I've been buying products through Instagram lately...

Here's a journey through how ads actually work, and why companies spend thousands daily making them work, whether for products, programs, or services.

I click on an ecommerce ad and instantly get shown 20 other cool things which fits EXACTLY my style and aesthetics for things I would buy and then I proceed to start clicking on them even more, and god forbid if I add something to cart and exit out. I will get retargeted to death.

The Algorithm's Journey:

1. The First Click

• It started when I saw these cool soccer shirts (I am a soccer fan) and visited their website a couple of times

• I was first shown this ad on Black Friday, as they were having a special discount

• Algorithm asks: "Why did this person click?"

2. Pattern Recognition

• I get shown more semi-related items to what I clicked, (doesn’t have to be shirts, although there were a few, but they understand if he’s already bought from them, he is unlikely to go to a competitors website and buy another shirt right away")

• The algorithm recognizes a pattern and thinks "lets show him a sample of few more things semi related to this and see what he clicks on"

3. The Learning Phase

• Then there was this wallet I saw, which looked amazing, and minimalist, I clicked on that.

• Algorithm thinks: "ah okay, so you like minimalist designs and products"

• Starts showing sleek watches, modern bedside alarms, cool lights

• They got even more clicks out of me because they have a sample size of billions

4. The Cross-Platform Effect Not to mention, even if you browse something external, lets say you're looking at watches on google and click on a website that sell watches, if they have a pixel installed (a Facebook code), you will instantly start seeing a lot of watches on your feed as well.

The Question.
Ad platforms machine learning is quite literally unmatched, if you can tap this into your business, could this be a potential game changer for you?

Takeaway
These platforms are only going to get smarter and the information pool is only going to get bigger, start looking at avenues on how you can use this to your advantage. You might still be doing a lot of things manually while there's this algorithm who will literally do the work for you.

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