So you have seen a watch online and think it’s nice but you recently bought one so you can’t really justify buying another one just yet.
Boom, the same watch ad follows you online where ever you go. You might think this is strange or pure coincidence – it is not; this is a retargeting ad.
This ad follows you in the cloud until you are ready to buy or at least keeps reminding how good this watch will look on your wrist.
What is Retargeting?
Retargeting works by keeping track of people who visit your site and displaying your retargeting ads to them as they visit other sites online. Retargeting converts window-shoppers into buyers. Generally, 2% of shoppers convert on the first visit to an online store. Retargeting brings back the other 98% – AdRoll.
How Does Retargeting Work?
Retargeting works by placing an anonymous cookie on the browser of your website visitors. An ad is then displayed to the same visitor once they leave your site. Ad networks like AdRoll, Google, Bing, StumbleUpon and even Facebook allow for retargeted ads. The social media version of retargeting only happens within the social media network of course.
The retargeting ad supplier will give you the code that needs to be included on your site. Here is an image that shows how retargeting works:
The Effectiveness of Retargeted Ads
- Retargeting brings “window shoppers” back and increases online sales.
- While retargeting also increases your brand awareness and reach as ads will be constantly displayed to interested web visitors.
- Retargeting ads are associated with high click-through rates and increased conversions.
- Repeat customers at very low-cost; either cost per click or cost per page view.
- 46% of Search Engine Marketing (SEM) professionals believe retargeting is the most underutilized online marketing strategy.
How to Get the Best Out of Your Retargeted Ads?
- Segment your website visitors into people who showed interest in different products. For example, mobile phones vs laptops.
- Customize the ad to each group. You can show them more of the same product range, a different product or display no ads for people who already bought.
- Have a clear Call-To-Action and provide an offer.
- Customize your retargeting ads for different times depending on the product. For example, if someone is looking for flights you can retarget them for accommodation immediately but if they are looking for a luxury or high-end item then you might want to retarget them later.
- Start your retargeting campaign only when you have reasonable site visitors. Daryl Mander who is an expert, specialising in retargeting recommends 5,000 unique visitors per month as a starting point. If you don’t have a large pool of visitors your retargeting pool will be even smaller.
- Too much retargeting can be a negative. You want to remind potential customers about your products and services; this does not mean you stalk them online. According to Moz, an ideal retargeting campaign shows the ad 7 to 12 times over the course of 30 days.
Here is a SlideShare presentation on Retargeting by Joanna from Moz (VP Marketing):
Retargeting takes time, period; it is not a set and forget activity. Sure, it can bring in awesome results but you would need to do research upfront and change things based on testing and feedback. So if you are excited to try retargeting; make sure you have a decent budget and time to invest.