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What is Retargeting and How to Use it to Drive Your Growth

What is Retargeting
What is retargeting and why do you need it? Well, because it’s easier than ever to lose a sale online.

Think of it like this: you successfully drive a potential customer to your site with great content or social media engagement.

But then their phone rings. Or they have to take a quick meeting. Their child calls their name. They look up at the TV and forget to return. Or one of a million other potential distractions in our fast-paced world get in the way.

They could be lost forever. Or — you could use retargeting to get them back to your site.

That’s what we’ll cover in the sections that follow. You’ll learn what retargeting entails, why your business should be using it, which platforms to do it on, and best practices to maximize ROI.

Let’s get started.

Quick Takeaways

  • Only 2% of web users convert on their first visit to a website.
  • Retargeted web visitors convert at a 70% higher rate.
  • Google, Facebook, LinkedIn and other social platforms are effective places to use retargeting.
  • Retargeting ads are most effective when they incentivize, are personalized, and/or leverage high-value content.

What is retargeting?

So what exactly is retargeting? In short, it’s the process of monitoring the behavior of your web visitors so you can drive them back to your site later.

It’s done by adding code to your website that tracks user actions by placing cookies in their browsers. You can then use that information to show them targeted ads when they’re elsewhere on the internet.

Those requests you get to “accept all cookies” when you visit a new website? It’s retargeting in action. Brands are asking your permission to track what you’re doing so they can show you ads that are relevant to you.

Today 87% of marketers use site retargeting to attract potential customers back to their website. Given that only 2% (!) of web visitors convert on their first visit to any site, it’s a smart strategy for brands to capture low-hanging fruit in their web traffic and avoid losing prospects who will likely convert with a little bit of encouragement.

Let’s look at 3 reasons why retargeting should be part of your digital marketing strategy and the benefits your brand will experience from doing it.

Why Retargeting Needs to Be Part of Your Strategy

Consumers actually like retargeted ads

The consensus view of retargeted ads has always been tainted with a little bit of uncertainty about their use of individual consumer data. And there’s no doubt about it — consumers do worry about their online privacy.

At the same time, however, they are also more aware than ever that brands are using their information to advertise to them and target their buying preferences. And they still browse and buy online at a rapidly increasing rate.

Here’s what it comes down to: retargeting doesn’t turn consumers off as long as it’s done ethically (AKA you’re only retargeting people when it actually makes sense and they’ve agreed to your privacy policy).

In fact, recent research has found that 25% of consumers say they actually enjoy seeing retargeted ads. And while a quarter of consumers may not seem encouraging, actual consumer behavior suggests that number is quite a bit higher.

Here’s what the numbers tell us:
  • Retargeted ads earn a click-through rate 10x higher than regular display ads
  • Retargeted website visitors are 70% more likely to convert
  • 3 out of 4 consumers notice retargeted ads when they see them
It’s helpful to think about this in the context of your own life, too. We all see ads for products and brands we’ve briefly visited without buying from. But rather than get annoyed, our interest is usually sparked again. We may click on the ad to look at it again and rethink whatever reasoning we had before for not buying. We may follow the brand on social media for updates.

Retargeting is a massive opportunity for brands to cut down on lost sales by reminding consumers why they were interested in the first place and incentivizing them to come back and make a purchase.

Where to Retarget

Google and YouTube

Google and YouTube are the two most visited websites in the world, with a casual combined 85 billion monthly views (nbd). You can target ads on these massive platforms with Google Ads on the Google Display Network.

Most consumers are doing their brand and product research using Google search. What better place, then, to have your ads displayed to convince users to choose you?

Facebook and Instagram

Ads on the two platforms are both run under Facebook Ads Manager. You add the Facebook Pixel to your website’s code. When users take an action on your site (for example, adding to cart or making a purchase) the pixel is triggered and they’ll see retargeted ads on both Facebook and Instagram.

Learn more about the Facebook Pixel here.

TikTok

TikTok has exploded onto the scene over the past two years. It’s easy to assume this platform might be best for targeting younger audiences, but the truth is there are tons of audiences on TikTok that encompass a range of ages and interest areas.

