Remarketing involves the creation of personalized and targeted ads for consumers who have already visited a company’s website. The process works in this way: as users visit a brand’s website, they are tagged with cookies that follow the users, and as they land on advertising platforms where retargeting is an option (like social media platforms) they get served ads based on their navigation.
|Definition||Remarketing, also known as Retargeting, is a digital marketing strategy that involves showing targeted ads to users who have previously interacted with a brand’s website, app, or other digital assets. The goal is to re-engage these users and encourage them to take a desired action, such as completing a purchase or signing up for a service. Remarketing is based on the idea of repeated exposure to the brand’s message.|
|Key Concepts||– Audience Segmentation: Users are segmented based on their previous interactions and behavior. – Ad Display: Targeted ads are displayed on various websites or platforms the user visits. – Conversion Focus: The primary goal is to convert previous visitors into customers. – Customization: Ads can be customized to align with the user’s interests or actions. – Tracking: Utilizes cookies and tracking pixels to identify users.|
|How It Works||1. User Interaction: A user visits a website, views products, or takes specific actions (e.g., adds items to a shopping cart). 2. Tracking: The user’s behavior is tracked through cookies or pixels, creating a user profile. 3. Ad Placement: Targeted ads are displayed to the user on other websites or platforms. 4. Engagement: The user may click on the ad and return to the website to complete an action.|
|Benefits||– Higher Conversion Rates: Remarketing often results in higher conversion rates compared to generic ads. – Improved ROI: It can be a cost-effective way to re-engage users who have already shown interest. – Enhanced Personalization: Ads can be tailored to the user’s previous interactions. – Brand Recall: Increases brand recall as users encounter the brand multiple times. – Reduced Abandonment: Helps reduce cart abandonment in e-commerce.|
|Challenges||– Privacy Concerns: Users may have concerns about being tracked and remarketed to. – Ad Fatigue: Users may become annoyed if they see the same ad repeatedly. – Limited Reach: Remarketing targets a specific audience, limiting its reach. – Competitive: Many businesses use remarketing, making it competitive. – Balancing Frequency: Finding the right balance in ad frequency is crucial.|
|Types of Remarketing||– Standard Remarketing: Shows ads to previous website visitors on various websites and apps. – Dynamic Remarketing: Displays personalized product ads to users based on their browsing behavior. – Remarketing Lists for Search Ads (RLSA): Targets users with ads when they perform related searches on search engines. – Email Remarketing: Sends personalized emails to users who abandoned their shopping carts or took specific actions. – Video Remarketing: Displays ads to users who previously interacted with videos or YouTube channels.|
|Effectiveness||Remarketing is generally effective at re-engaging users and increasing conversions. Its success depends on the quality of ad creatives, audience segmentation, and the relevance of the offers presented. However, it may not be suitable for all businesses, and its success can vary by industry and target audience. Remarketing is often used in combination with other digital marketing strategies.|
|Privacy Considerations||Remarketing relies on tracking user behavior, which has raised privacy concerns. Regulations like the General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA) require businesses to be transparent about data collection and provide users with options to opt out of tracking and personalized ads. Compliance with these regulations is essential for remarketing campaigns.|
|Conclusion||Remarketing is a valuable digital marketing strategy for re-engaging users who have previously shown interest in a brand’s products or services. When executed effectively, it can lead to higher conversion rates and improved ROI. However, businesses must navigate privacy considerations and user preferences to ensure the success and ethical implementation of remarketing campaigns.|
Remarketing is based on the simple premise that it is more effective to advertise to consumers who already know a brand as there is more chance they will purchase something. Given 96% of consumers leave a website without making a purchase, it is crucial businesses continually re-engage with visitors and keep their brands top of mind.
The process of remarketing can be illustrated in three steps:
- First, a user visits a brand’s website or consumes its content.
- The user is then tagged with a cookie and added to a list.
- Lastly, the business serves targeted ads to those users based on their previous actions.
Note that users will be able to see remarketing ads while they are browsing the web, reading from their favorite news app, or consuming video content on YouTube. That is, the user does not need to revisit the site where they were first tagged to see the ads.
Different types of remarketing
There are various types of remarketing according to how users are added to the list. These include:
The most common form where display ads are shown to website visitors on other websites and apps. Google’s Display Network reaches 90% of internet browsers across multiple platforms.
Where ads are shown exclusively in mobile apps and websites.
These ads are shown in search engines to users who have already visited a brand’s website. This allows the business to serve ads to consumers who are interested in a product or service and are still looking for information.
This form of remarketing is similar to the standard version. However, the ads are more personalized according to the products and services viewed.
The specifics of each remarketing campaign will differ from customer to customer. With that in mind, here is a general look at some real-world examples:
Once a user has searched its store for shoes, Nike displays remarketing ads on other sites where the user can scroll through a list of “personalised” sneakers. To finish, the company includes a call to action to encourage shoppers to purchase on its website.
The accommodation provider is also known for displaying remarketing ads in a user’s Facebook news feed. These ads feature a photo of the accommodation listing with a prominent “Book Now” call to action button.
The music streaming platform uses traditional display marketing to target users as they surf the web. Some ads incorporate a promotion where the user can receive three months of Spotify Premium for free. The promotion targets existing Spotify listeners who may be hesitant to upgrade their subscriptions.
