By Jordan Blair
Mar 6, 2017
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Most marketers probably have search advertising campaigns. Some marketers probably have social media advertising campaigns. However, ALL marketers should have retargeting campaigns. Why? Because online ad retargeting is the best bang for your online buck.
Retargeting campaigns are widely considered one of the most cost-effective advertising methods. This isn’t because they have low cost-per-clicks necessarily but they spend your budget more efficiently. Typically, retargeting campaigns have a lower volume of impressions and clicks than keyword- or demographic-based campaigns, however since these users previously have had at least one interaction with your site, they are usually more familiar with your business or services than a user coming from a different type of campaign. Therefore, retargeting campaigns typically have an improved cost-per conversion, conversion rate, and ROI compared to other campaigns. Some of our clients have retargeting campaigns that have a 334% higher ROI than campaigns with other types of targeting. Now that is cost-effective.
When setting up audiences for online ad retargeting, you can be very selective in who you spend your remarketing dollars on. Typically, they will be users who completed an action or visited a key page, such as users who have put an item in a shopping cart but have not purchased it. However, you may not want to target every single person who has completed that action or visited that page.
Luckily it is possible to take an even more targeted approach by using Google Analytics audiences. You can set up an audience for people who have been to several crucial pages, have specific demographic characteristics like being within an age range or in-market segment, have spent a certain amount of money on your site, or have spent a significant amount of time engaging with your site. Retargeting gives you the ability to narrow down your audience to those who are more likely to become a customer.
Part of marketing’s role is to keep individuals moving down the sales funnel and deliver the most qualified lead possible to the sales team. The difficulty with delivering a qualified lead is that it typically takes at least 7 touches to make a sale according to the Online Marketing Institute. That is a lot of touches that you need to make with potential customers. Finding those customers again through the use of advertising can be like finding a needle in a haystack if it were not for retargeting, not to mention the cost would be huge.
As mentioned in the previous two sections, online ad retargeting allows you to narrow down your audience to the right users who are worth spending money on, while spending money in a much more cost-effective manner. Ultimately that efficient spending will help your budget to be carried further and the ensuing extra budget expands what you are capable of with your advertising strategy. You can use those marketing dollars to get more people into the sales funnel and get those that are already in it further down the funnel.
Lastly, online ad retargeting is available on most all digital advertising channels. It is available on Google, Bing, Facebook, Twitter, Pinterest, and more. That being said, there really is no excuse for your company not to leverage retargeting.
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