eRFM Customer Module uses a grading system that is measured by dynamic values captured from your pixel data.
eRFM stands for - Engagement, Recency, Frequency, and Monetary Value.
A key feature of eRFM audiences is its special ability to continuously optimize. The AI will analyze an audience over 24 hours and determine which events are most suitable to optimize for. Then, using the data collected from the event, it will create a lookalike audience with slight changes in recency, frequency, and monetary value. eRFM audiences are tailor-made to your account, which makes them likely to outperform other audiences.
The AI will run these duplicates anywhere from 1-3 days. Once it's done, the software will pick the top-performing audience and use it for the desired ad set. When the algorithm creates a fully optimized audience, it will automatically label the audience on the Ads Manager as Optimized.
The eRFM audiences are divided into the Customer Module for purchase conversions and the Visitor Module for visitor conversions.
How does it work?
Let's take Frequent High AOV Potential Visitor Audience as an example:
- The software will start by creating an audience based on the most broad parameter and visitors
- From there, it will continuously optimize to get more specific, as long as the audience stays large enough
- From visitors, it may then optimize from the first audience to create a second audience of visitors who have visited multiple times or have spent a significant amount of time on your page
- From audience two (if possible) it will then create a third, even more specific audience; for example, it may optimize for an audience of visitors who have visited multiple times AND have spent a significant amount of time on your page
- The system will continue to optimize to get as specific as possible, until the audience is no longer large enough to deliver
- These audiences will be labeled as Optimized, so that you can find them later
AOV (Average Order Value)
This module uses information from your pixel to determine lookalike audiences based on visitors to your site. These audiences will be broken down into 18 different audience types.
The 18 audience types will be combinations of the following 3 aspects:
- Low, Medium, and High AOV
The software breaks down the average order value to three levels — low, medium and high — by dynamically calculating the prices on your shop - Frequency
The software will break down the number of visits of website visitors into three levels — infrequent, occasional, and frequent - Intent
The software will break down your visitors behavior into two levels — high intent (the visitor took an action that indicates his intention to purchase) and mid intent (regular visitors who did not show any specific intention to purchase)
Frequent, Occasional, or Infrequent Audiences represent the quantity in which the user performed a selected engagement.
There are visitors who are more valuable to your business than others. Some visitors leave after a couple of seconds, whereas others deeply engage with your page and show high intent to perform the desired action.
Using the Frequent High AOV Potential Visitor Audience, you can build a segment of your most frequent visitors who demonstrated the highest intent to convert. These audiences tend to perform significantly better since the custom data we use to build the lookalike audience is made up of visitors with high quality traits, and due to the unique optimization process which takes place outside of Facebook's platform.
If the algorithm can create a fully optimized audience by adding all of the rules then the algorithm will automatically apply an “Optimized” label to the audience name within the Ads manager. Leverage AI technology to discover and target your most profitable audiences. Launch audiences from the eRFM Customer Module for a complete setup of the eRFM audiences.