Additional Case Studies
- Scenario: A user browses Amazon for a specific product but doesn’t make a purchase.
- Remarketing Strategy: Amazon displays ads featuring the viewed product on other websites and apps through its advertising network.
- Call to Action: Encourages the user to return to Amazon and complete the purchase.
- Scenario: A user searches for hotels in a specific destination on Booking.com.
- Remarketing Strategy: Booking.com shows ads with hotel options in that destination on various platforms, reminding the user of their travel plans.
- Call to Action: Encourages the user to revisit Booking.com and book accommodations.
- Scenario: A user visits HubSpot’s website and explores its marketing software solutions.
- Remarketing Strategy: HubSpot delivers targeted ads to the user on platforms like LinkedIn, highlighting the benefits of its software.
- Call to Action: Prompts the user to request a demo or start a free trial.
- Scenario: A user views specific shoe brands and styles on Zappos’ website.
- Remarketing Strategy: Zappos displays ads featuring the same shoes across the web, often offering discounts or promotions.
- Call to Action: Encourages the user to revisit Zappos and make a purchase.
- Scenario: A user visits an e-commerce website and adds products to their cart but doesn’t complete the checkout.
- Remarketing Strategy: Facebook allows the e-commerce site to retarget the user with dynamic ads displaying the abandoned cart items.
- Call to Action: Reminds the user of the products in their cart and encourages them to complete the purchase.
- Scenario: A user explores Adidas’ website, looking at running shoes and athletic apparel.
- Remarketing Strategy: Adidas displays personalized ads featuring the products the user viewed, along with complementary items.
- Call to Action: Encourages the user to revisit Adidas’ website to make a purchase.
- Scenario: A user searches for flights and hotels on Expedia but doesn’t complete a booking.
- Remarketing Strategy: Expedia shows ads on various platforms, reminding the user of their travel plans and offering discounts on selected destinations.
- Call to Action: Prompts the user to return to Expedia and finalize their travel bookings.
- Scenario: A user browses H&M’s online store, adding clothing items to their cart but abandoning it before checkout.
- Remarketing Strategy: H&M retargets the user with ads featuring the abandoned cart items, sometimes including limited-time offers.
- Call to Action: Encourages the user to complete their purchase on H&M’s website.
- Scenario: A user visits Netflix’s website and explores the available streaming plans.
- Remarketing Strategy: Netflix delivers targeted ads to the user on social media platforms, emphasizing the content library and user experience.
- Call to Action: Invites the user to subscribe to Netflix and start streaming.
- Booking.com (Cross-Device Remarketing):
- Scenario: A user searches for accommodations on Booking.com using a mobile device but doesn’t book.
- Remarketing Strategy: Booking.com employs cross-device remarketing, displaying ads on the user’s desktop and other devices, featuring the same destinations.
- Call to Action: Encourages the user to revisit Booking.com and complete their booking from a different device.
- Scenario: A user explores unique handmade items on Etsy’s marketplace.
- Remarketing Strategy: Etsy retargets the user with ads showcasing similar products from the same or similar sellers.
- Call to Action: Prompts the user to return to Etsy and discover more handcrafted goods.
- Scenario: A business professional visits a software company’s website, considering their services.
- Remarketing Strategy: LinkedIn allows the software company to target the professional with sponsored content, highlighting case studies and success stories.
- Call to Action: Encourages the professional to request a consultation or explore the company’s solutions.
- Remarketing involves the creation of personalized and targeted ads for consumers who have already visited a company’s website.
- Remarketing campaigns can take a few different forms according to how users are added to a promotional list. Standard remarketing is the form used by the Google Display Network, but there are also dynamic, search engine, and mobile app forms.
- Remarketing by definition is a personalized experience for each user. Nevertheless, some general examples of the strategy in action include those from Spotify, Airbnb, and Nike.
Key Highlights of Remarketing:
- Definition: Remarketing is a digital marketing strategy that involves creating personalized and targeted ads for users who have previously visited a company’s website. It aims to re-engage these users and encourage them to take desired actions.
- Rationale: Remarketing is based on the idea that advertising to users who are already familiar with a brand is more effective, as they are more likely to convert. Given that a significant percentage of website visitors (96%) leave without making a purchase, remarketing helps keep the brand top of mind.
- Users visit a brand’s website or engage with its content.
- Users are tagged with cookies, enabling tracking of their online behavior.
- Targeted ads are displayed to these users on various platforms and websites based on their previous interactions.
- Types of Remarketing:
- Standard Remarketing: Display ads shown to website visitors on other websites and apps.
- Mobile Apps Remarketing: Ads exclusively displayed in mobile apps and websites.
- Search Engine Remarketing: Ads shown in search engine results to users who have visited a brand’s website.
- Dynamic Remarketing: Personalized ads that showcase specific products or services viewed by users.
- Nike: Displays remarketing ads featuring personalized sneakers to users who have previously searched for shoes. Includes a call to action to encourage purchases on its website.
- Airbnb: Shows remarketing ads in a user’s Facebook news feed, featuring accommodation listings and a prominent “Book Now” button.
- Spotify: Uses traditional display marketing to target users as they browse the web, often offering promotions like three months of free Spotify Premium to existing users.
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