Retargeting is a powerful marketing tactic used by businesses today to reach potential customers who have already interacted with their product or service online. It involves tracking visitors’ online behavior on a website and then presenting targeted ads to them on other websites they visit. Retargeting aims to remind these previous visitors of their interest in the product or service and encourage them to return and make a purchase.

With the vast amount of information available online, retargeting has become an essential tool for businesses wanting to increase their conversion rates and ultimately boost their revenue. In this article, we will dive deeper into retargeting and explore the different types of retargeting methods that can be adopted to maximize your marketing efforts.

What is Retargeting?

Retargeting is a marketing technique focused on re-engaging with potential customers who, for some reason, did not complete an action or conversion on a previous visit to a website, social media platform or search engine. This technique involves displaying personalized ads to these users in an effort to bring them back to the website and complete the desired action.

Retargeting works by placing a tracking code or pixel on a webpage, enabling marketers to track user behavior. Using this data, marketers can segment users based on their behaviors and target them with ads that are most relevant to their interests and previous interactions with the brand. Retargeting can significantly increase conversion rates and ROI by consistently showing relevant ads to users who have already shown interest in the brand or product.

The Benefits of Retargeting

Retargeting has become a popular marketing tactic in recent years because of its significant benefits to businesses. One of the main advantages of using retargeting is its ability to target users who have already shown interest in a product or service. As a result, businesses can increase their conversion rates by serving relevant ads to users already in the purchasing funnel’s consideration phase.

Another benefit of retargeting is that it allows for more accurate attribution and tracking of conversion data. This is because retargeting campaigns can be tied to specific user behavior and engagement, making it easier for businesses to measure the impact of their marketing efforts.

Additionally, retargeting can help businesses improve their brand awareness and increase customer engagement. By constantly exposing users to ads related to their interests, businesses can build a strong brand presence in the minds of potential customers. This can improve brand recall and increase engagement with their products or services. Retargeting can also be used to nurture leads and move them further down the sales funnel. By serving ads that provide more information about a product or service, businesses can encourage users to make a purchase decision.

Retargeting is an effective marketing strategy that can help businesses improve their conversion rates, track their marketing efforts, build brand awareness, and nurture leads. With so many different benefits to offer, it is no wonder that retargeting has become a widely-used tactic in the marketing world.

Different Types of Retargeting

The most critical aspect of implementing successful retargeting campaigns is understanding the various types of retargeting techniques. Several types of retargeting include site retargeting, search retargeting, email retargeting, and social media retargeting. Site retargeting is the most common method and involves showing ads to users who have previously visited a particular website. Search retargeting utilizes user search history to display ads to users who have not yet visited a particular website.

Email retargeting involves targeting users who have interacted with a particular email campaign, while social media retargeting targets users who have previously engaged with a particular social media page or ad. Each of these retargeting techniques has its advantages, and marketers must choose the right type of retargeting based on the specific goals of their campaigns, the demographics of their target audience, and the platforms they use to display their ads.

Regardless of the type of retargeting, marketers must ensure that their campaigns are engaging, relevant, and not intrusive to the user’s experience. By using retargeting effectively, marketers can increase conversion rates, improve brand awareness and loyalty, and drive more revenue for their organization.

Retargeting Strategies


Segmentation is an essential aspect of retargeting that involves dividing customers into subsets based on certain criteria. The broad goal of segmentation is to create more targeted ads. By breaking your customer base into groups, you can identify what products or services appeal to different customers, helping you to come up with personalized retargeting ads. Segmenting is mainly based on behavioral, geographic, demographic, and psychographic characteristics.

Behavioral segmentation entails using customer behaviors to create groups. For example, if you sell women’s clothing and some customers buy a particular dress, you can retarget them based on the specific dress. Geographic segmentation considers where customers come from. For instance, if you have a chain store, you can segment your audience by region and target them with region-specific ads. Psychographic segmentation takes into consideration personal beliefs, values, and lifestyles.

Creating specific advertisements that tap into these psychographic drivers ensures that you tailor your messaging to target the individuals you want to reach. Lastly, demographic segmentation refers to the statistical characteristics of customers, such as age, gender, education level, and income. All these variables can help you define precisely who your customers are and what they are interested in, helping you to create more targeted advertising campaigns.


Frequency is a crucial aspect of retargeting campaigns, as it determines how often ads are displayed to potential customers and how many times they are shown. Finding the sweet spot for frequency is important, as showing ads too often can lead to ad fatigue and annoyance, while showing ads too infrequently may not be sufficient for the desired effect.