For example #MomTok — moms sharing tips, stories, and advice — is one of the most active corners of the app. #BusinessTok, #FitnessTok, and #BookTok are some of the other most popular hashtag-driven interest groups on the app. These are only a few examples. In other words: retargeting on TikTok is for every type of audience.

You can get started at TikTok for Business.

LinkedIn

For B2B companies or brands targeting a more corporate or professional audience, LinkedIn could be an ideal platform for your retargeting efforts. You can add the LinkedIn Insight Tag to your website to begin tracking your visitors and serving them ads on the LinkedIn platform.

3 Retargeting Best Practices

Incentivize

The thing about web visitors you retarget is that they have shown interest in your brand already, but for some reason they weren’t motivated to make a purchase (or maybe they did but haven’t been back to make another one).

The way to convince them? Offering incentives. Consider this: you see a pair of shoes you love. You almost buy them but you think “Well, they’re just a little too pricey. I’m going to pass.”

A few days later you see those shoes you love, except they’re being offered at a discount. Your main argument for not buying the shoes is gone. You’re much more likely to  go back and make the purchase.

Incentivizing your retargeting audiences is worthwhile because you eliminate one of the biggest roadblocks to purchase: concerns about price.

Personalize

Like all other kinds of online experiences, consumers want their retargeted ads to be personalized to their preferences. Nearly 80% of consumers say personally relevant ad content from brands increases their purchase intent.

Adding simple phrases that are unique to a person’s experience with your brand (i.e. “You left this item in your cart!” or “Based on your previous purchase, we think you’d love this!”) can be what makes your ad stand out to your audience.

Leverage Content

Content drives more organic traffic than any other method of digital marketing. That said, targeted ads are the highest-converting of all methods. Why not combine the two for maximum ROI?

Consider the types of content your web visitors interact with and/or what content created by your brand would be most relevant to them. Promote it through your ads, emphasizing how it can help users solve problems, learn something new, or accomplish an important goal.

Content that can be effectively marketed through retargeting ads include:
  • Blog articles
  • How-to guides
  • Checklists
  • Webinars and video demos
  • Ebooks and whitepapers

Spotlight

Magnite

We’re Magnite (NASDAQ: MGNI), the world’s largest independent sell-side advertising company. Publishers use our technology to monetize their content across all screens and formats including CTV, online video, display, and audio. The world's leading agencies and brands trust our platform to access brand-safe, high-quality ad inventory and execute billions of advertising transactions each month. In April 2021 we acquired SpotX to further enhance our CTV business and better help our clients in this rapidly growing market. Anchored in sunny Los Angeles, bustling New York City, mile high Denver, historic London, and down under in Sydney, Magnite has offices across North America, EMEA, LATAM, and APAC.

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Native ads are worth the hype provided used correctly and created and promoted the right way. { "@context": "https://schema.org", "@type": "FAQPage", "mainEntity": [{ "@type": "Question", "name": "What is native advertising?", "acceptedAnswer": { "@type": "Answer", "text": "Native advertising is a paid content that mimics the design of the platform upon which it is published. Native ads are commonly visible on most of the social media platforms (Facebook, Instagram, Twitter, LinkedIn) but are also seen on websites. They function differently from advertorials. Native advertisements blend perfectly with web page organic content therefore are not jarring." } },{ "@type": "Question", "name": "Why native advertising is important?", "acceptedAnswer": { "@type": "Answer", "text": "Native advertisements bring brands and customers together on a single page by better targeting and using personalization technology, making it more engaging. 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Spotlight

Magnite

We’re Magnite (NASDAQ: MGNI), the world’s largest independent sell-side advertising company. Publishers use our technology to monetize their content across all screens and formats including CTV, online video, display, and audio. The world's leading agencies and brands trust our platform to access brand-safe, high-quality ad inventory and execute billions of advertising transactions each month. In April 2021 we acquired SpotX to further enhance our CTV business and better help our clients in this rapidly growing market. Anchored in sunny Los Angeles, bustling New York City, mile high Denver, historic London, and down under in Sydney, Magnite has offices across North America, EMEA, LATAM, and APAC.

