FIVE REASONS RETARGETING IS CRITICAL FOR YOUR BUSINESS

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1 FIVE REASONS RETARGETING IS CRITICAL FOR YOUR BUSINESS A short tutorial on marketing using retargeting methods

2 Five Reasons Retargeting is Critical For Your Business Retargeting is the process of dropping a tracking code on a website visitor s browser for the purpose of placing targeted ads in front of them as they subsequently surf the web and use social media platforms. It is a critical component for your local business growth strategy. In this report we will be discussing five primary reasons to implement retargeting in your business. The top five reasons are: 1. Retargeting has better Click Through Rates and Conversion % 2. People need several touch points prior to purchasing 3. Ability to include and exclude lists for better ad management 4. Ability to focus on a specific product or service 5. Retargeting is less expensive than other pay per click advertising HOW DOES RETARGETING WORK? The image below shows graphically how retargeting works. Retargeting is made possible by the ability to cookie a webpage visitor who does not take the desired action (or any visitor to the site), with a retargeting pixel installed in the page s code. An ad platform such as Facebook, Adwords, Adroll, and others will generate a unique, short piece of code (retargeting pixel) which the site owner then places within the code of the page. A visitor to the site is then cookied, which triggers the ad platform to serve retargeting ads to that visitor later at a frequency, time, and web location that is defined by the advertiser and ad platform. Retargeting is in reality a service to both visitor and advertiser, because the visitor has already said I m interested in this page, product, or service, but perhaps was not ready to buy at that time, or was distracted. Retargeting gently reminds them of their original interest and shows them how to get back to the advertiser s page. Bottom line, retargeting is the best way to get your offer in front of buyers multiple times in a helpful, nonintrusive way. 1

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4 The average click-through rate for display ads is 0.07%, and the average click-through for a retargeted ad is.7% -Source CMO.com Retargeting ads have better click through rates and conversion percentages than other online advertising options. This can make a profound improvement in your business by reducing the amount of money spent to acquire a new customer. It will also mean more effective brand recognition because greater click-through rates and engagement bring lower costs, enabling more ad spend for marketplace exposure and recognition. Marketing research consistently shows that a prospect needs to see an offer between four and seven times before they make a buying decision. Retargeting allows the advertiser to efficiently get that message in front of prospective customers several times % of visitors don t buy or take action on their first visit. -Marketing Sherpa We recommend a well thought out cycle of ads to place offers in front of prospects in different ways that allow them to better understand product or service benefits. Another huge benefit of retargeting is the enhanced ability to segment prospect lists. As an example, through retargeting pixels, an advertiser can create a list of people who visited their sales page, and then create a separate list of people who bought the product after visiting the page. Next, they can create an inexpensive retargeting ad to show to those who did not buy. In this case, the ad platform software will subtract the list of buyers from the overall list of page visitors, making sure that a retargeting ad is not shown to those who already have purchased. Strategies like this have several benefits, the biggest of which are ad spend efficiency, and not annoying customers with ads for products they have already purchased. 3

5 Another example of ad efficiency through retargeting is that retargeting ads can (and should be) easily be created for each product or service offered. For example, an advertiser can create a retarget list of women who have viewed a page of office furniture, and then retarget them with ads specifically designed to appeal to women using comfortable, more feminine, office furniture. An efficient ad campaign will segment lists and provide targeted ads all the way across product and service lines. Ultra-targeted ads focused on specific products and consumer segments, will engage customers and build sales. Web site visitors who are retargeted with display ads are 70% more likely to convert on your Web site. -CMO.com On average, retargeting cost per click is much lower than non-retargeted cost per click. There are several reasons for this, but the primary one is that click cost is directly connected to click through rates, because ad platforms like Google and Facebook charge less for placing ads that are highly relevant and engaging. The reason is that they want to encourage the creation of higher quality ads it will earn them more money. Obviously, it is better and less expensive for the advertiser as well. According to Media Post CPCs for search marketing on finance savings came in at $5.24 vs. search retargeting at $2.03 4

6 In summary, a retargeted prospect has already visited your site and therefore expressed a degree of interest in your products and services. Because of that, they are much more likely to click on your retargeted ad than someone who has not already visited your site. Retargeting ad systems that are already built into most ad platforms allow advertisers to easily and efficiently market and re-market to a very targeted audience that has already expressed an interest in their products and services. With a higher rate of click throughs, ad costs are minimized, and sales are increased. Lower cost per click and client acquisition are why over 88% of marketers are now using web retargeting as a strategy for their clients. It means higher sales for less ad spend and that is a good thing for everyone! Interested in Learning More about how we are Helping Local Business Owners Grow Using Retargeting? Greg Jordan B2B Resource Team LLC

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