Using your first-party data (learn how to create/use first-party audience in XPO), you can reach out to similar audiences based on demographics, behaviors or even interests, leading to an increased exposure of your advertisement.
These are sources which you can use to create your lookalike audience:
- website data
- device data
- audience data
How to create lookalike audience in XPO?
1. Under the Audience menu, select an existing First Party Audience Segment that you have created, select Lookalike.
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 with similar characteristics to your first party data (i.e. those who have previously interacted with your ad) with an additional filter "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 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 Audience Size
Here, you can create 1 or more audience sets, up to a maximum of 10 sets
The percentage indicates the similarity to your source; the bigger the percentage, the less similar it is to the source. Increasing the percentage also creates a broader audience size, with less similar/lookalike audience set and vice versa.
For instance, 1% lookalike means people who are most similar to your source but with a smaller audience size whereas 10% means less similar but broader audience size
- The 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 closet to the source. 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
6. The lookalike audience that you have created will appear in the Audience Segment list. You can then link the defined segment to your creative and ad groups.