Digital Advertising Industry News


Facebook Collections Ad Testing: What to Know

November 7, 2018 Jonathan Katz

Pairing similar brands together for one relevant and seamless user experience, Facebook is playing around with dynamic collaborations and featuring multiple advertisers and numerous campaigns in the same Collections ad. This ad format while relatively new, has quickly gained traction among advertisers due to strong performance, great design, and customization capabilities.

facebook collections ad testing advertising sponsored ads

Which brands are affected by Facebook Collections ad testing, and where is this advertising being implemented?

Announced last month, the Facebook advertising collaboration is a small test and features only advertisers who have agreed to participate, like clothing companies Revolve and Bandier, featured to the left.

Throughout this test, Collections ads will be viewed in the U.S., U.K. and Canada.

How will multiple-brand Facebook Collections ads change advertising on Facebook?

This may be Facebook’s attempt to rival Google shopping ads. Implementing co-branded ads allows Facebook to create product recommendations for consumers. The Facebook brand will evaluate whether Collections ads create genuine value for both advertisers and consumers before the opportunity is expanded outside the beta test.

In the retail market, the new format for Collections ads could be widely appealing if they’re lower in cost than traditional Facebook ads. Traditional Facebook ads have been rising in cost. These media cost increases have resulted in some brands resorting to Facebook Stories, Instagram and Snapchat. Facebook is still reviewing pricing models and hasn’t broadly released numbers yet for its new Collections ad space.

A lower CPM should entice advertisers, but advertisers need to be willing to give up some control to be a part of the Collections opportunity. Facebook doesn’t allow brands to select which companies their products or services will be advertised next to.

How can marketers add Facebook Collections ads to their campaigns?

While the co-branded Facebook Collections ads are still in beta and not yet available for marketers everywhere, you can implement Collections ads in anticipation of the wider release. Follow the steps below:

  1. In the Facebook Ads Manager, select the “create” tab and choose an objective (traffic, conversions, catalog sales or store visits) for your campaign.
  2. marketers add Facebook Collections ad testing advertisementsLoad in your website (or landing page) so interested consumers can easily find your brand with a click from the Collections ad.
  3. Determine your audience, budget and schedule for your ads.
  4. From this point, you’ll need to link your brand’s Facebook page and select the Collections option where you can begin creating your visual ad.
  5. Choose a template and create your Instant Experience, which is a video or photo that draws in your consumers after they click on your ad.
  6. Preview your ad and add a headline and text.
  7. Adjust and crop images that display in the News Feed version of your ad and add a URL.
  8. Confirm your changes to publish your ad.

How can marketers benefit from Facebook Collections ads?

Facebook Collections ads should lower media costs on Facebook for advertisers. However, be careful not to count this as a win.

If you choose to implement Collections ads, make sure you continue to measure key performance indicators (KPIs) from impression through to conversion. Calculate your cost per conversion to make sure it is staying the same or going down. It’s easy to say your ad is everywhere and gaining exposure, but how many prospects are converting? Ultimately, you want to evaluate whether Collections ads (and its pricing) are helping you achieve your conversion objectives.

The evolving social ad landscapes welcome plenty of new advertising toolkits. If Facebook offers a lower CPM while helping brands sell their products and services, the co-branded Collections ads may serve the market well.

Reimagining your social media advertising win?

Contact Digital Media Solutions today.

About the Author

Jonathan Katz

An experienced serial entrepreneur in mobile and digital marketing, Jonathan Katz’s expertise consists of an extremely proven track record in search, social and programmatic media. Throughout his 20+ year career, he has scaled start-ups and brands across health insurance, government services, automotive, careers, education, consumer finance and politics. As Chief Media Officer for Digital Media Solutions (DMS), Jonathan provides technical direction across the company in areas of marketing automation, product development, machine language learning, architecture and software technology. He leads the team working across the firm’s diverse set of divisions to drive new product innovation and strategic positioning and also oversees customer acquisition teams across all media channels. Always striving to remain innovative, Jonathan is now charting a new path via artificial intelligence marketing in performance media that will revolutionize the industry.

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