From small businesses to massive corporations, a company is always looking for better ways to connect with current and prospective customers. In this way, companies are able to boost sales and build brand loyalty.
Facebook and Facebook ads have become a popular way for companies to connect with customers and encourage new or additional purchases. This type of advertising can be confusing for many.
Some companies have begun to use Facebook Pixel to improve their performance with ads on this social media platform. This guide outlines everything a business needs to know about Facebook Pixel to make an informed decision.
What Is Facebook Pixel? (Meta Pixel)
Facebook Pixel or Meta Pixel is a tool that analyzes the effectiveness of a company’s ad campaign on the platform. It does this by tracking the behavior of people on a company’s website using a piece of code. It tracks things, such as:
This ensures that a business presents its ads to the correct potential customer base and makes optimal use of the purchased ads. If a person has visited the company’s webpage, Facebook Pixel can advertise to them by showing items the person looked at while on the company’s website to increase the chances of a purchase.
How Does Facebook Pixel Work?
Facebook Pixel works by showing a company who they’re advertising to and the success that they’re having with their individual ads. It does this by using cookies to track the people to whom they advertise on Facebook and seeing how those people act on the company’s web pages.
It works in tandem with a line of code installed on the business’s website. It works in six steps, including:
Facebook Pixel provides a business with a clear path to increase its effectiveness through ads on the platform.
Ways a Business Can Use Facebook Pixel
With Facebook Pixel, companies are able to plan the best ad campaigns to get the return they want by increasing sales. Facebook understands that the more effective the tools provided by the platform directly affect ad sales for the platform.
Most companies find five basic functions with Facebook Pixel to increase traffic to their websites and enjoy conversions. These include:
1. Creating Custom Audiences Based on Activity on the Company's Website
Facebook Pixel concentrates on helping companies target their audiences and people who have similar habits to their target audience. It does this by tracking Facebook users who visit the company’s website and recording how the user interacts with the website.
Companies can use this information and create a custom audience to target with their Facebook ads. The target audience might include Facebook users:
- Who interacted with a specific webpage
- Who have visited the company’s website within a certain timeframe
- Who have only visited a single specific webpage
The ability to target an audience that interacted with the company’s webpage increases the conversion rate and makes the ad more effective.
2. Creating Custom Audiences Based on Specific Conversions
When a customer completes a task, such as making a purchase or entering their email address, most companies have a completion page that appears. This completion page might be a way of saying “thank you” or providing information.
With Facebook Pixel, companies can choose a completion page and name the type of conversion. The Facebook Pixel makes it easy for businesses to track conversion pages and note when the customer arrived at the website through a Facebook ad.
Once a company creates a custom conversion, they can open it any time to see how their Facebook ads are working. If the conversion rate for an ad isn’t high enough, the business might redo the ad or abandon it altogether.
3. Creating Standard and Custom Events
When a customer takes any type of action on a business’s website that has Facebook Pixel, the action is recorded as an event. These are either standard or custom events.
Facebook has 17 standard events that businesses can copy and paste onto the appropriate web page. The 17 standard events are:
- Add payment
- Add to cart
- Add to wishlist
- Complete registration
- Customize product
- Find location
- Initiate checkout
- Start trial
- Submit application
- View content
With custom events, the company uses a specific URL to attach to the event. All events can be analyzed by the company to determine the Facebook ads that are most efficient.
4. Creating Dynamic Ads
Most businesses have an e-commerce component, where clients can buy products online. With Facebook Pixel, these companies can create targeted ads that feature products and link to the webpage.
When a business has thousands of products and individual pages, they don’t want to create an ad without understanding the target audience’s habits on their website. Facebook Pixel allows them to create a template for dynamic ads based on the customer’s habits.
The Facebook Pixel analysis provides companies with the information they need to create target groups and the products that go into the template. This increases the chance of a conversion from the Facebook customer.
5. Creating Optimization for Conversions
Before a company creates conversion optimization, it must be using either standard or custom events. Facebook Pixel recognizes these events as what the company views as a conversion. Using the conversion information, Facebook Pixel helps a business target potential customers with ads who are most likely to follow through to the conversion and final page.
Benefits of Facebook Pixel for Businesses
Facebook Pixel allows businesses to target their ads to the potential customers that are more likely to reach out to the company. By adding a few lines of codes to their website, a business can better track conversion rates and identify their customer’s habits while on the webpage. All this information makes it easier for the business to buy Facebook ads with confidence in making sales and conversions.