What is Ad Retargeting and is it Right For You?

What is Retargeting?

Retargeting is a marketing strategy that shows ads to people who have already visited your website or interacted with your social media. It reminds them of your products or services and encourages them to take action, like making a purchase or signing up for a free trial.

Here’s an example: imagine someone browses an online store for shoes but leaves without buying. Later, while scrolling through Instagram, they see an ad for the exact pair they viewed. That’s retargeting—it keeps your brand in front of potential customers and nudges them to come back.

This strategy is important because most first-time visitors (around 97%!) leave a website without buying. Retargeting helps bring them back by showing ads on platforms like Google, Facebook, and LinkedIn.

Not only can this boost sales —it’s also a smart and affordable way to stay connected with people who already showed interest in your brand. It builds familiarity, keeps you top-of-mind, and helps turn casual visitors into loyal customers.

Retargeting VS. Remarketing

Retargeting and remarketing are often confused because they share a similar goal: reconnecting with people who already know your brand. However, they use different approaches to achieve this.

Retargeting focuses on showing paid ads to people who have visited your website or social media profiles. 

• These ads remind them of your products or services, encouraging them to return and take action, like completing a purchase. 
• For example, if someone browses a clothing store online and leaves, retargeting ads might showcase the exact items they viewed to draw them back.

Remarketing typically involves sending personalised emails to customers who’ve already interacted with your brand.

• These emails aim to nurture relationships, encourage loyalty, repeat purchases, or re-engage inactive customers. 
• For instance, an email reminding you of an abandoned cart or offering a discount on your next order is a form of remarketing.

What are the Benefits of Retargeting Ads?

Retargeting offers several key benefits that can help you reconnect with people who are already familiar with your brand and increase your chances of converting them into customers. 

Here are the main advantages:

Cost-Efficient

Retargeting ads are often more cost-effective than traditional ads. Since you’re reaching people who are already familiar with your brand, you don’t have to start from scratch. This leads to a higher return on investment (ROI).

Improves Conversion Rates

Many first-time visitors leave a website without buying anything. Retargeting ads give these users a gentle nudge to come back and complete their purchase, helping to reduce cart abandonment and drive more sales. (Here’s our ultimate guide to optimising conversion rates for beginners!).

Improves Brand Recall

Retargeting helps keep your brand top of mind by showing ads to users multiple times. This increases the chances that they will remember your business when they’re ready to make a purchase.

Promote New or Popular Products

It’s a great way to showcase fresh arrivals or best-sellers to people who’ve already shown interest in your brand. These visitors are more likely to buy, boosting your campaign’s effectiveness.

Reach Prospects at Every Stage of the Buyer’s Journey

Retargeting ads allow you to tailor your message based on where users are in the buying journey. For example, you can target people who viewed specific products or those who abandoned their cart. This helps you create more personalised ads, which can prompt action.

Offers Personalised Marketing

Unlike generic ads, retargeting creates a personalised experience. It shows users content tailored to their interests, such as ads featuring products they’ve browsed, making them more likely to engage.

How Does Retargeting Work? 

Retargeting helps you re-engage potential customers who have interacted with your business but didn’t complete an action– but how does this work? 

Here’s a step-by-step breakdown:

1. Tracking Visitors with Pixels

• A tiny piece of code is added to your website’s header. This is called a tracking pixel. 
• When someone visits your website, this pixel collects data and places a cookie in their browser.
• The pixel doesn’t gather personal information like names or emails. Instead, it tracks actions like page views, clicks, and purchases using the visitor’s IP address.

2. Following Users Across Platforms

Once the pixel tags a visitor, your ads can follow them across the web.

• These ads may appear on websites, social media platforms, or apps that the user visits later.
• For example, someone who viewed a product on your site might see an ad for that product while scrolling through Facebook or reading an online article.

3. Personalising the Ad Experience

Retargeting lets you create ads tailored to the user’s previous interactions with your brand.

• If a visitor added an item to their cart but didn’t check out, you could show an ad reminding them of their unpurchased item.
• If they browsed specific products, you can highlight those products or similar ones in your ad.

4. Reaching Users Through Multiple Channels

Retargeting works across digital marketing platforms:

• Display Ads: Serve ads on websites users visit after leaving yours.
• Social Media: Show ads on platforms like Facebook and Instagram.
• Email Retargeting: Send emails to remind users of their cart or promote related products if you’ve collected their email.

5. Improving Campaign Effectiveness

Retargeting helps you optimise your marketing by:

• Identifying if a user completed a conversion goal, like submitting a form or making a purchase.
• Refining your ads based on user behaviour to drive better results.

To further boost your impact, try combining retargeting ads with other campaigns. This not only brings users back, but can also increase sales and engagement, ensuring your brand stays top of mind.

