How can you use Facebook ads to retarget abandoned shopping carts?

After installing the FB pixel - ensure you also have the Meta Conversion API. This is extremely critical so you don't lose out on an additional 20-25% conversions. FB pixel is javascript based which gets blocked when users don't allow cookies or users adblockets/browsers which block javascript by default. You can set up Meta CAPI by - Google Tag Managers - Shopify /CMS Plugins

Follow the instructions to generate the pixel code and place it in the header of your website's pages. This allows you to track user activity for effective ad targeting and measurement.

There are many benefits to installing the Facebook pixel on your website, including: Track website visitors and their actions. The Facebook pixel can track website visitors and their actions, such as viewing pages, adding items to their cart, and making purchases. Create targeted Facebook ads. The data from the Facebook pixel can be used to create targeted Facebook ads that are more likely to be relevant to your website visitors. Measure the effectiveness of your Facebook ads. The data from the Facebook pixel can be used to measure the effectiveness of your Facebook ads.

To enhance your Custom Audiences based on abandoned shopping carts, consider creating different segments based on the value of the shopping cart. Send value paremeters for the AddToCart events and select different values when creating new Custom Audiences. This way, you can retarget higher value baskets and baskets in different price ranges. Make sure you have enough volume of AddToCart events first before utilizing these segments. Volume is key when retargeting audiences.

Do you want to maximize your ROAS? Go for the easy way! Use Facebook’s Catalog Sales objective. Within this campaign you can setup your audience, for example “added product to cart, but did not purchase the last 14 days”. This Dynamic Ads perform 3-5 times better in terms of ROAS compared to your own custom audience retargeting campaign.

Define criteria, name your audience, and then use it in your ad campaigns for precise targeting. Regularly update and refine your custom audiences for optimal results.

For effective targeting, consider implementing dynamic ads that showcase the exact products left in the cart. Use compelling ad copy emphasizing urgency, limited-time offers, or exclusive discounts to encourage completion of the purchase. Experiment with different ad formats, such as carousel ads or video ads, to capture attention and increase engagement. Implement a retargeting strategy by setting up a series of ads, gradually increasing the incentive or urgency in each subsequent ad to entice users back to complete their purchase. Additionally, leverage Facebook's ad scheduling feature to display your ads during peak shopping hours for your target audience.

Consumers who have added to cart but not purchased have shown they are in market, but not ready to purchase due to price to value or comparing other products. This is where strategic offers (know your margins first!) and education come into play. First, ensure personalization in the product you serve and test offers (addressing the price to value) and additional education on your product. Run in coordination with cart abandon emails and sms for the best results.

Testing would be a crucial step to understand what works for you and hence could be scaled up. Build tests based on 1. Ad Creatives 2. Audiences 3.Ad formats 4. Ad placements 5. Different date and time of ad delivery Some key pointers to remember while testing : 1. Priotize tests on what informtion would be crucial to your consumer segment. 2. Give enough time for test data to build so you have a statistically significant result 3. Avoid running tests when the external conditions are volatile (Promotions from competitors, festival season etc)

If you would consider to go beyond the ROAS optimization, try to leverage the conversion API for sending profit instead of revenue. That allows you to use POAS instead of ROAS when evaluating the campaigns.

Regularly review the performance of your Facebook retargeting campaign. Track metrics such as conversion rates, click-through rates, and return on ad spend (ROAS). Use this data to make optimizations.