Retargeting Ads: Proven Techniques for Improving ROI

Getting someone’s attention is hard. Keeping it is even harder.

That’s where retargeting ads come in. They help you reconnect with people who’ve already visited your site or looked at your products—but didn’t take the next step.

In this guide, you’ll learn when to use retargeting, how it works, and what to do to make it perform better. We’ll also cover how it can help you get more from your budget and turn missed chances into real results.

What Is Ad Retargeting?

Ad retargeting is a way to reach people who’ve visited your site but didn’t buy anything.

Instead of losing touch, you show them ads while they browse other websites or scroll through social media. It’s a reminder that they were interested—and an extra push to come back and finish what they started.

When Should You Use Retargeting Ad Campaigns?

Retargeting ad campaigns are ideal for several scenarios where you want to re-engage potential customers and remind them about your products or services. Here are some key situations:

Recover Abandoned Carts

For ecommerce stores, cart abandonment is a common issue. Many users add items to their cart but leave without completing the purchase. An ad retargeting campaign can remind these users about their abandoned carts, encouraging them to return and finalize their purchase. This approach significantly improves conversion rates and recovers lost sales. Over 40% of all emails sent to recover abandoned carts are opened, making this a highly effective strategy.

Increase Brand Awareness

If your business aims to enhance brand visibility, retargeting campaigns can be highly effective. By serving ads to users who have visited your website, you keep your brand in their minds as they continue browsing. This continuous exposure helps build brand recognition and trust, making users more likely to choose your brand when they are ready to make a purchase.

A survey of marketers found that improving brand awareness and driving sales were the top goals of their remarketing strategies, each cited by 57% of respondents.

Boost Website Conversions

If you have a high volume of website visitors but a low conversion rate, retargeting ads can help bridge the gap. These ads target users who have shown interest in your products but haven’t converted, offering personalized messages and promotions to entice them back. This targeted approach increases the likelihood of converting visitors into customers. Nearly 97% of first-time visitors to your site leave without making a purchase, highlighting the need for effective retargeting strategies.

Promote Seasonal Sales or Limited-Time Offers

Retargeting is especially useful for promoting time-sensitive offers. By targeting users who have previously interacted with your website, you can create urgency and drive them to take advantage of your limited-time deals. This method ensures that your promotions reach an engaged audience, maximizing the impact of your campaigns.

Re-engage Existing Customers

Retargeting isn’t just for new visitors; it’s also effective for re-engaging existing customers. Use custom audiences to target users who have previously made a purchase. Show them new products, special offers, or reminders to restock, encouraging repeat business and increasing customer loyalty. Retargeting can boost ad engagement by up to 400%, making it a powerful tool for maintaining customer interest and driving repeat sales.

Launch New Products or Services

When introducing new products or services, retargeting can help you reach users who are already familiar with your brand. This audience is more likely to be interested in your new offerings, leading to higher engagement and quicker adoption.

How Retargeting Ad Campaigns Work

Retargeting works by using tracking technology to follow users after they visit your website. Here’s a step-by-step overview of how retargeting campaigns operate:

Placement of Tracking Pixels

A tracking pixel or an anonymous browser cookie is placed on your website. This pixel is a small piece of code that collects data about visitors’ online behavior.

Tracking User Behavior

When users visit your website, the tracking pixel records their actions. It tracks which pages they visit, how long they stay, and which products they view or add to their cart.

Creating Custom Audiences

Based on the data collected, retargeting platforms create custom audiences. These audiences consist of users who have interacted with your website but haven’t converted. Custom audiences allow for highly targeted ads, increasing the relevance and effectiveness of your campaigns.

Serving Retargeting Ads

The retargeting platform then serves ads to these users as they browse other websites or use social media. These ads remind users of their interest in your products, encouraging them to return and complete their purchase. The ads can be displayed on various advertising platforms, such as Google Ads, Facebook, and LinkedIn.

Monitoring and Optimization

Throughout the ad retargeting campaign, you monitor performance metrics such as click-through rates, conversions, and return on ad spend (ROAS). Based on this data, you can optimize your ads to improve results and ensure you’re reaching the right audience.

Retargeting vs. Remarketing

Although retargeting and remarketing are often used interchangeably, they have distinct differences:

Retargeting

Retargeting typically involves serving display ads to website visitors on other websites. It focuses on users who have shown interest in your products by visiting your site but haven’t made a purchase. Retargeting work involves using tracking pixels to follow these users and serve them relevant ads as they browse other websites.

