What Is Retargeting and How Does It Work?


Have you ever browsed a product on a website and then seen that same product following you around the internet for weeks afterward? That’s retargeting in action!

Retargeting is a powerful tool that can help businesses convert more customers. However, many business owners don’t understand how retargeting works or why it’s necessary. As a result, they lose about 97% of first-visit traffic.

If you’re not using retargeting, your business is missing out on some serious conversions! Here’s what you need to know about retargeting.

What Is Retargeting?

To understand how retargeting works, first you’ll need to know the definition of retargeting.

According to WordStream, “retargeting (also known as remarketing) is a type of online advertising that can help you keep your brand in front of bounced website visitors and past customers.”

In other words, retargeting is a way to specifically target ads to individuals who have already visited your website. This helps you reach out to potential customers who may have been interested in your product but didn’t make a purchase on their first visit.

How Does Retargeting Work?

Now that you know what retargeting is, let’s take a closer look at how it works. Retargeting works by placing a cookie on the visitor’s computer. This cookie tracks the individual’s browsing behavior and allows you to serve targeted ads to them as they browse the internet.

When someone visits your website, the retargeting cookie collects information about that person’s visit. This includes the pages they visited, the products they viewed, and the amount of time they spent on your site.

The next time that person visits a website that is part of the retargeting network, they will see an ad relevant to their previous visit.

For example, let’s say someone visits your online store and browses your basketball shoes but doesn’t make a purchase. The next time they visit ESPN.com or another sports-related site, they could see an advertisement for those same shoes.

This is much more effective than traditional display advertising because it targets people who are likely to buy from you based on their browsing history and behavior.

Types of Retargeting Ads

Retargeting ads come in many different forms. Some of the most popular types of retargeting ads include:

Facebook Pixel Retargeting Ads

Facebook pixel retargeting ads use a unique website tag that enables you to show your ads on Facebook to people who have visited your site. These types of ads can be displayed as sponsored stories, page post link ads, or mobile newsfeeds. You can also use these social media marketing ads to remarket and reengage visitors with personalized offers based on their browsing behaviors.

Google AdWords Ads

Google AdWords retargeting ads are similar to Facebook Pixel retargeting ads, except they use Google’s Display Network to show your ads on other websites.

You can target people who have visited your website or a specific page on your website. You can also create remarketing lists based on the actions that people take on your site. For example, adding an item to their shopping cart but not completing the purchase.

Mobile App Retargeting Ads

Mobile app ads are used to target people who have installed your mobile app. You can show them ads for your other apps or products, or even re-engage them with special offers.

Why Should You Use Retargeting?

Now that you know how it works, you may be wondering why your business should use it. Here are a few reasons:

Increased Online Sales

By targeting your website visitors who have already shown interest in your company, you increase the chances that they will return to your site and make a purchase.

The average click-through rate for display ads is 0.07%. By comparison, retargeted ads get an average click-through rate of 0.70%. This is nearly ten times better than regular display advertising campaigns (0.07%)!

This increased click-through rate means that you’re more likely to reach your target audience and generate sales from them.

More Relevant Advertising

When you retarget a visitor, you are providing them with advertising that is relevant to them. This increases the chances that they will click on your ad and learn more about what you have to offer.

This increased relevance also helps reduce the likelihood of people becoming annoyed with your ads. After all, who wants to see the same advertisement over and over again? This prevents this by delivering new, relevant ads to your audience.

Increased Brand Awareness

By targeting website visitors, you are increasing the chances that they will remember your company and what you have to offer.

When someone sees your ad multiple times, they are more likely to remember who you are and what you do. This increased brand awareness can lead to more sales in the future.

Decreased Cost Per Lead

Retargeting is a more cost-effective way to reach your target audience than traditional advertising methods.

This is because you are targeting people who have already expressed an interest in what you have to offer. This means that you don’t have to spend as much money on advertising in order to reach them.

Increased ROI

ROI, or return on investment, is a key metric for measuring the success of any marketing campaign. Retargeting has been shown to have a higher ROI than other forms of online advertising.

This increased ROI means that your business is getting more bang for its buck when it uses retargeting as part of its marketing strategy.

Use Retargeting in Your Business

This is a great way to keep relevant advertising in front of potential customers who have already shown an interest in what you’re selling. And it can be especially effective when paired with dynamic re-marketing, which targets people based on the items they viewed on your website but didn’t buy.

To get started with retargeting, contact Shark Media today. We’ll help you create a campaign that targets the right audience and generates more leads for your business.error_outlineArticle Awaiting ReviewGetting To Know You: Audience Segmentation 101

Do you really know your audience? Audience analysis will help you understand who your are marketing to and audience segmentation is a key tool. Find out more.


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