According to retailnext.net, at least four trillion dollars’ worth of merchandise was abandoned in online shopping carts in 2014 and over half of that amount is likely recoverable. So how do you turn those losses into gains? By retargeting— but not just any type of retargeting.
Modern consumers know they have the world at their fingertips—literally. They browse online stores, compare prices, read reviews, and more on their desktops, laptops, tablets, and smart phones. In short, consumers hold the power; they can either choose to boost a brand’s sales or purchase a different, and possibly cheaper, option. That’s why retargeting should be an essential step in every marketer’s strategy.
What is Retargeting?
Founder at AdProfs, a digital advertising consultancy in Canada, Ratko Vidakovic describes retargeting as a way 'to show ads directly to visitors after they’ve left a site or landing page, providing multiple shots at the conversion.' Once a consumer visits a particular website, a piece of code is added to the landing page. A cookie is then placed in the shopper’s browser and they are added to a specific audience list and targeted with ads customized to meet their needs and interests.
Retargeting is not a new concept, however. Brands, retailers, and agencies have been taking advantage of this marketing tool for years. But why limit retargeting to only your lost customers? By taking advantage of the breadth of information in a data marketplace, like BDEX’s, you can retarget customers who not only visited your website but those who are shopping for your products or services elsewhere.
'It’s not uncommon to see amazing CTRs [click-through rates] with retargeting, anywhere from 0.30-0.95% – which is 3-10x higher than the industry average' according to Vidakovic. In short, retargeting is a proven way to increase conversions and is more effective than regular targeting alone.
By courting consumers who have previously purchased or currently show interest in a product or service, marketers have a much better chance of increasing conversion rates. Retargeting potential consumers who have shopped for the same or similar items on other sites or apps increases the chances of boosting sales even more.
How Can I Retarget Better?
Most DMPs offer retargeting solutions in some form or another, but with an ever-changing marketplace to consider and new technological innovations being introduced constantly, taking advantage of the most advanced retargeting solutions can be difficult. A DXP like BDEX tracks millions of users across every channel, making it easy to target campaigns geared toward particular consumers. For example, if your business sells garden equipment, you can retarget ads to people who have either been to your website or recently bought garden equipment on another website or are in the market for new garden equipment. When you add a real-time element from outside your system to the scenario, you can find the most recent, relevant data possible. You can retarget with even greater specificity, leading to more sales.