience will stay fresh and relevant over time.

Contact us today to learn how to use lookalike audiences to find more of your best customers.