Unleash the Power of Retargeting Ads: How to Boost Your Conversion Rates and Grow Your Business
If you’re a business owner or marketer looking to get the most out of your advertising budget, consider retargeting ads. Retargeting, also known as remarketing (in fact, you’re probably more likely to hear me and the others here at Mars Digital call it remarketing), is a form of online advertising that allows you to show ads to users who have previously visited your website or taken a specific action. In this blog post, we’ll discuss the benefits of retargeting ads and how they can help you grow your business.
Increased conversion rates
One of the biggest benefits of retargeting ads is that they have the potential to increase your conversion rates significantly. According to a New York Times Customer Insight Group study, retargeted visitors are 70% more likely to convert on your website than new visitors. This is because retargeting allows you to show ads to users who have already expressed an interest in your product or service by visiting your website. As a result, they are more likely to be in the consideration or decision stage of the buying process and, therefore, more likely to make a purchase.
For example, if a user visits your website and views a product they’re interested in but doesn’t buy it. With retargeting, you can show them an ad for that product while they’re browsing other websites. This way, you can remind the user of their interest in the product and encourage them to return and purchase. This can be especially effective if you have a special deal or promotion running in the retargeting ad to incentivise the user to take action.
Another benefit of retargeting ads is that they allow you to be more precise in your targeting. With traditional forms of advertising, such as display ads, you can target based on demographics, interests, and other general characteristics. However, with retargeting, you can show ads specifically to users who have already shown an interest in your business or a particular product or service. This level of targeting can be especially effective if you have a narrow target audience or a specific product or service that may not appeal to a broad audience.
For example, let’s say you own a boutique that sells high-end handbags. With retargeting, you can show ads for your handbags to users who have previously visited your website and viewed your handbag product pages. This is much more targeted than showing ads for your bags to users who have no interest in handbags or who may not be able to afford your high-end products. By targeting your ads more effectively, you can increase the likelihood that they will be seen by users who are most likely to make a purchase.
I’ve always believed that each business is unique. Bringing this view to Mars Digital means we take the time to understand you and your business before going away, doing the research and coming back to you with our thought out recommendations and the reasoning behind them.
For me, it’s all about building a mutually beneficial partnership.
Retargeting ads can also help improve brand awareness and remind users of your business. When a user sees an ad for your business after visiting your website, it can help reinforce their memory of your brand and what you offer. This can be especially effective if the user was considering making a purchase but didn’t do so on their first visit to your website. By showing them ads as they browse other websites, you can keep your brand top-of-mind and increase the chances that they will come back to your website and make a purchase.
For example, a user visits your website and signs up for your email list but doesn’t make a purchase. With retargeting, you can show specific users ads for your business as they browse other websites. This can help remind them of your brand and the products or services you offer, and encourage them to come back to your website and make a purchase. Additionally, consistently showing ads to users who have visited your website can help increase overall brand awareness and familiarity among your target audience.
Cost-effective retargeting campaigns
Retargeting can also be a cost-effective way to advertise your business. With traditional forms of advertising, such as display ads, you often have to pay for each impression or click on your ad. However, with retargeting, you only pay for actual conversions, such as a purchase or sign-up. You can get a higher return on investment (ROI) from your advertising budget. Additionally, because retargeting allows you to be more targeted in your advertising, you can often get more value out of each conversion, as you are more likely to be reaching users who are interested in your business or products.
For example, let’s say you spend $500 on a retargeting campaign and generate 50 conversions as a result. If the average value of each conversion is $50, then your ROI would be 1000%, as you would have generated $2500 in revenue from your $500 investment. This is a much higher ROI than you would likely get from a traditional display ad campaign, where you would have to pay for each impression or click, regardless of whether it leads to a conversion.
Easy to set up and measure
Finally, retargeting ads are relatively easy to set up and measure. Most retargeting platforms, such as Google Ads and Facebook Ads, have user-friendly interfaces that allow you to create and manage your campaigns with minimal technical expertise. Additionally, most retargeting platforms offer detailed analytics and reporting tools that allow you to track the performance of your campaigns and make data-driven decisions about optimising them. This makes it easy to see how your retargeting efforts are paying off and make any necessary adjustments to improve your results.
In conclusion, retargeting ads offer a range of benefits for businesses of all sizes. They can increase conversion rates, allow for more targeted advertising, improve brand awareness, be cost-effective, and are easy to set up and measure. If you’re not already using retargeting as part of your advertising strategy, it’s worth considering as a way to boost your results and grow your business.
Remarketing with Mars Digital
Before we get into some examples of well-known successful retargeting campaigns, I thought I would touch briefly on remarketing with Mars Digital. Specifically, our approach and our packages that include remarketing. If you’ve spent a lot of time talking with other digital agencies, you’ll find that the majority of them will charge additional for retargeting campaigns on top of your standard search and display ads. We’ve taken a slightly different approach, seeing as we’re going to be optimising your Google Ads anyway; we’ve built remarketing into all our Google Ads packages, meaning it’s not going to cost you anything extra. This goes hand-in-hand with our active management approach that I’ve discussed previously in this article.
