The Remarketing Guide for Dummies
Have you ever visited a website, looked at a product, and then felt like that product started following you everywhere you go on the internet? It is happening to you because you are retargeted by a website. You may be curious about how it happens. Read about remarketing vs retargeting in this blog and know everything.
What is Remarketing?
Remarketing is like a friendly reminder from a website or app. Imagine you looked at some cool shoes online, but did not buy them. Later when you are on social media or on online platforms, you suddenly see an ad showing those shoes. This is called remarketing or retargeting.
It happens when websites remember what you looked at and then show you related ads to tempt you to come back and buy. It is like the online world saying “Hey you forgot these, do you want them?”. It’s a clever way for businesses to make their existing customers buy what they visited the website for.
Businesses want you to get back to their site and make a purchase. According to Spiralytics, more than 65% of marketing agencies contain remarketing allocation. Around 67% of retargeters use Facebook Exchange to show online ads. It means remarketing is an effective method to improve conversion rate and eventually revenue.
Retargeting vs Remarketing
Retargeting and remarketing are often used interchangeably. But they have some disimilarity that you might miss often.
It involves showing ads to people who have visited your website but did not take specific action. It is like making a purchase and signing up. Retargeting is all about re-engaging visitors to complete the action that they left.
It reminds you to go back to the online store and complete the process to purchase something. You must have seen ads and been shocked at how they know what I saw recently. You are seeing those ads because you are retargeted.
This is a broader term and can include various ways to reconnect with past visitors, not just through ads. It might involve sending emails to people who abandoned their shopping cart providing personalized recommendations based on their previous interactions with your website or app.
In a nutshell, retargeting is a subset of remarketing. It mainly revolves around online ads. On the other hand, remarketing includes sending emails and personalized content. In a more specific way, many marketers use the term “Behavioral retargeting”. Have a quick glance at the next section to learn what is behavioral retargeting.
Here is an interesting video to help you understand remarketing through listening.
What is Behavioral Retargeting?
Behavioral retargeting is also known as behavioral remarketing. It is a clever marketing that aims to reconnect with potential customers based on their past online behavior. It’s like having a digital memory of your interests and preferences.
It is based on the behavior of customers like how long they stayed on the page, which products they saw, which links they clicked on, and which and how many products they added to the cart. It is well-known that many online customers don’t purchase when they first-time visit a website.
Behavioral retargeting keeps the brand in front of these potential customers. It allows businesses to deliver personalized content and offers. When users see products and services that they saw earlier, they are more likely to buy them or visit the website again to buy something better than these products.
Understanding remarketing vs. retargeting helps you find an effective way for marketing. It will suit your business type and target audience, making your aim more achievable. This type of marketing has proved effective for eCommerce businesses. You can read about the benefits of quick commerce as this is also an effective marketing tactic to be ahead of the curve.
How Remarketing Works? Steps
Remarketing is a digital marketing strategy and is highly effective for converting website visitors into customers. But how does it work? Let us know below how you are retargeted by online stores and websites.
Step 1: Visitors Land on Your Website
People visit your site but leave it without taking a desired action like making a purchase and filling out a contact form.
Step 2: Tracking visitor behavior
Step 3: Building Remarketing Lists
Based on the tracked behavior, you create remarketing lists. These lists categorize visitors into different groups. Such as those who viewed specific categories or abandoned shopping carts.
Step 4: Serving Personalized Ads
Create tailored ads and messages that are relevant to each remarketing list. For example, if someone abandoned a shopping cart with a pair of shoes, you show them an ad featuring those shoes.
Step 5: Ad Placement
Place these ads on various platforms, including display networks (like Google Display Network), Social media platforms (Like Facebook), or even email.
Step 6: User Sees Your Ads Again
As the visitor continues to browse the web, use social media, or check their email, they encounter your personalized ads. It reminds them of your products and services.
Step 7: Returning to Your Website
When a user is familiar with your products and services, they are more likely to revisit your site. They may complete the desired action.
Step 8: Measuring Success
Keep tabs on your remarketing campaign’s success with metrics such as click-through rate, conversion rates, and return on ad spend (ROAS). Analyzing this data helps you fine-tune your strategy.
