When you launch an online marketing campaign, the main aim is to convert people into customers. However, it’s rare for someone to visit your website and make a purchase right away. Statistics show that only about 2% of visitors do so on their first visit.
That means the majority, around 98%, leave without buying anything. So, how do you capture the interest of this 98%?
Remarketing comes into play here. It’s a powerful method to reconnect with those who left your site without making a purchase, and it can significantly increase your conversion rates.
What Is Remarketing?
When you’re online shopping, you might check out products but decide not to buy. Later, you might notice ads for those same products popping up on other websites. How does this happen? It’s thanks to remarketing, also known as retargeting.
Remarketing works by using cookies to track visitors who didn’t make a purchase on your site. As they browse elsewhere on the web, ads for the products they viewed on your site are shown to them.
It’s important to note that cookie tracking doesn’t store personal information like addresses or credit card numbers. Instead, it tracks browsing behavior and the websites visited.
Remarketing is a powerful way to reconnect with potential customers after they’ve left your site, and it’s proven to be highly effective in boosting conversions.
The Benefits Of Remarketing
Now that you’re familiar with remarketing, let’s explore four key benefits:
- Increased Brand Exposure: With retargeting, your brand stays top of mind for potential customers who’ve shown interest in your products. Even if they don’t buy right away, seeing your ads repeatedly builds brand awareness. This familiarity can sway them to choose your brand over competitors, especially if your competition isn’t using retargeting. Remarketing boosts brand exposure, leading to higher conversion rates.
- Precise Targeting: Rather than targeting your entire market, retargeting allows you to focus on specific groups—like those who’ve interacted with your ads or added items to their carts. This precision ensures your ads reach the most interested prospects, maximizing your chances of conversion.
- Greater Engagement: Retargeted ads draw users back into the buying process, increasing their interaction with your brand. As engagement grows, so does their likelihood of making a purchase. By using retargeted ads, you guide users towards conversion by keeping them engaged with your brand.
- Cost-Effectiveness: Remarketing offers a high return on investment (ROI) by targeting those most likely to convert. This focused approach saves time and resources by avoiding wasted efforts on disinterested parties. Moreover, increased interest leads to lower costs per click (CPC) as more users click on your ads. With remarketing, you optimize your budget and drive conversions efficiently.
How Can Remarketing Increase Your Conversion Rates?
If you’re considering using remarketing, it’s crucial to understand its effectiveness in boosting conversion rates. Here’s how remarketing can drive more conversions for your business:
- Increased Likelihood of Conversion: People who encounter retargeted ads are 70% more likely to become paying customers. These ads help keep your business top of mind for potential buyers, nudging them towards making a purchase when they’re ready.
- Higher Conversion Rates: Remarketing yields a 147% higher conversion rate compared to regular ads alone. By reminding consumers of products they’ve previously considered, retargeted ads prompt them to reconsider and ultimately make a purchase.
- Addressing Cart Abandonment: Around 72% of online shoppers abandon their shopping carts, often due to indecision or distractions. Remarketing addresses this issue by reminding users of items left in their carts, prompting them to complete their purchases.
- Recovery of Abandoned Carts: Without remarketing, only 8% of cart abandoners return to complete their orders. However, with retargeted ads, 26% of these users are persuaded to finalize their purchases, significantly improving conversion rates.
- Improved Clickthrough Rates (CTR): While the average CTR for display ads is 0.07%, retargeted ads boast a CTR of 0.7%. This higher CTR reflects the increased interest and familiarity consumers have with retargeted products, leading to more conversions.
In summary, remarketing effectively reengages potential customers, reminding them of products they’ve shown interest in and encouraging them to make a purchase. By leveraging retargeted ads, businesses can significantly enhance their conversion rates and drive revenue growth.
Remarketing Best Practices
To make the most of your remarketing efforts, keep these key tips in mind:
- Avoid Immediate Promotions: While it may be tempting to offer discounts right after users abandon their carts, resist the urge. Offering promotions too soon can encourage users to intentionally abandon carts to receive discounts. Instead, consider waiting a few days before sending promotional messages.
- Limit Ad Exposure: Don’t overwhelm users with too many retargeted ads. Overexposure can annoy potential customers and deter them from converting. Aim for a balance by setting frequency caps, especially if using platforms like Google Ads. Ideally, aim for 7 to 12 retargeted ads over 30 days.
- Use Burn Pixels: Once a customer converts, there’s no need to continue showing them ads for the same product. Neglecting to stop targeting converted users can lead to annoyance and turn them away from your brand. Implement burn pixels to automatically remove converted users from your retargeting list, ensuring a positive customer experience and encouraging repeat purchases.
Conclusion
In conclusion, remarketing is a powerful tool for boosting conversion rates and re-engaging potential customers who have shown interest in your products or services.
By implementing effective remarketing strategies and following best practices, businesses can effectively reach out to abandoned users, increase brand exposure, and ultimately drive more conversions.
