Have you ever noticed after you’ve done some online shopping that an ad for the exact product you were looking for shows up on another website you’re visiting, such as Facebook? Well, that’s retargeting. Retargeting has become a popular tactic among online marketers in recent years, and for good reason. It’s an effective way to continue your conversation with a customer and increase conversion rates. Retargeting is meant to encourage customers who have already visited your site to come back and complete the action they failed to do the first time.
How Does It Work
Retargeting works by placing cookies throughout your site to track what your site visitors were viewing. Then you take that information, create customized search and display ads and place them in front of your customers to remind them of your product or service and hopefully get them back to your site to convert – by purchasing, filling out a contact form, etc.
Wait, Isn’t That Remarketing?
Yes, a part of it. Remarketing is the more general term that refers to collecting information about a person or shopper and using it to remarket to that person later. So, retargeting is one tactic used for remarketing. Google’s search retargeting platform is named Google Remarketing, which is why there is often confusion between retargeting and remarketing.
Why Use It
Shoppers visit sites all of the time without making a purchase. The average retail site conversion rate is just 2 to 4 percent. Even if shoppers add items to the cart, that doesn’t mean the purchase will be made. With 64 percent of shopping carts being abandoned due to everyday distractions, a retargeting campaign is the perfect way to remind your customers that they were shopping for your product. But if that’s not enough to convince you, here are three big reasons to consider a retargeting campaign.
1. Easy to Implement. After you select an ad network to use, you simply place the cookie on your site and then create ads that accompany the campaign. Once you become familiar with the process you can become more strategic and in depth, but the actual process of starting a campaign is fairly simple. KISSmetrics has an in-depth comparison of remarketing and retargeting services to help you decide which is best for your needs and goals.
2. Extended Customized Branding Experience. That’s a little bit of a mouthful, but a very important reason for retargeting. By tracking what your customers are viewing, you can create customized ads for a specific audience and continue their brand experience by delivering an ad that is relevant to their needs. It goes back to the basic principles of advertising – delivering the right message, at the right time, to the right person in the right place. Retargeting makes this tactic more feasible.
3. Increase ROI. It does depend on the structure of your campaign, but in general retargeting campaigns are less expensive than a search engine marketing (SEM) campaign. Also, remember that retargeting is for people who have already had contact with your brand, meaning that they are further along into the sales cycle and more likely to purchase.
A retargeting campaign takes time and strategic brainpower, and once set up it must be managed and optimized. But, if you are looking to take on a new marketing tactic that will produce results, retargeting is your answer. If you would like to learn more about the retargeting basics check out this article from Moz.