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If we've learned anything in the operation marketing world annihilation, it's that ad platforms like Facebook and Google Ads have much more (and much improve) data than any individual advertiser or third-party vendor. Considering of the large amount of data that these platforms take, they are able to provide improved tracking and targeting tools directly to advertisers.

A tool that nosotros observe valuable is the lookalike model. With a lookalike model, advertisers provide a source of audition information to an ad network which then matches information technology to other users on their network, with the goal of finding new audiences that nearly resemble the characteristics of the source audition data.

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The theory behind lookalike models is that people who exhibit certain characteristics or perform certain deportment (i.e. sign upwardly for a trial, purchase a product, etc.) will tend to take some usually identifiable traits that the ad platforms can parse. This theory has been proven true: the lookalike model has been such a success, in fact, that information technology's get one of the primary targeting methods for Facebook advertisers.

And although Facebook Lookalike Audiences tend to get the virtually attention when discussing lookalike modeling, Google Ads has a comparable but extremely under-utilized targeting method of their ain: Similar Audiences.

What Are Similar Audiences?

Like Audiences are essentially Facebook Lookalike Audiences for the Google Display Network (GDN), YouTube Ads, and Gmail Ads.

To figure out which people "wait" nearly similar an existing audience, Google uses a machine-learning algorithm to scrutinize a source audience (like a website visitor list) to find shared fellow member characteristics, and and then it finds new people with characteristics similar to those of the source audience.

For example, Google Ads Display Similar Audiences use cookie data from people who visit 3rd-party websites that are part of Google's Display Network to decide the browsing beliefs, and characteristics implied by that behavior, of a source audition. It so looks for users whose browsing behavior indicates they have similar characteristics or interests to this source audience and places them into a Similar Audition that advertisers can target within Google Ads.

Hither'southward how the process works in Google's words:

Google Ads looks at browsing activity on Display Network sites over the final 30 days, and uses this, along with our contextual engine, to empathize the shared interests and characteristics of the people in your remarketing list.

For example, if a large number of your converters accept an auto comparison website in their browsing history, Google volition look for people who've either directly been browsing auto comparison websites or sites that attract visitors with like characteristics to automobile comparing site visitors in lodge to build a "similar to converters" audience.

Do Similar Audiences Work?

Facebook advertisers have seen a lot of success with lookalike audiences, simply practise Google's Like Audiences show the same potential?

First, the performance data. According to both our own internal data and external benchmarks, Like Audiences certainly do provide a heave compared to other prospecting methods.

According to Google, for case, Like Audiences can boost performance to the tune of 60% more impressions, 48% more clicks, and 41% more conversions.

The relative performance of Similar Audiences will vary on a case by instance basis, but our own functioning data shows that Like Audiences tend to outperform other prospecting methods on GDN. Here's an example from one of our Display-heavy accounts that utilize Like Audiences:

For this client, Like Audiences testify a articulate performance improvement with a CPA that is 23% lower than other prospecting and conversion rate which is a total 122% ameliorate.

Another account showed an even more than pronounced performance increase when Similar Audiences were utilized, equally shown here:

In this case, zero was working for prospecting until Similar Audiences were introduced – there wasn't a single conversion. Simply with the use of Like Audiences, conversions started coming in at a favorable CPA and CVR. Once more, Similar Audiences are the clear winner over other prospecting.

In fact, our internal data shows Similar Audiences tin can almost match the performance of remarketing.

Fifty-fifty though the remarketing CPA is slightly amend, for this particular business relationship Similar Audiences slightly outperforms remarketing in terms of conversion charge per unit. Non every advertiser volition experience the same results, but our internal information does bear witness that Similar Audiences tend to perform amend than other prospecting methods, and can rival remarketing operation.

How To Add Similar Audition Targeting To Your Campaigns

Creating Similar Audiences

For every pixel-based Remarketing List with at to the lowest degree 500 cookies, or for every Customer Match list you upload with at least one thousand emails that Google tin can match to users, Google will automatically generate a Similar Audience.

Keep in mind, however, that if you upload outset-party data using Google Ads' Customer Match feature, it will not be possible to build a Brandish Network Similar Audience based on that data. This is because GDN needs cookied browsing beliefs on its users in social club to build a Similar Audience.

The skilful news is that since Google is the sole possessor of Gmail and YouTube, it's still possible to build Similar Audiences using get-go-party data for both Gmail and YouTube. Google tin match the east-mails you provide with Gmail or YouTube users and build a similar audition based on those users' characteristics.