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Advertiser Platforms

AlgoriX & LiveRamp Partner to Accelerate Addressability for the Mobile Advertising Ecosystem

ExchangeWire | October 25, 2023

AlgoriX and LiveRamp have announced a multifaceted partnership to accelerate the cookieless transition for the digital advertising ecosystem. AlgoriX will enable global customers of its demand-side platform (DSP) and supply-side platform (SSP) to transact on LiveRamp’s RampID, as well as incorporate LiveRamp’s Authenticated Traffic Solution SDK into the AlgoriX SDK to accelerate the mobile app ecosystem’s deployment of Authenticated Traffic Solution. More than 450 of the world’s leading advertisers activate campaigns on RampID through LiveRamp’s data collaboration platform. AlgoriX joins more than 165 DSPs and SSPs that have integrated with LiveRamp’s solutions globally, enabling reaching high-value audiences at scale and delivering personalized experiences across browsers, mobile devices, and CTV. As advertisers look to address signal loss on mobile, authenticated inventory offers a powerful solution that can deliver results for publishers and marketers that often surpass what they were generating with cookies and mobile device IDs, said Frederic Liow, AlgoriX SVP for revenue growth & strategy. LiveRamp has helped lead the market in advancing authenticated identity as a viable alternative to help the ecosystem prepare for a post-signal loss future, and integrating our solutions will provide a powerful boost to our customers and developers. Additionally, AlgoriX will incorporate LiveRamp’s Authenticated Traffic Solution SDK into the AlgoriX SDK, enhancing the offering for developers looking to accelerate their success in the mobile and in-app advertising space. Leveraging AlgoriX’s SDK, these developers can now quickly leverage and deploy LiveRamp’s Authenticated Traffic Solution, increasing the addressability of their opted-in app users, and improving monetization of their inventory. “Consumers in APAC are mobile-first, which made it a natural fit to partner with AlgoriX given their history as a leader in the region and in the mobile app space,” said Travis Clinger, SVP, activations and addressability, LiveRamp. “LiveRamp has proven it can drive results for mobile developers, and as the market experiences more signal loss, with these new partnerships there’s no excuse for stakeholders to delay benefitting from the superior results authenticated identity can drive.” About AlgoriX AlgoriX is an independent global media and technology company. Backed by investments from top international venture capitalists, its core team is equipped with years of experience from global leading internet and ad tech companies. Through our team’s expertise, AlgoriX is able to bring to our partner's best-in-class technology solutions and know-how to effectively scale their revenue and deliver results.

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Ad Tech and Martech

IAS Launches New Made for Advertising (MFA) AI-Driven Site Detection and Avoidance Technology

Integral Ad Science | October 19, 2023

Integral Ad Science (Nasdaq: IAS), a leading global media measurement and optimization platform, today announced a new Made for Advertising (MFA) AI-driven site detection and avoidance product. The company's MFA site technology aims to improve transparency into advertiser campaign quality, identify where spend is being allocated, and inform optimizations to minimize waste on MFA sites. MFA sites are web pages featuring low quality content (e.g. spam sites, or ad farms) created solely to serve ads, and are optimized to perform well against traditional verification metrics, such as viewability. However, advertising spend on these sites does not drive meaningful outcomes, such as conversions or brand lift. IAS's new product leverages AI to uncover MFA sites at scale, allowing advertisers to take back control of their media quality and cut down on wasted spend. During Alpha testing, IAS delivered comprehensive campaign analysis demonstrating superior MFA site identification for some of the world's largest advertisers and agencies. IAS's product supports the Association of National Advertisers' (ANA) recent definition of MFA sites and incorporates characteristics such as ad-to-content ratio, ad refresh rate, and the source of the traffic coming to the site to classify a site as MFA. According to the ANA's Programmatic Media Supply Chain Transparency Study, 21% of all advertisement impressions measured were served on MFA sites. Our MFA product was built to deliver unprecedented transparency to advertisers and provide them with the ability to both detect and avoid MFA sites in order to redirect their ad spend to publishers that drive a return, said Yannis Dosios, Chief Commercial Officer, Integral Ad Science. The industry faces a significant challenge in combating MFA sites. By leveraging AI, we have developed a scalable way to identify these low quality sources of inventory and improve overall campaign performance. Advertisers and their agencies need confidence that the industry is converging on agreement about the specific websites that compose the MFA category. By training its model against Jounce Media's widely adopted list of MFA domains and incorporating signals from Sincera, IAS has developed the industry's first pressure tested solution for detecting and blocking MFA at scale. "Advertisers should recognize that MFA websites can account for a significant portion of their overall campaign and should determine, independently, if MFA sites fit with their brand suitability standards for content and user experience. We applaud IAS for taking action after we released the findings from our programmatic transparency report and for supporting our definition of MFA," said Bill Duggan, ANA group executive vice president. "We have found that awareness of MFA sites among the ANA community of media professionals to be limited – which is surprising. We look forward to further developments from IAS around MFA site identification and ad spend optimization to help better educate and inform buyers." The IAS MFA product completed alpha testing in early October 2023, and is available now as a beta measurement offering for select customers. General availability is expected to expand to all customers in early 2024. About Integral Ad Science Integral Ad Science (IAS) is a leading global media measurement and optimization platform that delivers the industry's most actionable data to drive superior results for the world's largest advertisers, publishers, and media platforms. IAS's software provides comprehensive and enriched data that ensures ads are seen by real people in safe and suitable environments, while improving return on ad spend for advertisers and yield for publishers. Our mission is to be the global benchmark for trust and transparency in digital media quality. For more information, visit integralads.com.