Step 9: Continuous Optimization
If you want people to come to your website and buy products, keep on optimizing current marketing strategies to improve them as per the present requirements of the customers.
Exploring the Numerous Benefits of Remarketing in Digital Advertising
Remarketing offers several valuable benefits.
- Firstly, it helps re-engage customers who visited your site and showed interest in your products and services. By showing them tailored ads.
- Since remarketing targets users who have already shown interest, it increases the likelihood of conversion.
- Continuously displaying ads keeps your brand in users’ minds, even if they did not convert initially.
- It often has a lower cost per conversion compared to acquiring new customers.
- Tailored ads based on user behavior improve engagement.
- Remarketing helps recover abandoned carts and incomplete actions.
- Provides insights into user behavior.
- Remarketing showcases related or higher-value products to existing customers
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What Are Remarketing Pixel Tags?
Remarketing pixel tags are also called “Pixels”. They are tiny pieces of code that you place on your website. These codes track your website behavior, like which pages you visited or items you checked.
When someone leaves your site without making a purchase or taking desired actions, these pixels remember them. As these visitors browse other websites or social media, the pixels signal to show them your ads. This amazing reminder encourages them to return to your site and complete the desired action, like making a purchase.
Since every visitor has a unique ID it is easy to track their trail of cookies. Remarketing pixels are a vital tool in digital marketing, helping businesses to re-engage potential customers.
When Should You Use Remarketing?
The very first thing you should remember is, that remarketing is done for existing customers or your website visitors, not for new customers.
You should consider using remarketing in the following situations.
- Cart abandonment
- Incomplete forms
- Product views
- Website engagement
- Event promotion
- Re-engaging inactive customers
Where Can You Retarget Your Customers?
We have done enough talking about, “you should remarket because of various benefits”, but how. You can retarget your customers across various online platforms and channels. Here are their names.
- Google Ads
- Email Marketing
- Native Advertising
- E-commerce platforms
- Third-party Ad Networks
7 Common Remarketing Mistakes
Not being aware of the remarketing mistakes can ruin your plan for retargeting customers. Know common mistakes that generally people make and fail in retargeting.
1) Relying on cookie-based Based Retargeting:
This type of retargeting leads to incomplete data which often makes you send the wrong messages to the wrong customers. To avoid this mistake, you should use the ‘customer list’
What Is Remarketing List?
It is a list of people who visited your website and performed certain actions on it. The remarketing list is a carefully curated list of individuals who once interacted with your website or brand somehow. These are the people who visited your site, browsed your products, and got close to making a purchase but decided to make an exit.
2) Overwhelming Frequency:
It is irritating often when products follow you everywhere you go on internet platforms. Bombarding users with too many ads can annoy them and drive them away rather than re-engage.
3) Ignoring Mobile Users:
Most of the people use shopping and other sites through their phones. If you ignore mobile users, you can lose many potential customers.
4) Lack of Segmenting:
Failing to segment your audience properly can result in irrelevant ads and wasted impressions. Without segmentation, you might show the same ad to all visitors, even if their interests vary.
5) Neglecting Analytics:
Not analyzing campaign performance regularly leads to missing opportunities for improvement.
Remarketing Cost: CPA | CPC | CPM
A remarketing cost in digital advertising can be measured using different metrics.
Cost Per Acquisition:
This metric calculates the cost for each desired action such as purchase or sign-up. It measures how efficiently you are converting users into customers.
Cost Per Click:
CPC stands for cost-per-click and refers to the amount you pay every time a user clicks on your remarketing ad. It’s relevant for the campaigns where you want to drive traffic to your website or landing pages.
Cost Per Mile:
CPM means cost per thousand impressions. It’s what you pay for every 1000 times your ad is shown, regardless of clicks. CPM is great for campaigns that want to raise brand visibility.
Remarketing is an effective method to attract customers to your products and services. It empowers businesses to re-engage potential customers, boost conversions, and maximize ROI. Remember to segment your audience, craft compelling ads, and monitor performance diligently. If you’re interested in boosting your business’s digital transformation, our team of experts is available to discuss the topic with you.
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