Retargeting Ads: How It Can Help You Reclaim Lost Visitors banner 01 640w

Retargeting ads are easy to set up, cost effective to maintain and can have powerful results to your bottom line. We’ll explain what they are and how you can start using them in your business today.

Retargeting ads have a 3x high click through rate than cold advertising

Why should you use retargeting campaigns?

Rarely does a potential customer make the transition from hearing about a product, investigating that product, and making a purchase in one instance. Some users will store it for later reference, some will hold out while they check the competition, and many others may forget it exists as soon as they continue browsing. It is not uncommon for an online shopper to perform all the prerequisite tasks on a site, including adding items to the cart, only to decide they’ll make the purchase at a later time.

Retargeting ads: Remarketing customers are 3x more likely to click your ad than those who have not interacted with your business before.

What is retargeting and how does it compare to normal online ads?

Retargeting ads are cost-effective method for remaining in those customer’s minds, which any marketer will tell you is the key to turning visitors into subscribers and customers. The Return on Investment from retargeting campaigns can be much higher than advertising to “cold” traffic alone. Retargeting works the same as normal ads, only the information acquired via cookies on your site is used to add reminders to these users’ social media pages about the product. This means that only those people that have already been engaged with your website in the past will be shown your advertisements.

Since Facebook and Twitter are the most popular social media platforms by far, they are the best examples to show you how retargeting ads work. If you spend a lot of time on Facebook, chances are you see dozens of retargeting ads every day. You’ve probably even recognized that some of the ads are related to your recent browsing behavior—like an ad for a video card you put in your cart but didn’t buy, which suddenly shows up next to your newsfeed after you left the shopping site. This is not a coincidence, but the clever marketers for that company or e-commerce site using Facebook’s advertising platform and their “retargeting pixel”.

What is a retargeting pixel?

The “pixel” is a small Javascript program that is inserted into the code of a website, which is then used to send this information back to Facebook, who then allow you to send targeted advertisements directly to those website visitors. These users are referred to as “Custom Audiences” because the audience who will receive your advertisement is customised based on their behaviour on your website. The Custom Audience interface allows you to designate a specified type of visitor, such as “people who visit specific pages” and target them with purpose. Audiences aren’t limited to broad categories, and can be specific according to gender, age groups, language, interests, and behaviors. Facebook’s advertising pixel extends its usefulness by adding conversion tracking, which provides statistical analysis on how many visitors are converted into buyers and subscribers. Put simply, higher conversion rates equal higher revenue, and is the best way to measure of the effectiveness of your retargeting efforts.

Twitter’s retargeting works the same as Facebook Pixel, only the code snippet is called a “website tag”. In fact, virtually all elements of their platform work the same, but have different names. Custom Audiences are referred to as “tailored audiences,” and the criteria for classifying them differs in syntax only. Collected audiences are based on accumulated click-through rates that meet this criteria, and they are grouped for ninety days before the lists are purged and the tracking begins again. Twitter places retargeting ads discreetly between posts from their favorite users, and can take the form of tweets that discreetly fit into users’ feeds, or Twitter Cards, which allow more text than the 144-character limit.

Retargeting ads: With 98% of visitors not converting, remarketing provides additional touch points to move prospects further down the sales funnel.

How are retargeting advertising costs calculated?

Facebook and Twitter both use and auction-based system for advertising fees, and since retargeting ads fall under the same system, its cost is subject to circumstance. In these systems, you provide unspecified amount as a budget, which denotes how much you’re willing to spend on ads, and these budgets are entered on your behalf into auctions against similar ads. The systems are geared toward making sure everyone eventually gets a moment in the spotlight, but allows people who are willing to spend more on advertising to get first dibs on a spot. Since the retargeting components of each advertising platforms are just scripts to enter on a site, neither platform charges extra to add retargeting or conversion management to your portfolio. Instead, these methods work in conjunction with existing ad campaigns and conversion trackers to maximize their effectiveness.

Tips for implementing retargeting ads in your business

  • Even if you don’t plan to implement a retargeting campaign today, ensure that you install all the required code onto your website as soon as possible. This will allow for your audience to be built in the background and ensure it is ready for future use.
  • Facebook provides an “ads create tool” that allows you to create what the users will see, and this tool allows you to create multiple variants. You can select from millions of stock images for your ad, but it is recommended you have brand-relative images on hand.
  • Campaigns run on business goals. Have definitive set of goals documented that will guide your decisions about who to target and how.
  • As any form of tracking on the Internet requires cookies that collect consumer information, be sure you have your cookie policy in order somewhere on your website and inform people that you’re gathering their information for sales purposes.
  • Consider that the audiences for the social media sites may use them for different purposes. Facebook users tend to search for more engaging content to pass the time, while Twitter users are generally searching for a quick boredom fix between other activities, so you should modify the tone of your ads accordingly.

Read these articles to learn more

Categories: Blog, Business Growth Series
Tags: Blog, Business Growth Series

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Jurgen van Pletsen

Learn about retargeting and how it can help you reach 98% of people who leave your website without taking any action