What's the best way to use remarketing and retargeting for growth?
Answer
Remarketing and retargeting are powerful digital marketing strategies designed to re-engage potential and existing customers, driving growth through higher conversion rates and customer retention. While both techniques aim to bring users back to your business, they operate through different channels and serve distinct purposes. Retargeting primarily uses paid ads (via platforms like Google, Facebook, and LinkedIn) to reach users who visited your website but didn’t convert, with retargeted visitors converting at a 70% higher rate than non-retargeted ones [7]. Remarketing, on the other hand, leverages email marketing to reconnect with past customers or leads, focusing on personalized content to encourage repeat purchases and loyalty [2]. When combined strategically, these approaches can significantly reduce customer acquisition costs (CAC), increase return on investment (ROI), and combat common challenges like cart abandonment and ad fatigue [1].
Key findings from the sources reveal:
- Retargeting boosts conversions by 70% for visitors who didn’t convert initially, making it one of the most effective tactics for short-term growth [7].
- Remarketing emails achieve higher ROI by targeting existing customers with personalized offers, reducing reliance on paid ads alone [4].
- Audience segmentation is critical—dividing users by behavior (e.g., cart abandoners vs. past purchasers) allows for tailored messaging that improves engagement [3].
- Cross-platform campaigns (combining email, social media, and display ads) maximize reach and reinforce brand recall, but require careful frequency capping to avoid ad fatigue [1].
Strategies for Using Remarketing and Retargeting to Drive Growth
Leveraging Retargeting for High-Intent Audiences
Retargeting excels at recapturing users who demonstrated interest but didn’t complete a purchase, making it ideal for addressing cart abandonment and nurturing leads in the consideration phase. The strategy relies on tracking pixels or cookies to serve ads to these users as they browse other websites or social platforms, with studies showing retargeted visitors convert at a 70% higher rate than first-time visitors [7]. Platforms like Google Ads, Facebook, and LinkedIn offer robust retargeting tools, allowing businesses to display dynamic ads featuring products users viewed but didn’t buy [6]. This approach not only increases conversions but also reinforces brand awareness, as users repeatedly see ads tailored to their interests.
To optimize retargeting campaigns for growth, focus on these proven tactics:
- Pixel-based retargeting: Install tracking pixels on your website to collect data on visitor behavior, then serve ads to those who viewed specific pages (e.g., product pages or pricing tables) but left without converting [5]. This method is highly effective for e-commerce, where 96% of visitors don’t convert on their first visit [6].
- List-based retargeting: Upload email lists of past customers or leads to platforms like Facebook or Google Ads to target them with tailored ads. This works well for upselling or promoting new products to an already warm audience [7].
- Dynamic product ads: Automatically show users ads featuring the exact products they viewed, complete with personalized pricing or discounts. Companies like Intel saw a 3x increase in conversion rates using this technique [6].
- Frequency capping: Limit how often the same user sees your ads to prevent ad fatigue, which can lead to lower engagement. A common best practice is capping impressions at 3–5 per user per day [1].
- Cross-platform retargeting: Extend campaigns beyond display ads to include social media (Facebook, Instagram), search engines (Google Search Ads), and even OTT/CTV streaming platforms to maximize reach [3].
The most successful retargeting campaigns combine these elements with clear calls-to-action (CTAs) and incentives, such as limited-time discounts or free shipping offers. For example, an e-commerce brand might retarget cart abandoners with a 10% discount code via Facebook Ads, while simultaneously running Google Display Ads showcasing the abandoned products [9]. This multi-channel approach ensures users encounter the brand multiple times, increasing the likelihood of conversion.
Building Long-Term Growth with Remarketing
While retargeting focuses on short-term conversions, remarketing is designed to nurture long-term customer relationships through personalized email campaigns. This strategy targets users who have already engaged with your brand—such as past purchasers, newsletter subscribers, or leads who downloaded a resource—using automated email sequences to encourage repeat purchases and loyalty [2]. Remarketing is particularly effective for businesses with longer sales cycles or subscription models, where maintaining customer engagement over time directly impacts revenue growth.
