How Facebook Is Replacing Ad Agencies With Robots - Business Insider
If you’re an e-commerce site selling shoes, you want to serve ads that target people who have previously displayed an interest in, say, red high-heels. Rather than serve an ad for your brand — “Buy shoes here!” — it’s better to serve an ad featuring a pair of red heels specifically like the one the user was browsing for. The problem is that any shoe seller sells thousands of shoes, and it’s impossible to create from scratch an ad for every single SKU.
So Facebook media buying companies — like TBG Digital or Turn or Triggit or Nanigans — simply load up tens of thousands of product images into a database, and when a relevant user appears in Facebook an ad is generated, automatically, based on the characteristics of that user.