Dynamic Product Ads Update: New Features Being Announced

Earlier this year we introduced dynamic product ads , which help retail and ecommerce marketers promote products to the people likely to be interested in them, like website and mobile app shoppers. Since then, dynamic product ads have helped marketers increase conversions and lower cost per acquisition across devices.

Given the success this ad type is driving for advertisers, over the coming weeks we’re rolling out new features for dynamic product ads, including cross-selling functionality, conversion optimization and audience extension. Here are the details on those new features. We are giving FMPs a pre-announcement heads-up and as the features are rolled out they will be white-listed.

1. Extend your reach by up-selling and cross-selling between categories.
   • Cross-selling – When someone browses items from one product set of items Advertisers can now cross-sell items from another category. For example, marketers can now choose to suggest purses to people browsing shoes across any device. This is especially impactful for increasing the lifetime value of a customer as they may be out of the purse market immediately after making a purchase, but could still have meaningful product recommendations and engagements with shoes.
   • Up-selling – Advertisers can up sell a product within the same category as the one a person viewed that may increase the profitability to the advertisers. For example, if a customer viewed a desk that has a poor conversion rate, an advertiser could instead show a desk that is much more popular and more likely to lead to a conversion. Up sell is used to encourage a customer to move from considering one item within a product category to another that would have higher profitability (higher margin, higher price point, higher conversion rate, etc).
2. Optimize for product catalo g sales.
   • Optimize for Conversions (oCPM) – Now clients can optimize for conversions, in addition to CPC and CPM bidding on DPA. Early alpha tests have shown that bidding optimized for conversions produces the desired results with more conversions off of lower impressions (higher efficiency). To optimize for conversions from DPA, the algorithm takes into account many attributes of user shopping behavior in order to put the product(s) most likely to produce a conversion in front of the customer.
3. Connect with Shoppers off Facebook
   • Audience Extension – Soon advertisers will be able to connect with shoppers off of Facebook too. Over the coming weeks, Dynamic product ads will be available through the Audience Network.

If your clients are selling products online and not currently using DPA, please read our Holiday Advertising Prep Guide to get them positioned for a strong quarter.