Running Facebook Ads is among the most successful strategies when growing your brand, generating sales and leads, and establishing loyal consumers.
However, for marketers, Facebook Ads are even more critical. This is related to the size of the audience, targeting possibilities, social network attention, and a decrease in organic reach.
It’s reasonable to think that you have a few rivals among the ten million-plus Facebook advertisers. When it comes to competition, you should preferably be aware of their assets and how successfully they are doing it. The same is true if you’re running ads on Facebook.
You may boost the effectiveness of your Facebook Ad campaign by identifying the fans of your competitors’ pages. However, there is one distinguishing feature of your competitors’ consumers that you may use.
Remember, your opponent’s audience represents a set of consumers that are already poised to purchase what you have to offer.
Therefore, as a marketer, you simply cannot afford to squander this valuable real estate. Hence, you need to know how to tailor your Facebook advertising to your rivals’ audience.
A brand is set apart by the additional value it offers. And this is established through different marketing and promotion campaigns.
Not only are inventive ideas needed in the marketing business, but one also needs to monitor their rivals’ advertising efforts, targeting their consumers.
Here is how you target Facebook ads to the competitor’s audience:
Lookalike audiences are a powerful tool on Facebook that may assist you in obtaining an audience similar to that of another business.
Install Facebook pixels on your website and establish a Custom audience for the most remarkable ad results. These audiences share certain qualities – Facebook will look for people who have these characteristics.
Using a Lookalike audience to reach audiences of a rival is a successful strategy. This is because your items are so similar; there is a lot of overlap in your targeted traffic. Therefore, adopt the same traits as your competition and fans. For example, you may find rivals’ Facebook Page fans using the Lookalike audience technique.
Lookalike audiences that target Facebook advertising to rivals’ sites do not appear overnight. Targeting the correct audience and analyzing the precise characteristics of competitors’ Facebook followers takes time.
Therefore, you should examine the advertising audiences of marketers to develop the most accurate bespoke audience.
You cannot directly target the followers of your rivals’ pages on Facebook – there isn’t a button for that! However, Facebook Ads make approaching people with common interests more accessible as well as huge competitors.
Therefore, you can give more value to your advertisements once you’ve researched the material that connects with the audience you’re trying to target.
All you have to do is go to the “Interests” area and enter the name of the competing fan page.
For example, suppose you’re producing advertisements for a local bakery business. In that case, you may target visitors in the region who “like” or have expressed interest in pages linked to top local bakery companies.
But unfortunately, there is no one-size-fits-all method for reaching your competition through interest-based audiences.
However, by assessing client interests, you will profit from a highly targeted audience. You may then use the information on shared interests to develop bespoke audiences. These will help you target individuals with interests likely to coincide with your contenders and your business.
Getting the focus of your rivals’ audience is less about deliberately targeting relevant page fans and more about aligning to their interests and characteristics.
This enables you to send more relevant messages by improving your Facebook Ad targeting possibilities. Additionally, customizing your Facebook. However, to prevent wasting advertising expenditures on possibly rigid consumers, this method must be implemented correctly.
As a result, hiring a qualified advertising firm with the ability, tools, and knowledge to manage such parts of your PPC campaigns is recommended.
Compile a list of particular competitor pages that you wish to target. These pages can be found using a variety of methods. As you conduct your investigation, make a note of the page titles and URLs.
With that said, these are the best ways to locate relevant competitor pages:
Please make a list of all of your top competitors and find their Facebook pages. For example, you can locate the corporate Facebook pages or the founders’ pages.
Fill the Facebook search box with relevant terms and then choose the desired pages. You can go through this list for more sites relating to your profession.
Consider your sector’s brands and public figures as an excellent tactic. Locate and add their Facebook pages to your list.
If you’ve liked a page relating to your sector, they must be doing something well. So it may be helpful to examine your own Facebook profile and make a list of the relevant pages you have liked in the past.
You may access your likes by appending ‘/likes’ to the end of your Facebook profile URL.
When you click on the Community tab on any Facebook page, you will find a list of top fans.
Navigate to their profiles and add ‘/likes’ at the end of the URL.
Now you’ll be able to look at other pages that they’ve liked.
Go to a Facebook page that is relevant to your industry. Then, in the sidebar, look for ‘Related Pages’ or ‘Pages Liked by This Page.’ These alternatives allow you to delve down the rabbit hole and uncover competition pages you may not have considered otherwise.
Add interests that are important to your business to Facebook Audience Insights. Then, click the ‘Page Likes’ tab to get a list of pages liked by individuals with those interests.
To signify significance, Facebook arranges this list by affinity score. Pay special attention to sites with a high-affinity score.
Enter your search terms into YouTube to check who has the highest-ranking videos. Look out for their Facebook sites as well. They most likely have a valid, high-quality audience you can address.
When you go straight on your competitor’s Facebook page from the Audience Insights dashboard, you’ll get many content ideas and research data. Examine your rivals’ pages and take notice of the user involvement and the content as well.
Examine the left side of your rival’s Facebook profile. You will notice direct connections to their material categorized as:
Connect each of these links and dive deeper to see what kind of engagement they are receiving.
