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Facebook Marketing Analytics

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DOI: 10.1109/ICIC53490.2021.9693023

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2021 International Conference on Innovative Computing (ICIC)

Facebook Marketing Analytics


Afifa Wajid Mazhar Javed Awan Faria Ferooz
Department of Software Engineering Department of Software Engineering Department of Software Engineering
University of Management and University of Management and University of Management and
Technology, Lahore, Pakistan Technology, Lahore,Pakistan Technology, Lahore, Pakistan
afifa.wajid@umt.edu.pk mazhar.awan@umt.edu.pk faria.ferooz@umt.edu.pk

Saba Shoukat Maria Anwar Maha Mazhar


2021 International Conference on Innovative Computing (ICIC) | 978-1-6654-0091-6/21/$31.00 ©2021 IEEE | DOI: 10.1109/ICIC53490.2021.9693023

Department of Software Engineering Department of Software Engineering Department of Software Engineering


University of Management and University of Management and University of Management and
Technology Technology Technology
s2017266029@umt.edu.pk F2017065107@umt.edu.pk s2018065044@umt.edu.pk

Abstract—the social media has gained significant AdWords also give different promotional offering to their
importance in people’s life and the most pertinent among the customers in order to maximize the use of their website [3].
social media websites is Facebook. Fixed standard promotion is However, recently Facebook has become quite dominant
currently at first overwhelmed by different types of among other social networking sites by proposing
correspondence and publicizing. Lately, Real Time Marketing approaches to brands for advertising their products and build
and Advertising (RTA) has become an advanced and similarly
more stronger connection with their customers. The social
improved type of promotion in the era of social media. RTA is
centered on barters in which singular notice positions are sold networking websites, nowadays, account for one out of
inside couple of milliseconds after the site has been called out. every five advertisements that users see online. The current
RTA would continuously supplant the customary web top ranking social media websites proposes high scope, and
promoting space currently being sold at a fixed expense set by volume against target segments but with quite a less cost.
sponsors and media showcasing organizations. The actors Facebook, acting as an advertising and marketing tool, is
mainly involved are web clients, distributers, publicists and helping many startups and small businesses and firms to
innovation specialists. This study focuses on the effectiveness of establish and attract customers in every possible way.
Facebook Advertisements on increasing the purchasing Despite of the fact that the data available on the Internet
intention of the customers. The result shows that Facebook is
playing a very important role in successfully increasing the
today is growing tremendously with the passage of time,
market values of many product and contribute to a substantial coined as the term Big Data [4], still people prefer to
change in customer’s purchasing plans. purchase stuff online instead of physically going to the
markets specially since the emergence of Covid-19
Keywords— Facebook Marketing, Social Media Real Time pandemic [5], the lifestyles have changed a lot. Due to these
Bidding, Real Time Advertising, AdWords, Brand Image, Google changes in the society, it has been observed that marketers
AdSense and advertisers are more inclined towards the use of social
networking sites as a new advertising and marketing tool in
I. INTRODUCTION order to reach maximum audience. Advertisers share the
Interpersonal organization publicizing has gained recent advertising threads with their social circle on Facebook in
popularity with an advent of innovation and technology, order to boost the selling of their product online. Moreover,
thus, there are currently more approaches and opportunities they develop pages on Facebook and keeps on sharing their
to sell items and fulfill the requests of organizations. The use up-to-date products along with different offers and
of media has become a trend for customization and promotional packages with their customer to improve their
advertisements of the brands. The host of the webpage and overall sale and enhance the purchase intention of the
the acquirement of publicizing space on their site with high- customers [6]. Domain analysis is also considered crucial for
volume web journals like CNN and The New York Times, relevant information extraction and therefore, advertisers
and numerous different locales, all offer media buy and marketers should be provided with different trainings to
arrangements [1]. When a company buys a place on a high- boost their business with the help of social media [7]. Hence,
volume site, they view most of their demographics, but they the aim of this study is to identify the effectiveness of
may still spend a lot of money to consumers who have little Facebook advertisements on the purchasing intentions of the
experience in what the business has to sell [2]. Google’s pay- customers.
per-click service helps advertisers to use terms that activate The rest of the work is outlined as follows: Literature
their ad. AdWords also offers marketers with the ability to Review is written in Section II. Section III elaborates the
put advertisements on websites that are part of the AdWords details of the Proposed Methodology and Section IV is about
scheme registered as Google AdSense publishers [3]. Based Experiments and Results. Finally, Section V concludes the
on the keywords that the customer enters, business invest in paper while providing future implications in Section VI.
giving a better rank to their particular advertisements.

