What function does a Custom Audience serve in Ads Manager?

A Custom Audience in Ads Manager is primarily utilized to target existing customers or individuals who have previously interacted with your business. This is achieved by creating an audience based on data sources like customer lists, website visitors, app users, or interactions on social media. By doing so, businesses can deliver tailored messaging to specific segments of their audience, improving the relevance of their ads and increasing engagement.

This targeted approach allows advertisers to reconnect with users who have already shown interest in their products or services, fostering brand loyalty and encouraging repeat purchases. Employing Custom Audiences is particularly effective for re-engagement strategies, such as reminding previous customers of abandoned carts or promoting new products to loyal customers.

The other choices mention functions such as identifying potential new customers, analyzing competitor performance, and measuring ad effectiveness, which do not directly align with the primary purpose of Custom Audiences. Instead, these functions relate more to broader strategies, insights, and analytics within the advertising landscape.