As we optimise your search and display campaigns more and more we free up some time to spend on developing your retargeting campaigns and then start refining them. In fact, we’ve built our packages in a way that by the time we’ve collected enough data to really launch a proper remarketing campaign, we’re ready to do so. If you’re interested in learning more about how we operate, please get in touch. If you’re wondering what packages we have that include Google Ads and remarketing campaigns, then you can check out the Galactic, Cosmic, and Nebula packages.
Examples of successful retargeting campaigns
To give you a better idea of how retargeting can be used effectively, here are a few examples of successful retargeting campaigns:
Amazon is a master of retargeting and uses it effectively to drive sales and increase customer loyalty. One way they do this is by showing ads for products that users have viewed or added to their cart but didn’t purchase. For example, if a user views a particular book on Amazon’s website but doesn’t add it to their cart or make a purchase, they may start seeing ads for that book as they browse other websites. This can help remind the user of their interest in the book and encourage them to return and purchase. Amazon also uses retargeting to show ads for related products or products in the same category, which can help drive additional sales.
Zappos, the online shoe and clothing retailer, uses retargeting to show ads for products that users have viewed on their website. They also use retargeting to show ads for similar products or products in the same category. For example, if a user views a particular pair of boots on the Zappos website but doesn’t make a purchase, they may see ads for similar boots or other boots in the same category as they browse other websites. This can help remind the user of their interest in the boots and encourage them to return and make a purchase.
Netflix uses retargeting to promote its original content and keep subscribers engaged. They do this by showing ads for their latest shows and movies to users who have previously watched similar content on the Netflix platform. For example, if a user watches a lot of romantic comedies on Netflix, they may start seeing ads for new romantic comedies as they browse other websites. This can help keep the user engaged with the Netflix platform and encourage them to continue watching and subscribing.
These are just a few examples of how retargeting can effectively drive conversions and increase engagement. By considering your business’s unique needs and goals, you can develop a retargeting strategy that works for you and helps you achieve your desired results.
Tips for creating successful retargeting campaigns
Now that you have a better understanding of the benefits of retargeting and how it can be used effectively, here are a few tips for creating successful retargeting campaigns:
Define your target audience
Before you start creating your retargeting campaigns, you must define your target audience. Think about who you want to reach with your ads and what actions you want them to take. This will help you create more targeted and relevant ads that are more likely to be successful. You should also consider the specific actions that users took on your website, such as viewing a particular product or signing up for your email list and create campaigns that are tailored to those actions.
Create compelling ad copy and visuals
To get the most out of your retargeting campaigns, it is essential to create compelling and visually appealing ads. This means writing ad copy that communicates the value of your product or service and using images or graphics that grab the user’s attention. Consider offering special deals or promotions in your retargeting ads to incentivise users to take action.
Test and optimise your retargeting campaigns
Like any marketing campaign, it’s essential to test and optimise your retargeting campaigns to see what works best. This means experimenting with different ad copy, visuals, and targeting options and seeing how they perform. Most retargeting platforms offer detailed analytics and reporting tools that can help you track the performance of your campaigns and make data-driven decisions about optimising them. You can improve your results and get the most out of your advertising budget by testing and optimising your campaigns.
Use frequency capping
Frequency capping is the process of limiting the number of times a user sees your retargeting ads. This can help prevent ad fatigue and ensure that your ads remain effective. Most retargeting platforms allow you to set frequency caps, so you can control how often users see your ads. You should experiment with different frequency caps to see what works best for your business and your target audience.
Use retargeting in combination with other marketing efforts.
Finally, it’s important to remember that retargeting should be just one part of your overall marketing strategy. While it can be effective on its own, it’s often most successful when combined with other marketing efforts, such as email marketing, social media advertising, and content marketing. By using a variety of marketing tactics, you can create a well-rounded and effective strategy that helps you reach your target audience and achieve your business goals.
In summary, retargeting is a highly effective form of online advertising that allows businesses to show ads to users who have previously visited their website or taken a specific action. Retargeting has the potential to significantly increase conversion rates, allow for better targeting, improve brand awareness, be cost-effective, and is easy to set up and measure. By considering your business’s unique needs and goals, you can develop a retargeting strategy that works for you and helps you achieve your desired results. By following best practices, such as defining your target audience, creating compelling ad copy and visuals, testing and optimising your campaigns, using frequency capping, and using retargeting in combination with other marketing efforts, you can create successful retargeting campaigns that deliver results and help you grow your business.
But as a business owner, you might not have the time to do all of this yourself. Or the know-how. And that’s ok; I’m 100% sure you do your job a lot better than we could. So if you need a little help setting up your remarketing campaigns or your digital marketing in general, flick us a message through the Mars Digital contact page or book a time to chat with me personally about your online advertising efforts.