With Customer Match, yous tin can have advantage of your first-party information to build Similar Audiences that can be targeted with Gmail ads or YouTube ads, merely not with Google Display ads since GDN operates through third-political party sites.

Alternatively, you can use pixel-based Remarketing Lists which are built from either Google Ads conversion and remarketing pixels or from linked Google Analytics remarketing audiences. Pixel-based Remarketing Lists tin can serve every bit source audiences for Like Audiences on the Brandish Network and on YouTube, only not on Gmail due to Google's privacy restrictions.

In social club to create a Similar Audience, you must first either build a Remarketing List in Google Ads or a remarketing audition in Google Analytics.

You can create a new Remarketing List in Google Ads by clicking on the blood-red button in the height left of the "audiences" section of an account shared library, which gives y'all the following options in a dropdown menu:

To create a remarketing audience in Google Analytics, go into the Admin tab and select the property view in which you want to create your remarketing audience. From there, click "Audition Definitions" > Audiences and you'll see the options below:

Once yous create an audience in Google Analytics, it volition populate in the shared library for the linked account in Google Ads.

In the Google Ads shared library audition section, y'all tin run across a full list of both existing Remarketing Lists and the auto-generated Similar Audiences that accompany them. Here'due south an example of a remarketing audience, "GP Converters", and a Similar Audience built from information technology: "Similar to GP Converters."

At that place are a few things to discover here. First, you'll see that the estimated list size for each audience is subdivided by columns according to the type of campaign: YouTube, Brandish, and Gmail only Display.

Y'all'll also notice that the Gmail only Brandish cavalcade says "unavailable" for both GP Converters and Similar to GP Converters. This label indicates that there are no converters eligible for remarketing on Gmail because of the privacy restriction mentioned above. An "unavailable" label will also show when there aren't enough members in the Remarketing List used every bit a seed audience to build a Similar Audition.

How to Add Similar Audience Targeting to Google Ads Campaigns

Using Google Ads Editor

To add a Similar Audience to a entrada or ad group using Google Ads Editor, follow these steps.

1. Select the campaigns or advertizement groups you would like to add Similar Audition targeting to. Reminder: you can layer bid-only Like Audience lists to existing campaigns or ad groups, simply y'all should create new, audience-specific campaigns or advertizement groups for "target and bid" Similar Audience lists.
2. In the lower-left "manage" window, select "Keywords and targeting".
3. Select "Audiences". You volition so see your existing audiences for the selected campaigns or advertising groups.
4. Click the "+ Add together audience" push in the top correct and select the Similar Audience y'all wish to add together.
5. For a "bid only" Similar Audience, ready a bid adjustment based on the conversion effect the seed audience is built on and where that conversion event lies in the funnel, or set a 0% bid adjustment if you'd simply like to gather data. For a "target and bid" Similar Audiences, choose the max CPC bid for the audition.

Using the Google Ads Spider web Interface

To add Similar Audiences using the Google Ads web interface, follow these steps.

1. Go into the "Display Network" tab and click the ruby "+targeting" button in the top left.
2. Select the relevant ad grouping (currently information technology'due south only possible to add exclusions at the entrada level, non targeting).
3. Cull "interests & remarketing" in the targeting section of the next page.
4. Side by side, select the "similar to Remarketing Lists" choice if you're edifice a Similar Audience off a pixel, or the "similar to video viewers lists" option if you're building a Similar Audience off of video viewers.
   1. Important Note: Although there's an option on this page to create a "similar to customer email list" Similar Audience (selected in the screenshot to a higher place) or a "customer e-mail listing" remarketing audience, Display campaigns can't target these audiences. Currently, customer email lists can only exist targeted on Search (RLSAs), YouTube and Gmail. If you become into the shared library audiences for the business relationship, you'll come across that the Display column is marked "Unavailable" for client email lists.
5.  Google will automatically populate the list with Like Audiences built from eligible Remarketing Lists that can be applied to the campaign or advertisement grouping you're currently in. Select the audiences yous'd like to add from this list, which is shown below:
6. Finally, choose either the "target and bid" or the "bid only" option and hit save.

Making The Most Of Like Audiences

Similar Audiences Best Practices

Every bit with Facebook Lookalike Audiences, Similar Audiences are smashing for prospecting since they tend to perform better than standard interest-based audiences, in-market audiences, and other audience targeting.
A Similar Audience works a lot like remarketing. As with remarketing, a Similar Audience will probably have less reach than other prospecting audiences. Simply what's sacrificed in attain is offset past relevance. Of form, the quality of a Similar Audience depends on the issue/audience information technology'south built from and where it lies in the funnel. For case, a "like to cart abandoners" audience will exist much more qualified than a "similar to site visitors" audition and therefore probably merits a college bid.