When Should You Use Retargeting Ads?

Retargeting is a long-term strategy that works best for businesses with a steady flow of traffic. If your page gets at least 100 visitors a month, retargeting can be a powerful tool for your marketing efforts. 

Here are some key situations when you should consider using retargeting ads:

1. When You Want to Increase Brand Awareness

People often need to see a brand multiple times before they feel comfortable making a purchase. Retargeting ads keep your brand visible, especially to those who have already shown interest in your products. By displaying ads to past visitors, you reinforce your presence and stay top of mind, helping to build trust and recognition.

2. When You Want to Boost Sales of Popular Products

If you have bestsellers or products that are already in high demand, retargeting can help you create a sense of urgency. Using persuasive language, like “limited stock” or “don’t miss out,” can encourage potential buyers to act quickly before the product sells out.

3. When You’re Looking to Move Slow-Moving Inventory

Sometimes, certain products just don’t sell as fast as others. Retargeting ads are a cost-effective way to bring attention to these items and move them off the shelves. You can target users who may have previously viewed these products but didn’t purchase, giving them a gentle nudge to complete the sale.

4. When Introducing New Products or Collections

When launching a new product or collection, retargeting is an excellent way to spread the word. People who have shown interest in your brand are more likely to engage with your new offerings. By showing them ads for these new items, you can drive traffic back to your website and generate excitement.

5. When You’re Running a Marketing Campaign

Retargeting is a valuable tool during active marketing campaigns. If you’re running ads on social media or Google, you’re already collecting valuable data on potential customers. Retargeting helps you follow up with these visitors to encourage them to complete a purchase, whether it’s an item they viewed or a service they considered.

6. When Growing Your Audience

If you’re focused on growing your audience, retargeting ads can help. For example, if you’re building a Facebook following, you can target people who’ve visited your website and encourage them to like your page or join your newsletter. The more they see your brand, the more likely they are to take action.

7. When Trying to Increase Conversions

One of the most effective uses of retargeting is to convert visitors who didn’t buy the first time. If someone visited your site and looked at a specific product but didn’t purchase, retargeting lets you show them that same product again. This reminder can help nudge them toward completing the purchase.

Essentially, if you have an existing base of regular visitors, this can be a powerful tool that helps you increase sales. Whether you’re aiming to boost brand awareness, promote specific products, or convert visitors into customers, retargeting ads can help you achieve your marketing goals.

How To Create Retargeting Ads

Creating successful retargeting ads is all about delivering the right message to the right people.

1. Be Specific with Your Advertising

Your retargeting ads should reflect what the user was actually interested in. For example, if someone visited a website for a furniture store and looked at sofas, you should show them ads for the exact sofas they viewed. If they browsed dining tables, serve them ads for dining tables instead. The more relevant your ad, the more likely they’ll engage with it.

2. Make Sure Your Landing Page Matches the Ad

The page users land on after clicking your ad should align with what they saw. If your ad promotes a specific product don’t send them to a general homepage. Send them to a page where they can directly view and purchase the product! This keeps the experience smooth and encourages users to follow through.

3. Set the Right Budget Based on the Buyer’s Journey

Adjust your bidding to fit the product and customer behaviour. Different products have different sales cycles. If you’re selling something quick, like a trendy t-shirt, you won’t need as much ad spend. But for products that people take longer to decide on (eg: electronics or cars), you’ll need a bigger budget for longer campaigns to keep customers engaged. 

4. Target the Right Audience

It’s important to focus on users who are more likely to buy. For example, if someone only spent a few seconds on your site, retargeting them might not be as effective. Instead, focus on users who spent more time on your site or added something to their cart. These are the people who are closer to making a purchase and are more likely to convert.

5. Avoid Over-Saturating Your Audience

Nobody wants to see the same ad over and over again! 

When users see the same ad too many times, they may ignore it or even become annoyed. 

One way to avoid this is by using ad sequencing. Try showing a series of ads that tell a story or offer different angles of the same product. 

You can also try setting a frequency cap to limit how many times someone will see your ad. This will help you reduce ad fatigue and keep your campaign fresh.

Here’s an example of ad sequencing: Just Do It Campaign – Nike

Final Remarks

Retargeting is more than just a reminder—it’s a proven way to turn missed opportunities into real sales!

By strategically keeping your brand visible and engaging potential customers across platforms, you can increase conversions and build long-term relationships. But the key to success lies in being relevant, targeted, and mindful of your audience.

When used wisely, retargeting not only boosts your bottom line but also strengthens brand loyalty. In today’s competitive market, it’s a smart, cost-effective tool that can give you the edge you need to stand out.