978-1-6654-0091-6/21/$31.00 ©2021 IEEE

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II. LITERATURE REVIEW keywords. The ad agent first needs to place a bid to win the
auction, such that its ads can be displayed to the users. In [22],
Facebook Advertising allows people or customers the ability the authors proposed a bidding model for generating Real-
to engage directly with the advertisements on their website, Time Bidding (RTB) at aggregation-level sponsored search
encouraging them to "like"' and "share" and even to see who using Reinforcement Learning and further the work has been
else or peers enjoyed or shared the same ads. Some study extended for multi-agent problems. There has been work
has found that social media, such as Facebook, function as a proposed on model based on Softmax-based Ensemble for
check on the reputation of brands and the users interpret CTR estimation in Real Time Bidding [23]. The matching of
consumer-produced posts on social media as being driven by the targeting goal can be identified based on the user and
altruism, unlike ads generated by marketers [8]. The success publisher matching. It directly influences the bid price, which
or loss of an organization in today's business environment subsequently affects the winning price. It has been observed
depends on consumer opinion. Performance of ads should be that few factors, such as Brand Image, Brand Equity, Price
calculated taking into account the measurement of Promotion and Advertising Endorser, have a mediating effect
customers' interest in advertising. Facebook is considered as on the purchase intention of the customer and plays
a wide platforms for online recommendation which significant role in achieving strong communication with
promotes marketers whose companies are willing to expand consumers [24]. Furthermore, retrieving the relevant
a fair portion of their budgets on analytical processes to information on social media is another challenge for
classify prospective consumers and target them with researchers as they have been proposing different methods to
Facebook ads [9]. It has also been observed from the improve the process of Information Retrieval [25] which
literature that the use of Facebook among students is quite would prove to beneficial for online advertisement as well as
the customers won’t get irritated by the unwanted ads and will
significant as compared to people of older age groups [10].
be shown the ads only which they are interested in. On
Instagram, after Facebook, is considered another most
account of information acquired from the test times, a fluffy
popular social media website which has also been used by
portrayal of contamination capital is proposed as model
advertisers and marketers [11]. boundaries. Utilizing the technique proposed in [26] fluffy
The bidding technique is one of the main elements of on-line boundaries were determined from got dataset for each
ads. An efficient bidding strategy allows marketers to reach mission with a presumption that the quantity of compositions
value-added consumers and define an appropriate bid price can be an objective for every publicist and recognized as a
in the auction to win publicity impressions and show those complete entrance assets. Thus social media is overall,
relevant advertisements to users [12]. If advertisements are playing a major role, now a days, in promoting small
clicked by users, or users make transactions after clicking on businesses, firms and startups which was considered very
the ads, the bidder's income will be produced. The linear difficult few decades ago [27].
bidding strategy, on the other hand, is commonly used The Machine learning and data mining models were also
within real-world applications [13]. This particular performed well on various domains as analytics [28-34].
technique bids proportionately higher for bid demands with
higher approximate CTR, but fails to overcome budget
limitations. In order to adapt the various expenditure III. PROPOSED METHODOLOGY
constraints, a non-linear bidding function is proposed [11]. The proposed system comprises of different steps in order to
The linear bidding function is seen to outperform the number analyze the data for better understanding the effectiveness of
of clicks per ad advertisement, but the winning chance social media advertisements. Initially, the dataset was
function does not well represent the actual winning price preprocessed and later, different machine learning
distribution. classification models were applied to identify the patterns that
Reinforcement learning methods, a type of machine learning are being followed.
method, have been widely applied on solving decision
making problems in different domains such as identification A. Data Sets
of fake news [14], recognition of fake profiles on social media The data was gathered about real time ads of Facebook and
platforms [15], for the classification of face emotions [16] and then it was analysed on Jupiter Notebook. The results are
many others applications of health informatics [17], [18]. presented in the form of theory, bar charts and tables. The
Similarly, some researchers has used the machine learning dataset includes age, gender and the preferences of people
methods, particularly, reinforcement learning for online who use Facebook. Facebook essentially displays
advertising applications [19]. The models fall into two major advertisements, based on the user's interest. And so, users tap
frameworks, namely the Multi-Armed Bandits (MAB) and on the ads they're interested in.
the Markov Decision Process (MDP) [20]. The core elements TABLE I shows a part of the dataset however, the complete
of both models are states, behavior and incentives. Several dataset consist of 15 columns and 1142 rows. The data types
recent works have sought to formalize the topic of online ads are also mentioned in front of each of the column. Since,
as a reinforcement learning system. Additional user-level there are so many social media platforms used for
information is also neglected in the literature, which are of advertisement purpose and among those the chosen one for
paramount importance for pricing the value of an ad this study is Facebook, in particular, for analyzing the
impression, so that profitable customers are targeted [21]. In behavior of its users on viewing different advertisements on
sponsored search, ad impressions are shown with certain their personal home page. Also, we have tried to identify the
costs, namely the market price, and the ad agent bids on majority in terms of gender over the viewing of

