Retargeting focuses on the right people with the right ads and places to give a 500 percent increase in click thru rates, according to Adam Berke head of accounts at AdRolla retargeting company.
Retargeting “follows” a customer who leaves your website without a purchase or conversion. About 98 percent of all web traffic will search a product and leave your site without the sale because on average it takes 7 different contact points with the customer before a sale is closed.
While companies still use search engine marketing metrics, retargeting is the most underutilized online advertisingtool to help improve ROI. Retargeting seeks to remind an online customer that they searched for a product at a previous website to try and get them to return to an online store.
Retargeting is not new. In 2006, “Retargeting Saves Money,” a leading newspaper was able to realize a conversion rate increase of 10x with 5% of the total previous impressions.
Zappos.com, an online shoes and clothing company, uses retargeting to sell shoes, however some customers feel like they are being “digitally stalked.” When Julie Matlinsaw a pair of shoes on Zappos.com she left the site and was followed around by the same shoe ad to different sites.
Another name for retargeting is “personalized retargeting” or “remarketing”, terms used by other companies such as msnbc, Armani Exchange, TiVo, Hyatt and diapers.com. Retargeting uses cookie technology. So, if you browse for shoes a cookie is placed in your browser linking you to shoes, and the advertising technology creates a personalized ad for shoes.
Criteo, a retargeting company for Zappos displays a “Why am I seeing these ads?” link explaining to customers that their privacy is kept safe and giving them an opportunity to opt out. Few opt out said Jean-Baptiste Rudelle, chief executive of Criteo.
Mr. Berke explained that when ads are relevant and personalized, CTR increases. He shoots for a 3-way win-win scenario for retargeting.
- Publishers – Those selling ads
- Advertisers – They work with publishers to get the word out
- Consumer – Customers receive personalized ads that interest them
A good retarget campaign is a tool used by advertisers to assist publishers in selling a product or service that interests their customer.
Search engine marketing and retargeting complement your advertising mix. The goal of retargeted ads is to increase customer conversion by reminding an interested buyer in case they still want the purchase. Retargeting is a method to follow-up with the customer who has expressed an interest in buying. Example: Rather than trying to follow your customer around to get them to buy, offer them a coupon if they return to your online or offline store.
“All are in the Information business Generating Their Own Search Advertising Data”. Capstone Media. August 9, 2010.
ABOUT: AdRoll- founded in 2006, a retargeting display company that manages and measures a brand’s display advertising dashboard.
ABOUT: Criteo- founded in 2005, specializes in pay per click (PPC) personalized retargeting solutions company
“Retargeting Ads Follow Surfers to Other Sites”. Miguel Helft and Tanzina Vega, New York Times. August 29, 2010.
“Retargeting, the Missing Piece of the Conversion Puzzle”. Osman Bangura, iMediaConnection. September 9, 2010.
“Retargeting Saves Money”. Nada Stirratt, iMediaConnection. May 3, 2006.