
The Brand: Rhode
For this analysis, I chose Rhode, a direct-to-consumer skincare brand created by Hailey Bieber. Rhode is recognized for its simple product line, neutral look, and strong presence on Instagram and TikTok. The brand relies heavily on paid social media ads, especially during product launches and restocks. Since Rhode operates mainly online and competes in a tough beauty market, audience segmentation is essential to ensure its ads target the right consumers.
Rhode’s Target Audience
Rhode’s target audience mainly includes Gen Z and young Millennial women aged 18 to 34. These consumers are very active on social media, especially Instagram and TikTok. They are comfortable shopping online and are influenced by beauty creators and brands started by celebrities.
Demographically, the audience typically lives in urban or suburban areas across the United States, particularly in major cities such as New York, Los Angeles, and Miami. Behaviorally, they often engage with skincare content, follow influencers who showcase “clean girl” or dewy makeup styles, and shop at retailers like Sephora. Their interests cover skincare routines, wellness trends, minimal beauty looks, and viral product launches.
Segmentation allows Rhode to move beyond basic demographic targeting. Instead of just targeting “women interested in beauty,” the brand can focus on users who have recently watched skincare tutorials, visited beauty websites, or engaged with influencer content. This kind of segmentation helps Rhode connect with consumers who are ready to buy, making ad spending more effective and messaging more relevant.
How Rhode Uses Custom Audiences
Custom Audiences play a key role in Rhode’s paid strategy. A Custom Audience is created from first-party data, which includes people who have interacted with the brand. Rhode can make Custom Audiences using data from website visitors collected through tracking pixels, past buyers, email subscribers, or users who engage with the brand on Instagram and TikTok.
For instance, if someone visits Rhode’s website and views the Peptide Lip Treatment but doesn’t complete their purchase, the brand can retarget them with a reminder ad. This ad could include user-generated content, a tutorial, or information about a limited restock. Since the consumer has already shown interest, the conversion rate is much higher.
A real-world example of effective segmentation is Glossier, which uses retargeting ads that feature customer reviews and social proof to encourage users to complete their purchases. By focusing on warm audiences, Glossier boosted conversions and built customer loyalty. Rhode uses a similar strategy, especially during popular product releases. Custom Audiences enable the brand to retarget users who have abandoned their carts, previously bought products, or frequently engage with social media content. This ultimately increases conversion rates and return on ad spend.
Expanding Reach with Lookalike Audiences
Custom Audiences help Rhode retarget current users, while Lookalike Audiences help the brand grow. A Lookalike Audience lets platforms like Meta look at a high-value customer group and find new users with similar traits.
For Rhode, a good source audience would likely include repeat buyers, high-spending customers, or users who made a purchase in the last 90 days. These people show strong brand loyalty and a high intention to buy. Once this audience is uploaded or identified on the platform, Meta can create a Lookalike Audience of new users who share the same demographics, behaviors, and interests as those customers.
This strategy lets Rhode broaden its reach without losing quality. Instead of targeting a wide range of beauty interests, the brand can focus on new consumers who resemble its best customers. This approach keeps acquisition costs lower while ensuring strong engagement and conversion rates.
Why Audience Segmentation Matters
Audience segmentation is essential for paid social media success. Without segmentation, brands risk wasting budget on users who are unlikely to convert. Costs increase, engagement drops, and ads feel irrelevant. With proper segmentation, however, messaging becomes personalized, creative aligns with user intent, and campaigns perform more efficiently.
Rhode demonstrates how combining clear target demographics, Custom Audiences, and Lookalike Audiences creates a strategic paid ecosystem. By reaching the right audience at the right time, whether through retargeting warm leads or expanding to high-quality new prospects, Rhode maximizes both conversions and long-term growth.
In a competitive beauty market, success is not just about having a great product. It is about understanding your audience deeply and using data-driven segmentation to turn interest into action.





























