Home Platforms Facebook Makes A Play For DCO Dollars

Facebook Makes A Play For DCO Dollars

SHARE:

Dynamic creative optimization has thus far largely overpromised and underdelivered. Now Facebook is tossing its hat in the ring. Can it succeed where others have floundered?

On Wednesday, Facebook introduced two tools to help advertisers tailor creative assets on the fly: one that automatically throws together multiple ad variants based on the basic components of a Facebook ad – image, video, title and description – and a second that automatically designates which creative assets will work best in particular placements across the news feed, Instagram and Audience Network.

“We know that marketers are always looking to streamline the creative process,” said Diana Williams, a product manager at Facebook, which is angling to appeal to advertisers in the leadup to the holiday season.

While advertisers are interested, the fact is that the “C” in DCO has been lacking and lagging. Those shortcomings exist despite growing momentum in the space from players like Xaxis-owned native ads provider plista and DCO platform Jivox, which recently launched a product that lets brands target dynamic ads on Facebook and Instagram based on the weather, a targeting trigger not currently on offer directly via Facebook.

Even so, while “media targeting has gotten much, much better … creative has barely evolved,” admitted the Interactive Advertising Bureau in version 1.0 of its Dynamic Content Ad Standard, released in May.

Programmatic and its historical DR roots may be partly to blame. As Martin Kihn, research VP at Gartner, pointed out: “Programmatic has always been more focused on direct response, which uses content that rarely wins the art awards (“BUY NOW!”). DCO can be complex to set up, test and measure and takes more overhead. Versions often don’t perform differently, causing confusion.”

But reporting could be where Facebook has somewhat of an edge in the DCO game. Advertisers will be able to see which version of an ad performed best in each placement and view performance by image, video, headline, text, description, call to action and website URL.

The new DCO solution was built in-house within Ads Manager, but Facebook is also partnering with several of its API partners, including Smartly.io, ROI Hunter and others, to integrate its DCO tech into their interfaces. As always, Facebook has scale on its side.

The tools, which were in beta for roughly six months, have been slowly rolling out in Ads Manager over the past couple of weeks. Facebook declined to share examples of brands using the capability, but noted that its marketing partner aitarget used dynamic creative to reduce the cost per install for one of its advertiser clients by more than 30%.

Must Read

The Largest Shopping Mall Operator Has Its Own Retail Media Network

Simon Property Group, the largest shopping mall operator in the world, is taking its biggest step yet into the world of data-driven advertising. On Thursday, the company launched Simon Media Network, its version of a retail media network.

The Trade Desk’s Zuma Update Adds A Host Of AI-Powered Easy Buttons To Its Kokai Platform

TTD is introducing agentic AI workflow improvements and automated audience building, which are quickly becoming table stakes for programmatic platforms.

NBCU’s Streaming Strategy Involves Revisiting The Cable Playbook

In the modern streaming landscape, everything old is new again. At least that’s the case for NBCUniversal, which is trying to bring back bundled distribution deals and appointment viewing.

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters
Joel Meyer, Chairman, Prebid.org

New Chairman Joel Meyer Dishes On Prebid’s Reset For The Agentic Ad Tech Era

OpenX CTO Joel Meyer, who was named Prebid’s new chairman, previews the org’s next phase and helping publishers navigate competing agentic protocols.

These are the days of our lives

After Years Of Fighting LGE, Alphonso Is Headed For An IPO – Unless Comcast Or The Koch Brothers Get There First

Alphonso – LG’s ad tech division – finally has a way out of its legal drama with parent company LG Electronics. Actually, it has three potential options.

Micro1 Wants Human Domain Experts To Profit From AI And LLMs

Much like the ecosystem of life that surrounds a blue whale, a market of AI SaaS vendors is springing up around the biggest AI companies. And AI data startup Micro1 is emblematic of the shifting nature of these early-stage AI vendors.