It is generally recommended to limit the frequency to no more than three times a day for each user, and to cap the number of days an ad is displayed to avoid overexposure. However, this can vary depending on the target audience and industry. For instance, for a high-ticket item with a long sales cycle, it may be appropriate to increase the frequency and provide different ad formats over an extended period of time.

On the other hand, for a lower-priced item with a shorter buying cycle, it may be sufficient to limit the frequency and focus on a specific ad format that has been shown to resonate with the audience.

Ad Formats

When it comes to retargeting ads, Ad Formats is a critical consideration that requires careful attention. Retargeting ads come in many different formats, from display ads to social media ads to email ads. Different ad formats have different strengths and weaknesses, and choosing the right format for a particular audience can significantly impact the ad campaign’s effectiveness. One effective format for retargeting ads is display ads.

These ads are highly visual and eye-catching, making them an excellent choice for capturing the attention of potential customers. Another format that can be effective in retargeting is social media ads. These ads are highly targeted, allowing them to reach a specific audience that is likely to be interested in the product or service being advertised.

Video ads are another format that can be effective in retargeting, especially for engaging audiences who are more visually inclined. These ads can be highly engaging and informative, helping to educate potential customers about the benefits of the advertised product or service. Email ads are another format that should not be overlooked. These ads are an excellent way to reach audiences who have already shown an interest in a particular product or service and are more likely to respond to a call to action.

Ultimately, the key to using different ad formats effectively is to test different formats and assess which ones resonate best with a particular audience. By identifying the strengths and weaknesses of each format and using them to tailor the campaign to meet the needs of the audience, marketers can develop highly effective retargeting campaigns that drive engagement, generate leads, and ultimately increase sales.


Personalization is essential for successful retargeting campaigns. Advertisers can increase engagement rates and conversions by personalizing ads to the specific interests and behaviors of each audience segment. One way to personalize retargeting ads is by using dynamic ads that pull in product recommendations based on each user’s past browsing behavior. This way, the user is shown products they have shown interest in and are more likely to purchase.

Another way to personalize retargeting ads is by using different messaging for each audience segment. For example, if someone has already added a product to their cart, they may respond better to messaging that focuses on completing their purchase. In contrast, someone who has only viewed a product may respond better to messaging highlighting the product’s different features and benefits. Personalizing retargeting ads can also include using different ad formats based on each audience segment.

For example, a younger audience may respond better to video ads, while an older audience may prefer static image ads. Personalization is key to making retargeting ads more relevant and effective for each audience segment.

Retargeting Platforms

Google Ads

Google Ads can be an effective tool for retargeting. With Google Ads, you can display ads to people who have previously interacted with your website or app. This means that you can reach people who have shown an interest in your products or services, which can lead to increased conversions and sales. To use Google Ads for retargeting, you will need to set up a retargeting campaign and create ads that are tailored to your target audience.

You can also use Google Analytics to track the performance of your retargeting campaign and make adjustments as needed. Google Ads offers a range of targeting options, including demographic targeting and geographic targeting, which can help you reach the right audience. With careful planning and execution, Google Ads can be an effective part of your retargeting strategy.

Facebook Ads

The use of Facebook Ads for retargeting has become a popular marketing tactic due to its ability to target specific audiences through the social media platform. Facebook Ads allows marketers to retarget users who have previously engaged with their brand on Facebook. This enables businesses to remind their target audience about their product or service and increases the likelihood of conversion. The retargeting feature on Facebook Ads allows for specific targetings, such as targeting users who have abandoned a shopping cart, visited a product page, or engaged with an ad in the past.

Additionally, Facebook Ads allows for a variety of ad formats, including video, carousel, and image ads, to be used in retargeting campaigns. The use of Facebook Ads for retargeting can result in increased brand awareness and conversions, making it a valuable addition to any marketing strategy.


AdRoll is a digital marketing platform that helps businesses with retargeting strategies. It offers a range of solutions, including display ads, social media ads, and email marketing. AdRoll uses data and targeting capabilities to analyze customer behavior and interests, which enables businesses to create highly relevant and personalized ads for their target audience. The platform also provides real-time analytics and reporting, allowing businesses to track the performance of their campaigns and make data-driven decisions.

AdRoll’s retargeting capabilities help increase conversions and ROI, as businesses are able to reach out to potential customers who have shown interest in their products or services. Additionally, AdRoll offers integrations with popular e-commerce platforms, making it easy for businesses to track customer behavior and target users based on specific actions taken on their websites.


Criteo is a global advertising solution that caters to more than 1.4 billion active shoppers every month. Its retargeting approach involves tracking a user’s web-browsing behavior through the use of cookies. Additionally, its sophisticated system monitors more than 120 different types of product recommendations, thereby increasing the likelihood of conversion. Criteo measures its success by the number of clicks and conversions that take place.