Key remarketing strategies to implement include:
- Abandoned cart emails: Send automated emails within 1–3 hours of a user leaving items in their cart, including images of the products and a direct link to complete the purchase. Studies show these emails can recover 10–30% of lost sales [9].
- Post-purchase follow-ups: After a customer makes a purchase, send a thank-you email followed by a series of messages highlighting related products (cross-selling) or premium versions (upselling). For example, a SaaS company might email users after a free trial ends to upgrade to a paid plan [1].
- Win-back campaigns: Target inactive customers with exclusive offers or updates about new features to re-engage them. Segment these users based on their last purchase date or engagement level for higher relevance [4].
- Personalized recommendations: Use past purchase data to suggest complementary products. Amazon’s "Frequently Bought Together" emails are a prime example of this tactic driving repeat sales [6].
- Event-based triggers: Send emails tied to specific user actions, such as browsing a product category but not purchasing, or reaching a milestone (e.g., a subscription renewal date). Automation tools like DashClicks or Kajabi can streamline these workflows [2].
Remarketing’s strength lies in its ability to deliver highly relevant content at the right time, fostering trust and reducing the need for paid ads. For instance, a fashion retailer might use remarketing to send a "Complete Your Look" email featuring accessories that pair with a recently purchased dress, while simultaneously running retargeting ads on Instagram showcasing the same items [3]. This synergy between email and ads creates a cohesive customer journey, reinforcing the brand’s value at every touchpoint.
To maximize remarketing’s impact, prioritize audience segmentation and automation. Divide your email list into groups based on behavior (e.g., frequent buyers vs. one-time purchasers) and tailor messages accordingly. Tools like Google Ads’ Customer Match or Facebook’s Custom Audiences allow you to sync email lists with ad platforms, enabling a unified remarketing and retargeting strategy [4]. Additionally, track metrics like open rates, click-through rates (CTR), and conversion rates to refine your approach over time.
Integrating Retargeting and Remarketing for Maximum Growth
The most effective growth strategies combine retargeting and remarketing to create a full-funnel approach that nurtures users from initial awareness to repeat purchases. Retargeting captures high-intent users who are close to converting, while remarketing deepens relationships with existing customers, reducing churn and increasing lifetime value (LTV) [8]. For example, a startup might use retargeting ads to bring back visitors who abandoned their cart, then follow up with a remarketing email offering a bonus discount if they complete the purchase within 24 hours [1].
To implement this integrated approach:
- Align messaging across channels: Ensure retargeting ads and remarketing emails share a consistent brand voice and offer. For instance, if a retargeting ad promotes a 20% discount, the follow-up email should reinforce that same promotion [5].
- Use cross-selling and upselling: Retarget users who purchased a product with ads for complementary items, then follow up with an email showcasing a bundle deal. This tactic works well for industries like tech (e.g., selling a laptop case after a laptop purchase) or beauty (e.g., pairing a serum with a moisturizer) [9].
- Leverage automation tools: Platforms like DashClicks or LeadsBridge allow you to sync retargeting and remarketing efforts, ensuring users receive cohesive messaging whether they’re seeing an ad or opening an email [2].
- Track unified metrics: Measure the combined impact of both strategies by analyzing metrics like return on ad spend (ROAS), customer lifetime value (CLV), and repeat purchase rate. This data helps identify which channels drive the most growth [3].
A real-world example of this integration is Zendesk, which used dynamic remarketing ads to target users who viewed specific software features, followed by personalized emails offering a free trial extension. This approach resulted in a 50% increase in conversions and a 30% reduction in CAC [6]. By treating retargeting and remarketing as complementary rather than separate strategies, businesses can create a seamless customer journey that drives both immediate sales and long-term loyalty.
Sources & References
leadsbridge.com
powerdigitalmarketing.com
growthbadger.com
marketinginsidergroup.com
smartyads.com
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