Targeting Option - Lookalike Audience

The lookalike audience capability is now supported on XPO, allowing you to extend your targeting to a wider audience using first-party data. Using a lookalike audience allows you to reach out to audiences who are similar, or "look alike", to your existing audiences. In XPO, you can create lookalike audiences that share characteristics with your source audience, where the source audience is your existing audience (first party data). These characteristics can include demographics, behaviors, or interests.

Below is a list of the sources you can use to create your lookalike audience:

• Website data
• Device data
• Audience data

Instructions

1. Under the Audience menu, select an existing First Party Audience Segment that you have created. Then, under the Action column, select Lookalike from the dropdown menu. 
   
   
   
   
2. Name your Audience Segment.
   
   
3. Select your Audience Location. Based on your first party data collected from different countries, you can narrow your lookalike audience range by selecting one or more countries that you wish to target.
   
   
   Based on our current data availability, XPO supports 15 countries for you to create a lookalike audience. We will be adding more soon.
   
   Basically, what you have done above is to target audience(s) with similar characteristics to your first party data (i.e. those who have previously interacted with your ad) with an additional filter for "where" you want to find these "similar people". This helps to optimize your lookalike search and increase your click-through and conversion rates.
   
   For instance, you can choose to target people in India, United States and Hong Kong at the same time using this lookalike capability, with interests/behavioral tendencies as your first party data.
   
   
   
   
4. Select your Audience Size.
   
   
   • You can create 1 or more audience sets, with a maximum of 10 sets.
     
     
   • The percentage indicates the similarity your lookalike audience has to your source (first party data). The higher the percentage, the less similar it is to the source, and vice versa. Increasing the percentage creates a broader audience size, resulting in a less similar/lookalike audience set.
     
     For instance, a 1% lookalike audience indicates that the audience is smaller in size, but is very similar to your source. On the other hand, a 10% lookalike audience is broader in size, but less similar to the source audience.
     
     
     
     
   • This feature allows you to categorize the pool of audience sets differently.
     
     
   • For example, the below image indicates 3 lookalike audience sets:
     
     
     • 'A' is to create a lookalike audience at 4% which is the closest to the source audience. The target audience size will be smaller as the system needs to capture the niche audience characteristics at 4%.
       
       
     • 'B' is a lookalike audience at 7% which means the audience will not be as similar compared to A which is at 4% similarity to the source. For B, since the percentage is higher, the lookalike audience size will be broader compared to A.
       
       
     • 'C' is a lookalike audience at 10% where the audience size is the broadest, but with the least number of similarities to the source compared to A and B.
       
       In short, an increase or decrease in the percentage affects the level of similarities and target size of the lookalike audience.
       
       
5. Click Save to finish creating your lookalike audience. 
   
   
6. The lookalike audience that you have created will appear in the Audience Segment list. You can then link the defined segment to your respective creatives and ad groups.