Once you’ve determined if their engagement is favorable or harmful, you may devise strategies to adjust your Facebook Ad approach accordingly. Here are some critical questions to assist you:
Examine how relevant platforms and your rivals engage their audiences in ways that progress them along the sales funnel. You may use this information to create your audience targeting techniques that will take visitors away from your competitors.
This strategy is quite successful since you effectively retarget an already engaged Facebook audience with material they have already expressed an interest in. To pique the interest of these followers, you may add your own distinctive and personal touch.
Split testing your target audiences helps you determine which ones produce the most remarkable outcomes for your ad campaigns. Since you’ve gathered important information about your competitors’ audiences and their likes (based on data from your page list), the Facebook split test audience factor is an excellent tool for precise targeting.
This tool separates your audience into random, non-overlapping groups and enables you to collect statistically meaningful data. You can have up to five versions of your test variable in the Facebook split test. Facebook computes and compares the price per result for every ad-set.
And then, the ad-set with the lowest possible cost per outcome (cost per video view) prevails. Next, Facebook uses test data and hundreds of simulations to calculate the Confidence Level, which is displayed as a percentage. Thus, estimating your chances of having similar findings if you repeated the split test.
As a result, in this scenario, you may use an audience split test and a goal to discover which audience delivers the lowest cost per video view. The steps for building a split test campaign includes:
When your winning ad set is discovered, Facebook will stop the test. You can now apply the split test to your whole sales funnel and pit your rivals’ audiences against one another to see where your subsequent efforts should go.
Targeting competitors in Facebook is not as clear-cut as it is in Microsoft Ads and Google Ads. Despite that, it can still be a worthwhile strategy to examine.
The point to keep in mind is to be careful with what you type in as your target and observe any performance to judge whether it can work for you or not.
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When this apartment complex client partnered with PPC.co, their goal was clear: generate more qualified leads through Google Ads. In just 60 days—from January to March 2025—we transformed their paid acquisition performance. Total conversions more than tripled, jumping from 10 to 32, while the overall conversion rate soared by over 300%. At the same time, we drove down the cost per conversion by 44%, delivering significantly more leads at a much lower cost.
By strategically combining Performance Max and high-intent Search campaigns, we not only increased lead volume but improved overall efficiency and ROI. This rapid and measurable improvement underscores the value of data-driven optimization and expert campaign management.
This case study is a testament to what can happen when a well-structured campaign meets expert strategy and continuous optimization. Whether you're launching a new property or looking to boost occupancy in a competitive market, PPC.co delivers real results—fast.
Ready to grow your leads and lower your cost per conversion?
Contact us today to schedule a free audit and discover how we can help you achieve similar results.
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If you’re running an e-commerce or retail business, you already know that visibility is everything. The best product in the world won’t sell if no one sees it. That’s where paid ads for ecommerce comes in.
Done right, they drive traffic, conversions, and repeat customers.
Done wrong, they drain your budget and leave you wondering what went wrong.
Whether you’re spending $500 a month or $50,000, your goal is the same: profitability. Not just clicks, and certainly not just impressions. You want to turn ad dollars into real, predictable revenue.
So how do top-performing e-commerce and retail brands make their paid ads work?
What are they doing that you’re not?
This guide breaks it down step-by-step, so you can start running profitable ads with confidence.
Before you launch a single campaign, you need clarity on your audience and goals. Are you trying to boost first-time sales? Increase average order value? Each objective requires a different strategy and metrics for success.
Don’t fall into the trap of launching ads just to “see what happens.” Paid media works best when it’s part of a bigger strategy. So before you log in to Google Ads or Meta Ads Manager, get specific about what success looks like.
If you want to run profitable paid ads, knowing your numbers is the foundation of your entire strategy. Without a clear understanding of your margins, break-even points, and how much you can afford to spend to acquire a customer, you’re essentially gambling with your ad budget.
And in e-commerce, that can get expensive fast.
Let’s start with the most critical numbers you need to know:
Your break-even ROAS tells you the minimum return you need on your ad spend to not lose money. It’s calculated by dividing 1 by your gross profit margin.
So if your margin is 50 percent, your break-even ROAS is 2.0. That means for every $1 you spend on ads, you need to make $2 in sales just to break even.
For example, let’s say you’re running Facebook Ads and spending $1,000 on a campaign. If your break-even ROAS is 2.0, you need to generate at least $2,000 in revenue to avoid losing money. Anything above that is profit. Anything below that eats into your cash.
Once you know your numbers, you can reverse-engineer your ad strategy instead of throwing money into the void and hoping for results. For instance, if your AOV is low (say $25), you might struggle to profit from ads unless you have a very low COGS or high conversion rates. In that case, you might want to:
On the other hand, if your AOV is $150 and your margins are strong, you have more room to compete in ad auctions, bid more aggressively, and test multiple audiences and creatives without instantly wiping out your profit.
A lot of beginner advertisers focus entirely on immediate return from ads. That’s understandable – but short-sighted. If you’re breaking even or slightly losing on the first sale, that might still be a smart move if you’re building long-term customer relationships.