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Ad Tech and Martech

VIOOH & Yahoo Partner to Explore the Value prDOOH Delivers Within Multichannel Campaigns

ExchangeWire | October 17, 2023

Today, VIOOH, the leading premium global digital out-of-home (DOOH) supply-side platform in partnership with Yahoo Advertising has released a whitepaper examining the potential outcomes of including programmatic digital out-of-home (prDOOH) within multi-channel campaigns. As outlined in VIOOH’s annual State of the Nation report, a key request from advertisers is to understand how prDOOH fits within multi-channel campaigns, and how to best measure its impact. Analysing a series of case studies, the report outlines the best way for advertisers to maximise multi-channel campaign impact through the inclusion of prDOOH. Findings indicate that prDOOH’s inclusion in multi-channel media plans can drive more attention, boost engagement, and improve overall campaign effectiveness. Two key outcomes are clear: 1: Including prDOOH in a multi-channel media plan adds incremental value to the return on investment (ROI) of the digital media mix due to the priming effect - DOOH plays an important role in preparing consumers for conversions during re-engagements on other channels. 2: prDOOH as a channel can boost offline outcomes in terms of sales and footfall as a result of its ‘attention-grabbing’ characteristics and flexibility as a programmatic medium. The report also outlines how advertisers can optimise targeting, increase brand awareness, and drive consumer behaviour offline and online by leveraging the strengths of both broadcast and digital channels to deliver ROI. Helen Miall, CMO at VIOOH said, This whitepaper has been prompted by a significant increase in demand for prDOOH from advertisers, and a desire to understand how it can best be used alongside and within multi-channel campaigns. This report highlights its potential for delivering effective campaigns across upper and lower funnel tactics, and how prDOOH can be successfully combined with individual media to drive campaign effectiveness. Alice Beecroft, senior director, global strategy & partnerships at Yahoo said, “In today’s digital media landscape, programmatic digital out-of-home provides advertisers with the crucial ability to adapt in real-time. This adaptability is essential for effectively engaging their audience within a comprehensive omnichannel campaign. The results in the whitepaper show how prDOOH as part of the digital marketing mix drives incremental value where a connected bridge is formed with other channels to reach consumers wherever and whenever it matters most.” About VIOOH VIOOH is a leading premium global digital out of home supply side platform. Launched in 2018 and with headquarters in London, VIOOH’s platform connects buyers and sellers in a premium marketplace, making OOH easily accessible. Led by a team of digital OOH and programmatic tech experts, VIOOH is pioneering the transformation of the OOH sector, championing its role in enhancing omni-channel digital campaigns through the use of programmatic capabilities and data. VIOOH currently trades programmatically in 19 markets, with more to follow.