The platform helps companies to increase their brand awareness, customer base, and revenue by displaying personalized ads to their potential clients. The company’s services are priced based on the amount spent on advertising, offering businesses the flexibility to spend within their budget. Moreover, Criteo offers cross-device retargeting, which enables marketers to show ads to the audience’s mobile devices if they previously interacted with their website on their desktop.

Additionally, the platform provides users with real-time ad performance tracking and optimization to maximize their ad spend. Criteo has proven to yield promising results when combined with other retargeting methods.

Retargeting Metrics

Click-Through Rate

Measuring the click-through rate (CTR) of retargeting ads is a crucial aspect of analyzing the effectiveness of retargeting campaigns. A high CTR indicates that the ad is compelling and relevant to the target audience, while a low CTR suggests the opposite. To measure CTR, divide the number of clicks an ad receives by the number of times it is shown (impressions). For instance, if a retargeting ad is displayed 1000 times and receives 50 clicks, the CTR is 5%.

Keep in mind that a high CTR does not necessarily translate into conversions, and focusing solely on CTR may not produce the desired results. However, analyzing CTR alongside other metrics, such as conversion rate and return on ad spend, can provide a comprehensive understanding of the retargeting campaign’s effectiveness. Additionally, the ad’s placement, creatives, and targeting should be optimized to increase CTR and drive conversions.

Conversion Rate

Conversion rate is a critical metric in the world of retargeting ads, as it determines the percentage of users who take a specific desired action after clicking on an ad. In most cases, conversion is considered to be a sale, subscription, sign up, or another desired action. The formula for calculating the conversion rate is simple: divide the number of conversions by the number of ad clicks and multiply by 100%. However, determining the conversion rate of a retargeting campaign is more complex than simply dividing numbers.

Marketers must track and analyze data to identify trends and optimize their retargeting strategy for the highest conversion rate. One key attribute that can affect a conversion rate is the landing page. A landing page should be relevant to the ad and the user’s search intent. A confusing landing page that does not match the ad’s message could result in a higher bounce rate and lower conversion rate. Another attribute that should not be overlooked is the ad’s call-to-action (CTA). The CTA should be clear, concise, and actionable, prompting users to take a desired action.

When designing an ad, it is also important to consider the audience’s behavior and preferences. By examining user data, marketers can identify patterns and optimize their ad design and messaging to better appeal to their target audience. Overall, carefully measuring and optimizing the conversion rate is crucial to the success of retargeting campaigns and can lead to improved ROI and increased revenue.

Return on Ad Spend

The return on ad spend (ROAS) is an important metric for measuring the effectiveness of retargeting campaigns. ROI is simply a measure of the revenue generated in relation to the cost of the ad campaign. The formula for calculating ROAS is straightforward: ROAS=Revenue/Cost. The main advantage of using ROAS is that it helps marketers understand the profitability of their retargeting campaigns. This metric is especially useful for companies that have a high customer lifetime value or a long sales cycle.

By measuring how much revenue is generated for every dollar spent on retargeting ads, marketers can determine the effectiveness of their campaigns and make informed decisions about future advertising investments. In addition, ROAS provides valuable insights into which retargeting channels are most effective, such as display ads, social media, or search engines. Armed with this information, companies can optimize their ad spend and increase their overall return on investment.

Best Practices

Clear Call-to-Action

One of the most critical components of retargeting campaigns is having a clear call-to-action. A call-to-action is what directs the user to take a particular action, such as making a purchase or signing up for a newsletter. Without a clear call-to-action, users may be left confused about what to do next, resulting in wasted ad spend and missed opportunities. The call-to-action should be prominently displayed and easy to understand. It should also be aligned with the overall objectives of the campaign, such as increasing conversions or driving website traffic.

When creating a call-to-action for retargeting ads, it is essential to consider the target audience and what they are looking for. The language should be concise and persuasive, using action-oriented verbs to encourage users to take action. Color and design can also significantly impact the effectiveness of the call-to-action. Testing different variations to see what resonates best with the target audience can lead to better results. By prioritizing clear calls-to-action, retargeting campaigns can increase engagement and better achieve their goals.

A/B Testing

A/B testing is a crucial component of any retargeting campaign. It involves dividing your audience into two groups and testing different approaches on each group to determine which approach yields the best results. To conduct A/B testing, it is important to identify your key performance indicators (KPIs) and set measurable goals to determine the success of each approach. Once you have identified your KPIs, you can create multiple versions of your ad or landing page and randomly assign each version to one of the two groups.