That’s where Customer Lifetime Value (LTV) comes in. If you know that your average customer places three orders a year, each worth $60, then their LTV is $180. If you spend $40 to acquire that customer with your first ad, but earn $140 more over the next 12 months, that ad was extremely profitable in the long run.
Top e-commerce brands build their paid strategies around LTV-to-CAC ratio – how much they earn over time compared to what they paid to acquire the customer.
A healthy ratio is usually 3:1 or higher. So if you’re spending $50 to acquire a customer, you want to earn at least $150 from that customer over time.
Once you understand your numbers, you can plan your ad spend with precision. You’ll know exactly:
Let’s say you want to make $5,000 in profit this month, and your product has a 50 percent gross margin. That means you need $10,000 in sales. If your target ROAS is 2.5, you can spend up to $4,000 in ad spend to hit that goal. With those numbers in hand, you now have a roadmap for campaign budgeting, not just a shot in the dark.
Every ad platform has strengths. But if you try to use them all at once, you’ll burn through your budget without learning much. Instead, pick one or two that align best with your business model and customer behavior.
If you’re selling visually appealing products like apparel, skincare, or home goods, platforms like Instagram and TikTok can deliver strong returns – especially with the right creative. If you’re focused on high-intent buyers, Google Search and Shopping Ads are goldmines. And if you’re targeting professionals or B2B retail buyers, LinkedIn may offer surprising results.
Test channels strategically. Start with the one that matches where your customers spend their time and scale from there. The best platform for you is the one where your ideal customers are already shopping, scrolling, or searching.
One of the biggest mistakes retailers make is casting too wide a net. You don’t want everyone to see your ad – you want the right people to see it.
On Google, this means targeting high-intent keywords that signal buying behavior. Focus on terms like “buy,” “best,” “free shipping,” or product-specific searches. On Facebook, Instagram, or TikTok, you’ll want to dial in your custom audiences using demographic data, lookalikes, interests, and behavior.
Don’t forget retargeting. Most people won’t buy the first time they visit your site, but retargeting brings them back when they’re ready. Set up ads that follow people who viewed a product, added to cart, or engaged with your brand but didn’t check out.
The more relevant your targeting, the more efficient your spend and the higher your return.
Creative is the make-or-break factor in most e-commerce ad campaigns. You can have perfect targeting and the right product, but if your ad doesn’t grab attention in the first two seconds, it won’t convert.
Your creative needs to do three things quickly:
Use high-quality product photos or videos. Show your product in action. Highlight a clear benefit or solve a specific problem. Incorporate customer reviews or user-generated content to build trust.
For paid social, test multiple creatives at once – video vs. image, UGC vs. branded, short-form vs. long-form – and let performance data guide your iterations. On search platforms like Google, focus on copy that’s compelling and packed with relevant keywords. Test different headlines and descriptions to see what gets the best click-through rate.
Sending paid traffic to your homepage is a rookie mistake. You want every click to land on a page that’s designed to convert. That means fast load times, mobile optimization, and a clear call-to-action.
If you’re promoting a specific product, send users to that product page and not your full catalog. If you’re offering a bundle or a seasonal deal, create a dedicated landing page with copy, visuals, and layout tailored to that offer.
Remove distractions. Reduce friction. Make it stupid-easy for people to buy. The less effort it takes, the more sales you’ll see. And don’t forget to A/B test. Sometimes a simple tweak to your headline or CTA can double your conversion rate overnight.
Once your ads are live, your job isn’t done. In fact, this is where it really begins. You need to monitor performance regularly, looking at more than just the surface-level metrics.
Click-through rate (CTR) tells you how well your ad is capturing attention. Conversion rate shows how well your landing page is sealing the deal. ROAS tells you how profitable your campaign is. And CPA helps you compare efficiency across different products or audiences.
Watch for early indicators of success – or failure.
Treat your campaigns like living systems. Tweak, test, and improve them continuously.
Once you find a winning combination – an ad, offer, and audience that works – it’s time to scale. Increase your budget gradually while keeping an eye on performance. Scaling too fast can tank your results, so go step by step.
Duplicate high-performing campaigns to test new audiences or creatives. Experiment with upsells, bundles, or time-limited offers to increase AOV. Layer in email or SMS marketing to retarget paid traffic and drive repeat sales.
And just as importantly, don’t be afraid to kill underperforming ads. If something isn’t working after a reasonable test period, cut it. Your budget should be flowing to what works – not what you hope will work.
One of the biggest mistakes in paid advertising is chasing one-off sales without thinking about the bigger picture. Winning e-commerce brands think in terms of customer lifetime value.
If your first sale breaks even, that’s fine. (As long as you have a plan to turn that customer into a repeat buyer. ) You can use post-purchase emails, loyalty programs, and retargeting ads to bring people back.
At the end of the day, when you view paid ads as the beginning of a customer relationship – not the end – you unlock real long-term profitability. And at PPC.co, that’s where we want to help you! We offer industry-leading PPC management services for ecommerce and retail brands who want to stop wasting ad spend and start generating real ROI.
Contact us today to learn more!
