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I had one incident which convinced me that their algorithm is easily fooled even by single misclick.

I hate ads propagating alcohol so I always report them to FB. Once I misclicked and instead of reporting it I opened linked article. Based on that click FB added alcohol to my interests. It did not matter that I reported all other similar adds before and also after that.

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Whether the algorithms seem effective to you, as a single consumer of the advertisements, is irrelevant.

Facebook ad campaigns most definitely work (though I'd imagine there's some variance of effectiveness based on what exactly you're trying to sell with the ad campaigns), and lookalike audiences are an effective way of determining who to show your ads to.

It's really quite simple, as a company you can spend money on Facebook ads and you will get traffic/conversions/etc.

I agree. But I reacted on comments disqusing if this algorithm is capable of doing more than targeting ads to make them cost effective.

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