Read More

Advertiser Platforms

AlgoriX & LiveRamp Partner to Accelerate Addressability for the Mobile Advertising Ecosystem

ExchangeWire | October 25, 2023

AlgoriX and LiveRamp have announced a multifaceted partnership to accelerate the cookieless transition for the digital advertising ecosystem. AlgoriX will enable global customers of its demand-side platform (DSP) and supply-side platform (SSP) to transact on LiveRamp’s RampID, as well as incorporate LiveRamp’s Authenticated Traffic Solution SDK into the AlgoriX SDK to accelerate the mobile app ecosystem’s deployment of Authenticated Traffic Solution. More than 450 of the world’s leading advertisers activate campaigns on RampID through LiveRamp’s data collaboration platform. AlgoriX joins more than 165 DSPs and SSPs that have integrated with LiveRamp’s solutions globally, enabling reaching high-value audiences at scale and delivering personalized experiences across browsers, mobile devices, and CTV. As advertisers look to address signal loss on mobile, authenticated inventory offers a powerful solution that can deliver results for publishers and marketers that often surpass what they were generating with cookies and mobile device IDs, said Frederic Liow, AlgoriX SVP for revenue growth & strategy. LiveRamp has helped lead the market in advancing authenticated identity as a viable alternative to help the ecosystem prepare for a post-signal loss future, and integrating our solutions will provide a powerful boost to our customers and developers. Additionally, AlgoriX will incorporate LiveRamp’s Authenticated Traffic Solution SDK into the AlgoriX SDK, enhancing the offering for developers looking to accelerate their success in the mobile and in-app advertising space. Leveraging AlgoriX’s SDK, these developers can now quickly leverage and deploy LiveRamp’s Authenticated Traffic Solution, increasing the addressability of their opted-in app users, and improving monetization of their inventory. “Consumers in APAC are mobile-first, which made it a natural fit to partner with AlgoriX given their history as a leader in the region and in the mobile app space,” said Travis Clinger, SVP, activations and addressability, LiveRamp. “LiveRamp has proven it can drive results for mobile developers, and as the market experiences more signal loss, with these new partnerships there’s no excuse for stakeholders to delay benefitting from the superior results authenticated identity can drive.” About AlgoriX AlgoriX is an independent global media and technology company. Backed by investments from top international venture capitalists, its core team is equipped with years of experience from global leading internet and ad tech companies. Through our team’s expertise, AlgoriX is able to bring to our partner's best-in-class technology solutions and know-how to effectively scale their revenue and deliver results.

Read More

Ad Tech and Martech

IAS Launches New Made for Advertising (MFA) AI-Driven Site Detection and Avoidance Technology

Integral Ad Science | October 19, 2023

Integral Ad Science (Nasdaq: IAS), a leading global media measurement and optimization platform, today announced a new Made for Advertising (MFA) AI-driven site detection and avoidance product. The company's MFA site technology aims to improve transparency into advertiser campaign quality, identify where spend is being allocated, and inform optimizations to minimize waste on MFA sites. MFA sites are web pages featuring low quality content (e.g. spam sites, or ad farms) created solely to serve ads, and are optimized to perform well against traditional verification metrics, such as viewability. However, advertising spend on these sites does not drive meaningful outcomes, such as conversions or brand lift. IAS's new product leverages AI to uncover MFA sites at scale, allowing advertisers to take back control of their media quality and cut down on wasted spend. During Alpha testing, IAS delivered comprehensive campaign analysis demonstrating superior MFA site identification for some of the world's largest advertisers and agencies. IAS's product supports the Association of National Advertisers' (ANA) recent definition of MFA sites and incorporates characteristics such as ad-to-content ratio, ad refresh rate, and the source of the traffic coming to the site to classify a site as MFA. According to the ANA's Programmatic Media Supply Chain Transparency Study, 21% of all advertisement impressions measured were served on MFA sites. Our MFA product was built to deliver unprecedented transparency to advertisers and provide them with the ability to both detect and avoid MFA sites in order to redirect their ad spend to publishers that drive a return, said Yannis Dosios, Chief Commercial Officer, Integral Ad Science. The industry faces a significant challenge in combating MFA sites. By leveraging AI, we have developed a scalable way to identify these low quality sources of inventory and improve overall campaign performance. Advertisers and their agencies need confidence that the industry is converging on agreement about the specific websites that compose the MFA category. By training its model against Jounce Media's widely adopted list of MFA domains and incorporating signals from Sincera, IAS has developed the industry's first pressure tested solution for detecting and blocking MFA at scale. "Advertisers should recognize that MFA websites can account for a significant portion of their overall campaign and should determine, independently, if MFA sites fit with their brand suitability standards for content and user experience. We applaud IAS for taking action after we released the findings from our programmatic transparency report and for supporting our definition of MFA," said Bill Duggan, ANA group executive vice president. "We have found that awareness of MFA sites among the ANA community of media professionals to be limited – which is surprising. We look forward to further developments from IAS around MFA site identification and ad spend optimization to help better educate and inform buyers." The IAS MFA product completed alpha testing in early October 2023, and is available now as a beta measurement offering for select customers. General availability is expected to expand to all customers in early 2024. About Integral Ad Science Integral Ad Science (IAS) is a leading global media measurement and optimization platform that delivers the industry's most actionable data to drive superior results for the world's largest advertisers, publishers, and media platforms. IAS's software provides comprehensive and enriched data that ensures ads are seen by real people in safe and suitable environments, while improving return on ad spend for advertisers and yield for publishers. Our mission is to be the global benchmark for trust and transparency in digital media quality. For more information, visit integralads.com.