Information technology'southward a good idea to experiment with the size of a source audience, since the output Like Audience size can vary on a case by case basis (seemingly without a clear pattern). This is a clear contrast with Facebook Lookalike Audiences, which scale equally a percentage of user population in the target country – a 1% Lookalike in the U.s., for instance, has a size of 2 million regardless of how large the seed audition is (although the quality of Facebook lookalikes is impacted by the size of a seed audience).

Using Similar Audiences to Optimize Bids

Using Similar Audiences is also a great manner to optimize bids inside your existing campaigns. You can practise this easily and with little gamble past layering all of your existing advert groups with your lowest-funnel Like Audiences and implementing a +0% bid modifier for those Similar Audiences.

This will let you lot segment out performance data for any given ad grouping by how the performance of the layered Similar Audiences compares to the boilerplate functioning of those ad groups as a whole.
Say, for example, that advertizing grouping A has a CPA goal of $20 which is being met. But for the layered "similar to past converters" audience with a 0% bid modifier, the CPA is really much lower at $10. This means you tin fix a bid aligning of +100% for that Like Audience in order to get more book from the audience while all the same achieving the same $20 CPA goal.

Conversely, you could add a negative bid modifier to the not-Similar Audience traffic to increase efficiency if you're looking to lower costs. Google recommends that you employ the following formula in gild to calculate bid modifiers for audiences:

(Non-Audition ÷ CPA Audition CPA) – i = Bid Modifier

Once you have gathered information on your bid-only Like Audience layers, apply the higher up formula to optimize your bids for bid-only Similar Audition layers.

Target and Bid vs. Bid Only

With Similar Audiences, marketers have the choice to select either "target and bid" or "bid only" every bit behest strategies.

The bid simply option allows marketers to layer an audience in an existing ad group and manage targeting via bid adjustments.

If advertising group A, for example, has a default max CPC bid for $iv and you wanted to target a "similar to converters" audience for that advert group more aggressively than not-members, you could set a +50% bid adjustment (for case) which ways your max CPC bid for "similar to converters" audience members would be $half-dozen.

Yous can likewise layer multiple Similar Audiences in the same ad group. For example, in advert group A you could set a +10% bid adjustment for "similar to cart abandoners" (a $four.40 bid) in add-on to your +l% bid adjustment for "similar to converters" which is lower in the funnel than a cart abandoners audience. This will ensure you capture equally much volume equally possible for your highest value audiences.

Continue in mind that Google Ads will automatically place an audience member in the highest value audience – the one that y'all've bid the virtually for – so there's no need to fearfulness bidding multiple times for a member of more than one Similar Audiences as long as your bid adjustments aren't exactly the same for each Like Audience.
The target and bid option, on the other hand, means you'll exclusively be targeting the Similar Audience in question to the exclusion of all other traffic. This can give y'all granular command over the CPC bid for that audience, liberating your bids so they don't have to exist anchored downward past a relative bid adjustment.

Test Similar Audiences For Yourself

While Google Ads Similar Audiences aren't as well understood or highly utilized as their Facebook counterpart, they are definitely worth implementing to aid amend your GDN, YouTube, and Gmail prospecting campaign performance. In our own accounts, we've been seeing a definite improvement in prospecting efficiency when nosotros utilize Similar Audiences; in some cases, Similar Audiences have even rivalled the efficiency of a remarketing campaign.

Getting started with Similar Audiences is both easy and depression-take chances. Simply navigate to the audiences section within the account shared library and determine on a source audience from existing Customer Match lists for Gmail Sponsored Promotions and YouTube Ad campaigns, or from existing pixel-based remarketing lists for YouTube Ad and Brandish campaigns.

If the source audition meets the minimum number of cookies or emails, yous will be able to select the corresponding Similar Audience built from that source audience to layer inside your campaigns. To begin with, you can layer Similar Audiences with a 0% bid modifier to start collecting functioning data without risking any inefficiency and adjust bids from there co-ordinate to the resulting data.

Google'due south Chief Evangelist explains how to look into the time to come to make certain you're connecting as effectively as possible with your high-value customers. Find out the details of his forecast in our recording of Rising to the Challenge of… The Vision: The Future of Marketing.

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Source: https://www.wpromote.com/blog/paid-media/similar-audience-targeting-adwords

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