This allows you to determine which version performs better and make data-driven decisions on how to optimize your campaign. It is important to note that A/B testing should be conducted over a significant period of time to ensure the results are statistically valid. Additionally, it is recommended that only one variable is changed between the two versions to accurately identify the impact of that variable on the success of the campaign.


In order to optimize your retargeting campaigns and achieve better results, several factors must be considered. First, ensuring that your retargeting ads have a clear and compelling message is important. This can be accomplished by using concise and impactful language and strong visuals that grab the viewer’s attention. It is also important to carefully consider the targeting parameters for your retargeting campaigns. By selecting the right audience segments and demographics, you can increase the likelihood that your ads will resonate with viewers and lead to conversions.

In addition, it is important to monitor and analyze the performance of your retargeting campaigns regularly. This can be done through the use of analytics tools, which allow you to track important metrics such as click-through rates, conversion rates, and overall ROI. By identifying underperforming areas of your campaigns, you can make adjustments and optimizations to improve their effectiveness.

Another key factor in optimizing your retargeting campaigns is personalization. By tailoring your ads to your target audience’s specific interests and needs, you can increase the relevance and effectiveness of your messaging. This can be achieved through the use of dynamic content, which allows you to display different versions of your ad based on the viewer’s previous browsing behavior and other data points.

Finally, remaining flexible and adaptable in your retargeting strategies is important. The digital landscape is constantly evolving, which means that your campaigns may need to be adjusted to keep up with changing trends and user behaviors. By staying up-to-date with the latest retargeting best practices and being willing to experiment with new tactics, you can continue to optimize and improve the performance of your campaigns over time.


Budgeting for retargeting campaigns is a crucial aspect that must be considered. It is essential to clearly understand how much you are willing to spend before launching a retargeting campaign. Understanding your budget is essential, as it allows you to allocate resources and funds more effectively.

You need to consider your advertising objectives, such as how often you want to retarget customers, how many ad impressions you want to generate, and what each conversion is worth. Once you have a clear understanding of your advertising goals, you should create a budget that outlines the amount you are willing to spend in each area of your retargeting campaign.

When budgeting for retargeting campaigns, you need to consider several factors such as the size of your website, the number of products or services you offer, and your ad frequency. Your budget will depend on the size of your business and how aggressively you want to market your products or services. A larger website with many products or services will require a larger budget as it will be more challenging to retarget its customers.

Some platforms allow you to set daily, weekly, or monthly budgets, while others require you to bid on ad impressions. If you choose to bid on ad impressions, you need to ensure that you outbid your competition to secure your ad placement. Bids are based on a cost-per-click (CPC) model, and the cost will depend on the platform you choose to advertise on. Therefore, it is essential to research the platform you want to advertise on and understand the cost implications of each click.

You should always try to find cost-effective solutions to stretch your budget further. One way of doing this is by optimizing your ad performance. By continually improving the effectiveness of your ads, you can generate more conversions with the same budget. Another effective budgeting strategy is to use dynamic retargeting ads. These ads allow you to show your customers the exact products or services they viewed on your site, which are more likely to convert into a sale than generic retargeting ads.

It is also important to allocate some of your budget to A/B testing. A/B testing allows you to test different ad creatives, ad copies, and landing pages to see which ones perform best. This helps you to optimize your retargeting campaign and generate the best possible results for your budget.

Retargeting in Marketing – FAQs

1. What is retargeting in marketing?

Retargeting is online advertising targeting people who have previously interacted with your website or content. It involves using cookies to track users and display targeted ads to them on other websites and social media platforms.

2. How does retargeting work in marketing?

Retargeting works by placing a small piece of code (a cookie) on the user’s browser when they visit your website. This cookie then lets ad networks and social media platforms serve them with targeted ads related to the content they viewed on your site.

3. What are the benefits of retargeting in marketing?

Retargeting allows you to target users who have already shown interest in your brand, increasing the likelihood of conversions and leads. It also increases brand recall and leads to better ad spend ROI.

4. What types of retargeting tactics are there in marketing?

Common types of retargeting include website retargeting (displaying ads to users who have visited your website), search retargeting (displaying ads to users who have searched for relevant keywords), and email retargeting (displaying ads to users who have interacted with your email campaigns).

5. Are there any best practices for retargeting in marketing?

Some best practices for retargeting include setting frequency caps to avoid overwhelming users with too many ads, segmenting audiences based on behavior, and keeping ads creative, fresh, and relevant.

6. How does retargeting differ from remarketing in marketing?

Retargeting and remarketing are often used interchangeably, but retargeting specifically refers to the display of ads to users who have visited your website or interacted with your content. In contrast, remarketing is a broader concept that encompasses all forms of following up with leads and prospects, including email marketing and sales outreach.