Retargeting is a relatively new strategy that can drastically boost your ROI, bring you tons of targeted traffic and increase your conversions. The concept is simple: Instead of showing ads to strangers online, focus on showing ads to people who’ve already expressed an interest in your products or services. You can choose to show ads to people who came to your website and didn’t buy, or even to people who typed in specific search terms.
How it Works
When someone lands on your website, you place a cookie on their computer. The next time they’re browsing the web and see an advertisement, if your cookie is there, they’ll see your ad instead of a generic advertisement. (Provided the ad network displaying that ad supports retargeting.)
How Untargeting Works
An important part of retargeting is learning how to use the untargeting pixel. After all, you don’t want to show your ads to people who’ve already bought. The untargeting pixel removes the retargeting cookie from your customer’s computer.
One way to use retargeting and untargeting cookies might be something like this:
1) They land on your site. You place a retargeting cookie. If they don’t opt in to your email list, you can use this cookie to display ads that tout your free download guide.
2) If they opt in, the untargeting cookie fires on the thank you page. Nobody on your email list will see ads for your free download. Simultaneously, you can put a new retargeting cookie on their computers. Now anyone who has opted into your email list will also see ads for your products sprinkled throughout the web.
3) Once they buy your product, you can then fire another untargeting cookie to make sure you’re not spending money advertising to people who’ve already bought.
4) Alternatively, you can even add an “already bought” pixel and sell add on and upsell products.
How to Setup Retargeting Campaigns
There are several big retargeting networks to be aware of. One of the biggest is Google’s DoubleClick network. Another big one is SiteScout’s remnant inventory. Both of these are self-serve platforms where you go into their system and setup your own retargeting campaigns.
Alternatively, you can create an AdRoll account. AdRoll is one of the largest retargeting agencies around. Using AdRoll is relatively simple: They do all the work for you. They go out and buy retargeting placements for you from over 40 different ad networks. They add a small markup, then charge you the total amount. If you don’t want to do all the work of getting placements yourself, AdRoll is a good way to go.
Frequency Capping & Privacy Issues
One thing to be aware of with retargeting is privacy. You don’t want your customers to feel like you’re stalking them everywhere on the internet. You should always frequency cap your retargeting ads. Generally between one and three impressions a day is enough. That’ll keep your brand on their minds, without them feeling like they’re seeing you everywhere.
Using retargeting technology can drastically improve your ROI. Generally you can expect to spend between $1 and $2.50 CPM for retargeting ads, while getting much cheaper clicks and higher conversions to boot.