Have you ever visited a website or online shop, only to find the site or a particular product tailing you across the internet? Welcome to the realm of remarketing. In this post, you will find out why and how you should incorporate this powerful strategy into your marketing arsenal.
Remarketing, also known as retargeting, is a digital marketing approach where companies aim to re-engage people with their website or app. It targets users who have previously interacted with a specific brand in some way, encouraging them to complete unfinished purchases. This means that if you notice an exciting piece of furniture or the latest tech gadget online, but leave without purchasing it, soon the same cabinet or speaker will appear to you in Google searches, news portals, Facebook feed, on the edge of your mailbox, or even in your mailbox as an e-mail remainder.
Why? Because remarketing is highly effective.
Typically, 97–99% of website visitors leave without returning. Remarketing, however, changes this game. According to UK digital marketing agency I-COM, remarketing banners have a 180% higher click-through rate (CTR) and a 291% higher conversion rate than standard banners, while the cost per click for retargeted users is eight times cheaper than for brand new users.
Once a customer makes an initial purchase, it becomes much easier to bring them back than to look for new customers, and with each subsequent purchase, the probability of returning increases (read our previous blog post on loyalty marketing too). Therefore, it’s worthwhile to target the customers who have already shown interest in your website, and strike the iron while it is hot.
Navigating the Thin Line between Engaging and Overwhelming
While remarketing proves effective, people’s reactions to it vary. Some may find it annoying, and feel negative about the use of their browsing data. Invesp, a US agency specializing in CRO, found that as many as 84% of users either ignore or oppose retargeted ads. At the same time, there are people who find retargeted ads very useful: the plan to make a purchase is clear, and it’s nice to have reminders of the appealing products or services. 16% of users find these ads useful, presenting a considerable potential that shouldn’t be underestimated.
Therefore, each marketer has to strike a balance, and decide, when and to whom remarketing makes sense. Consider the pain threshold of your target audience, and use common sense to determine suitable activities for retargeting. For example, it makes a difference whether the user visited your website only for a moment or surfed there for a longer time or even filled the shopping cart and then abandoned it. Here are some general recommendations:
- Keep remarketing ads within a short timeframe: 39% agree to retargeting for only one day, 24% for 2-3 days and 21% for up to a week.
- At the same time, users prefer fewer retargeted ads rather than more. 53% of users would accept only one ad per week, 19% would settle for two. This rate drops sharply, with only 5% agreeing to 6 or more remarketing ads weekly.
For positive user experience, we recommend you to follow some of these tips:
- Set limits on ad frequency, for example, 3–5 times a day or a week.
- Use visually appealing, unobtrusive ads that blend with their display environment.
- Opt for traditional ad placement to make them less intrusive. For example, avoid pop-ups and interstitials.
- Select your remarketing channels carefully, don’t remarket indiscriminately everywhere.
- Segment users based on their behavior and engagement, and adapt the retargeting ads to them.
- Gradually reduce ads over time. You can be more aggressive in the first few days, and then gradually pull back.
- Test different messages, frequencies, and formats, adjusting your strategy accordingly. Offer users the option to opt out of remarketing. This creates a positive impression of the brand.
Once you’ve fine-tuned your remarketing strategy, let computers give you a hand in executing it. For example, Google Ads and Facebook Ads offer automated remarketing solutions, where ads are shown based on your defined rules and parameters.
Try it! Retarget users who have shown interest in your brand to complete unfinished purchases or boost brand awareness, making customers remember you when the time is right. With a well-executed remarketing strategy, you’ll witness improved results while saving costs. If you need help, feel free to reach out to us at hello@hundredagency.eu.