The rivalry between Googleâ€™s DoubleClick (DC) and Facebook Exchange (FBX) is all but ending with the announcement that marketers can now FBX ads through DC.Â Itâ€™s unclear who extended the olive branch, but increased reach and frequency on retargeting means more ad spend for Google and a chunk going to Facebook, making it mutually beneficial.
FBX has been a huge success for Facebook, steadily growing since its release in 2012 and cutting a slice out of the monopoly Google had on demand fulfillment ads.Â DC on the other hand, has been a reliable ad service company even before it was acquired by Google in 2007, but has been weakened by Facebookâ€™s large impression rate and ROI for retargeting.
Recently, Facebook has also announcedÂ the addition of Custom Audiences to its ad platform. Marketers will be able to retarget visitors to their desktop website or mobile app, expanding its services even further. YetÂ for now, Facebook seems disinterested in making its own real-time-bidding platform. Â Instead it is seeking partnerships to make the ad space more quickly available.
Effect on eCommerce:
Combining the services, DC will serve as a one-stop shop for buying ads online. Facebookâ€™s ad inventory will be more easily accessible for retargeting in a prime location â€“ the newsfeed. Facebook’s ad space has a higher frequency and traditionally less lag time between the site visit and the retargeting ad. Â This means advertisers will be able to retarget users while they’re still in a “buying mindset.”
If Google and Facebook continue to play nice, there are many possibilities for advertisers. One is potentially leveraging Facebookâ€™s profile data against Google’s ad exchanges, namely YouTube. Â Facebook has a wealth of demographic information that brand marketers would love to be able to use on YouTube.
Another possibility is search retargeting through FBX.Â Thus far, search retargeting has only used third party pools of cookies but Google has a wealth of search data that could be leveraged anonymously if it desires. Â Some are already assuming this is what the DC and FBX partnership means, but actually committing to search retargeting call privacy concerns into question. Â In a largely self-regulated industry as a company with a good reputation this could be somewhat risky.
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