Read More

Ad Tech and Martech

VIOOH & Yahoo Partner to Explore the Value prDOOH Delivers Within Multichannel Campaigns

ExchangeWire | October 17, 2023

Today, VIOOH, the leading premium global digital out-of-home (DOOH) supply-side platform in partnership with Yahoo Advertising has released a whitepaper examining the potential outcomes of including programmatic digital out-of-home (prDOOH) within multi-channel campaigns. As outlined in VIOOH’s annual State of the Nation report, a key request from advertisers is to understand how prDOOH fits within multi-channel campaigns, and how to best measure its impact. Analysing a series of case studies, the report outlines the best way for advertisers to maximise multi-channel campaign impact through the inclusion of prDOOH. Findings indicate that prDOOH’s inclusion in multi-channel media plans can drive more attention, boost engagement, and improve overall campaign effectiveness. Two key outcomes are clear: 1: Including prDOOH in a multi-channel media plan adds incremental value to the return on investment (ROI) of the digital media mix due to the priming effect - DOOH plays an important role in preparing consumers for conversions during re-engagements on other channels. 2: prDOOH as a channel can boost offline outcomes in terms of sales and footfall as a result of its ‘attention-grabbing’ characteristics and flexibility as a programmatic medium. The report also outlines how advertisers can optimise targeting, increase brand awareness, and drive consumer behaviour offline and online by leveraging the strengths of both broadcast and digital channels to deliver ROI. Helen Miall, CMO at VIOOH said, This whitepaper has been prompted by a significant increase in demand for prDOOH from advertisers, and a desire to understand how it can best be used alongside and within multi-channel campaigns. This report highlights its potential for delivering effective campaigns across upper and lower funnel tactics, and how prDOOH can be successfully combined with individual media to drive campaign effectiveness. Alice Beecroft, senior director, global strategy & partnerships at Yahoo said, “In today’s digital media landscape, programmatic digital out-of-home provides advertisers with the crucial ability to adapt in real-time. This adaptability is essential for effectively engaging their audience within a comprehensive omnichannel campaign. The results in the whitepaper show how prDOOH as part of the digital marketing mix drives incremental value where a connected bridge is formed with other channels to reach consumers wherever and whenever it matters most.” About VIOOH VIOOH is a leading premium global digital out of home supply side platform. Launched in 2018 and with headquarters in London, VIOOH’s platform connects buyers and sellers in a premium marketplace, making OOH easily accessible. Led by a team of digital OOH and programmatic tech experts, VIOOH is pioneering the transformation of the OOH sector, championing its role in enhancing omni-channel digital campaigns through the use of programmatic capabilities and data. VIOOH currently trades programmatically in 19 markets, with more to follow.

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