How Facebook Ads work in the Background

Today Mubaid uploaded 2nd Video in the 20-day-FB-ads-challenge. This is the summary that I’ve prepared after watching this video 3 times. I prepare the summary because it helps me retain more information and sharing it here on my blog so that others can benefit from it as well. There are also a few additional things that I’ve added which I found while learning the concept.

How Facebook-ads work in the background

It is very important to understand the mechanics behind how anything works. The reason is because understanding the basics help you protect against any future algorithm change from FB. Also, it is helpful in complete understanding of any concept.

So let’s dive into the exclusive information which was shared in the 2nd Video of the challenge!!

First thing to keep in mind is that FACEBOOK KNOWS EVERYTHING ABOUT YOU!

  1. It records ALL your Activity on Facebook.
  2. It processes & organizes them into categories.
  3. It saves that information into a database.

It does all three via a very very strong & smart Algorithm.

Facebook goes through the trouble of developing this very smart & strong algorithm so that it can gather as much information about YOU as possible. To know YOU as accurately as possible. Your interests, your behavior, your personality, your psychology, your demographics Everything!!

The goal of FB is to know what hot buttons you have which might get pressed & get you to take Action on seeing a particular kind of Ad.

Now, there are basically two ways Facebook, via its strong algorithm, records this information.

  1. Action: your actions on Facebook like

• Liking a post
• Watching a Video
• Commenting/Sharing
• Tagging your friends

2.Profile Info: This is the information that you have provided to the Facebook yourself.

• Your Age
• Your location
• Your marital status
• Your Job
• Your Education
• Pages you’ve Liked
• Groups you are in
• The content (images, videos, posts) you’ve created

After recording this information, Facebook then processes and organizes this information.

Then it stores this extremely valuable information into its huge huge database.

This Database of extremely detailed information about every single user on FB is available to Advertisers.

Now, for example, if anyone wants to target an audience interested in cricket between age group 18-45 living in Delhi, FB algorithm will look into the cricket bucket (database) and pick out the audience matching the criteria & show ads to them.

There is also a reason why Facebook asks us first what is our campaign objective. Because there are different types of FB ads.

• Video View: Your aim is to get more and more views to your Video. Facebook will show your ad to those who watch videos a lot.
• Pay Per Engagement (PPE): If your aim is to get more engagement for ex likes and sharing etc. Facebook will show your ad to people you like and share posts a lot.
• Click to Website
• Conversion Ad

This is how Facebook Ads work in the background. Your Ad will be shown to people based on your campaign objective, the demographics you select and the audience you are trying to target.


If you want to see why Mubaid says Facebook know more about you than yourself, go into Facebook under Settings & privacy<Setting<Ads< Ad preferences and explore everything under that tab.

There are various insights on it like

• Your interests

• Advertisers

  1. Advertisers whose ads you clicked
  2. Advertisers who uploaded a contact list with your info
  3. Advertisers whose website or app you used
  4. Advertisers who you’ve visited
  5. Advertisers you’ve hidden

• Your information

  1. About you
  2. Your Categories (This blew my mind. How the hell did Facebook knows all this about me?)

• Ad setting

• Hide Ad Topics

• How Facebook Ads work: You should especially check out this tab. Because FB tells you in detail like Mubaid how its Ads work

  1. What data is used
  2. Your Controls
  3. Why you see a particular ad
  4. FAQ

I did this whole exercise today and I got to learn so much about FB ads. Now I am realizing why FB is free to us. We all give FB this extremely valuable information that’s why! That is why many experts say that information is currency in today’s world. FB uses all this information and sells them to advertisers.

What a day it was Today!!! Thank you so much Mubaid for sharing this video with us. I am so glad I joined this challenge!

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2 thoughts on “How Facebook Ads work in the Background”

  1. Zuckerberg has even accepted in court trials that fb knows and records everything you do on your smartphone/lappy, even what you do outside the fb site/app…..There are speculations that fb app tries to spy on you every single minute….I am afraid this data undermining might not just be used for ads and promotions, may even be getting sold to dark web mafias and hackers….

    Nice article btw…..

    1. Yes, we could be afraid of all our data getting misused. But they are the ones providing these awesome platforms to us in the first place so they get to control things. We always have the option to NOT use any of these platforms if we are concerned about our privacy. But I am optimistic FB uses our data carefully and guards it adequately!

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