lookalike modeling

Definition

An algorithmic process that identifies new prospects who share characteristics with your existing customers, based on the bold assumption that people who look similar on paper will buy similar things. Statistical stereotyping, but make it marketing.

Example Usage

We built a lookalike model from our top 1% customers and targeted them on Facebook, which definitely didn't feel creepy at all.

Origin

Popularized by Facebook Ads around 2013, though the statistical concept dates to earlier predictive modeling

Fun Fact

Lookalike models can be so accurate that they've reportedly identified pregnant women before they've told their families, leading to some awkward Target mailer situations.

Source: Digital advertising platform terminology

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