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advertisements. It is important to identify the category of TABLE II. No of Null Values
people being most commonly affected by the Facebook
advertisements.

TABLE I. Dataset Description

The TABLE II shows the discrepancies in the dataset in


terms of null values due to which the result get affected.
Therefore, in the preprocessing stage, the 382 null values in
total conversion and approved conversion as identified were
removed in python and later the data was analyzed.

The description of all the attributes used in TABLE I are


IV. EXPERIMENTS AND RESULTS
mentioned as under:
This section highlights the results of the data analysis and
i. Ad id is some specific ad set. classification obtained using Python on Jupyter Notebook.
ii. Report start & end show the starting and ending of each The statistics against different category is demographically
ad. represented showing the trend being followed on Facebook,
iii. Campaign id is the id that the ad running company has which is currently being considered as an advertising tool.
This statistic given in Fig. 1 indicates a vast difference of
assigned to its ad.
numbers between males and females and shows that males are
iv. Facebook campaign id is the id that has been assigned
more likely to be the long-term users as compared to females.
to every set of ads by Facebook itself.
v. Age and gender show the demographics.
vi. The three interests are the interests of people who were
targeting while showing ads.
vii. Impressions shows the numbers, that how many times
an ad was shown to a user.
viii. Clicks are the actual number of times user clicked the
ad.
ix. Spent shows the expenditures that company bear on
running each ad.
x. Total conversions are the number of users who clicked
on ads to open websites or actually downloaded the
application through click
xi. Approved conversions tell us how many of our users
who clicked our ads, have become us actual active users
Fig. 1. Classification between male and female

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Fig. 4, however, shows us that our maximum viewers fall in
the age group of 30-34, and the statics goes downs as we
move to older age. From this we can identify that the young
generation is more inclined towards social media platforms as
compared to the people of older age group. So, these statistics
can help the advertisers and marketers, who are selling the
products targeting a specific age group of people, to better
design their marketing strategies considering the age of their
audiences in order to increase their sales.

Fig. 2. Spend vs. Density

Similarly, Fig. 2 shows amount that has been spent on


Advertisement with respect to density. And it is clearly shown
that the density is increasing rapidly unlike the amount spent
which does not show such a drastic change. We can analyze
from this graph that online advertisement requires less cost
while reaching a larger group of people or covering maximum
density over a period of time. Fig. 5. Comparison between Genders
The quantity of brand images and equity has been influencing
potential outcomes and high fluctuation in the results shows Similarly, another statistics presented in Fig. 5, indicates that
challenges with the use of deterministic boundaries for the there males are more interested in watching Facebook ads as
model. compared to females.

The Fig. 6, on the other hand, shows the number of clicks that
are been made over an Ad with respect to density. The graph
shows that the rate of density increases more than the average
clicks made which apparently presents that the population
over social media in increasing at a rapid scale.

Fig. 3. Approved Conversation

The Fig. 3 shows that as many viewers as possible can watch


our ads, but the count also tell us how many of users are the
regular customers.

Fig. 6. Clicks vs. Density

V. DISCUSSION AND CONCLUSION


The social media marketing and advertisement brings a whole
new dimension to advertising, as it offers engagement to
users, particularly on Facebook. The high percentage of
association between variables in this analysis indicates that
the method of accessing and sharing information through
Facebook promotes citizen engagement. Through exploiting
marketing strategies, Facebook will boost brand awareness
Fig. 4. Age bar Graph and brand equity, thereby enhancing the consumer's buying

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intention. After observation, we can identify that with the
passage of time, the phenomenon for advertisements is
changing from imposed kind of advertisements to trust based ACKNOWLEDGMENT
advertisements. Although, Facebook marketing and Finally, we would like to thanks University of Management
advertising as a platform is providing the users these and Technology, Lahore, Pakistan for providing us the
promotional offers however, there needs to be preference relevant resources to complete the research project.
based advertisements and all these should include the
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