Updated: Nov 3, 2020
Every marketer gets a great kick, an adrenaline rush to see their campaign engaging the target audience and driving them to the website/app. But more often than not, this traffic doesn’t convert into customers, and the conversion funnel keeps shrinking! I know that feeling...
While there are various ways to optimize campaigns to better the conversion rate, be it changing the targeting strategy or landing page strategy or even changing the communication style. In the hope to increase the number of customers, we rush to bring in new traffic but miss out on maximizing the existing audience, the ones who in this cluttered digital space found you and visited your website or social media profile. These audiences are the low hanging fruits that we need to harvest before they over-ripe and fall off the tree (Read as move out of the sales funnel). And the best way to leverage these low hanging fruits is by having the right retargeting & remarketing strategy in place.
Though retargeting & remarketing are used interchangeably as they hold the same marketing goals, but yet have some important differences in its strategy and targeting. Let’s not get stuck in the definition, rather let’s focus on how these work and how they can be leveraged to enhance the business numbers and rack in the revenue!
What is Retargeting:
Retargeting is a way to reconnect with users who have interacted with you on your website, app, or even social media, but has not converted. There are mainly 2 types of interactions that can be leveraged to deliver your retargeted ads - on-site and off-site interactions.
This is an interaction that a user has done on your website or app, be it reading a blog or checking out a product you offer.
This type of interaction is focused on reconnecting with users who have engaged with you on your social media profile.
Example for a Retargeted ad:
Say Rob visits your e-commerce website or comes across a social media post and engages, but did not purchase a product. Later on, Rob is browsing through a news site and you deliver an ad that showcases the same product as a reminder or maybe an exclusive offer that might make him buy your product.
How to Set-up retargeting:
Now that we are aware of what is retargeting and its types, let’s move forward and understand the process involved.
Step 1 [Add the codes]: The first and most important step in the retargeting strategy is to have the tracking in place. There are two ways to place the tracking, either you hard-code them into your website, which I personally do not recommend as that requires being dependent on your IT team, the second, and the better way is through Google Tag Manager.
NB: Make sure to test out your tags and triggers, before you move to the next step.
Step 2 [Segment them right]: There are times when businesses have tried retargeting but haven’t been able to achieve the desired results, and one of the main reasons for this is not having the right segmentations. Targeting all as same is not the best way, rather segment your audience based on a particular page visit such as a product page, a particular action taken on website/app, and even the frequency.
Step 3 [Get the ad rolling]: Now it’s time to design your communications, set-up your objective & bidding strategy right. One thing to keep in mind is to no get Lost in ad fatigue, don’t show a user the same ad more than 3 times, tweak your messaging, and also keep a cap on the frequency.
Step 4 [Measure and Optimize]: To maximize every dollar you spend, always keep measuring the performance of your campaign, and optimize regularly.
Now that we have learned about retargeting, let’s move on to its sister – Remarketing!
What is remarketing:
Just like retargeting, remarketing is also a way to reconnect with your warm leads and convert them into customers; additionally, you can take it a notch further and use it to re-activate the existing customers who have churned out or cross-sell/upsell to your active customer base.
How to set-up remarketing:
As the key aspect of remarketing is to ensure you have a strong database, enhancing the utilization of your existing database and capturing new leads should be an important part of your strategy.
Step 1: Gimme Lead - One of the ways to capture relevant leads is by running lead generation-based ads; while Facebook has had this feature for some time now, Google has recently announced its Leads generation ads too.
Step 2: Segment them right – Now that you have the database and leads all set, make sure you segment them right so your messaging can be clear and can have a higher conversion rate. For example, if the customer already has savings account with you, don't show ads related to it, rather promote another product/service you offer based on their history. Or if he is a credit card holder but hasn't used it, deliver an ad that showcases the features and benefits of using it FOMO (Fear Of Missing Out) plays heavily on a human's mind.
Step 3: Not just email marketing – In earlier days of remarketing, it was only used as an email marketing technique, but with giants like Google & Facebook enabling the audience building capabilities has changed the way we look at remarketing. Below is how the audience building works:
NB: To increase your audience base, you can also use Google’s similar audience or Facebook’s Look-alike audience that helps you find users that are similar to your customers.
In conclusion, Digital marketing has various techniques and tricks that can extract maximum out of every dollar you spend for branding, engagement, or acquisitions; all you need is to look in the right place and develop the right strategy.