Remarketing

Remarketing usually involves email campaigns targeting people who have interacted with your brand but haven’t converted. It often uses a list-based approach, where you target users based on their email addresses. Remarketing campaigns can include personalized emails with special offers, product recommendations, or reminders about abandoned carts.

Both strategies aim to re-engage potential customers and increase conversions, but they use different methods and channels to achieve this goal.

Types of Retargeting Ads

Pixel-Based Retargeting

Pixel-based retargeting uses tracking pixels to follow users who visit your website. This method is immediate and shows ads to users as they browse other sites. Pixel-based retargeting is effective for creating highly targeted ads based on users’ browsing behavior.

List-Based Retargeting

List-based retargeting uses contact lists, such as email addresses, to target users. This method is often used in remarketing campaigns and is effective for reaching out to existing customers or leads. It allows for highly personalized ad experiences, increasing the chances of conversion.

Retargeting Ad Goals

Increase Brand Awareness

Retargeting ads help keep your brand top of mind. By showing ads to people who have visited your website, you increase the chances of them remembering your brand. This continuous exposure builds familiarity and trust, essential components of brand awareness.

Boost Conversions

One of the main goals of retargeting ads is to convert visitors into customers. By reminding potential customers about your products, you encourage them to return and complete their purchase. Retargeting ads often include personalized offers or reminders, making it easier to convert interested users.

Improve ROI on Ad Spend

Retargeting can improve the return on investment (ROI) of your ad spend by focusing on an audience that has already shown interest. This targeted approach often leads to higher conversion rates and better use of your advertising budget. By targeting specific audiences, you ensure that your ads are seen by people who are more likely to convert, maximizing your ROI.

How Many Types of Retargeting Ads Are There?

There are several types of retargeting ads, each suited for different goals and platforms. Understanding these types can help you choose the right retargeting campaign for your needs. Here are some common types:

Display Ads

Display ads appear on various websites within the display network. These ads are visual and can include images, videos, or interactive elements. Display ads are effective for reaching a broad audience and are commonly used in ad retargeting campaigns.

They help remind users about your products or services as they browse other websites. Users who encounter retargeted display ads are 70% more likely to make a purchase on the retailer’s website.

Social Media Retargeting

Social media platforms like Facebook and LinkedIn offer strong retargeting options. Facebook retargeting allows you to show ads to users who have interacted with your website or social media profiles.

These ads appear in users’ feeds, stories, or sidebars, making them highly visible. LinkedIn retargeting is particularly useful for B2B marketing, allowing you to target professionals based on their job titles, industries, and other criteria. Social media retargeting leverages the extensive reach of these platforms to engage potential customers effectively.

Search Ads

Retargeting search ads appear in search engine results. These ads target users who have previously visited your website and are searching for related terms.

For example, if someone visits your online store but doesn’t make a purchase, a retargeting search ad might appear when they search for similar products on Google. This type of retargeting campaign ensures that your brand stays visible during the user’s buying journey.

Email Retargeting

Email retargeting involves sending customized ads or reminders to people who have visited your website or interacted with your brand. This method is effective for nurturing leads and encouraging repeat purchases.

Email retargeting can include personalized product recommendations, special offers, or reminders about abandoned shopping carts. It helps maintain a direct line of communication with potential customers and drives them back to your website.

Video Retargeting

Video retargeting involves showing targeted ads to users who have previously engaged with your brand through video content. Platforms like YouTube and social media platforms support video retargeting. These ads can be particularly engaging and effective, as video content often captures users’ attention more effectively than static images.

Dynamic Retargeting

Dynamic retargeting creates customized ads based on the specific products or services users viewed on your website. For example, if a user looks at a particular pair of shoes on your online store, dynamic retargeting will show ads featuring those exact shoes. This level of personalization can significantly increase the likelihood of conversion.

Mobile Retargeting

Mobile retargeting focuses on users who access your website via mobile devices. Given the increasing use of smartphones for online shopping and browsing, mobile retargeting ensures that your ads are optimized for mobile screens.

This approach helps you reach users wherever they are, enhancing the effectiveness of your retargeting campaign. About 63% of smartphone users are more likely to buy from businesses whose mobile sites or apps provide relevant product recommendations.

CRM Retargeting

CRM retargeting uses your customer relationship management (CRM) data to create retargeting ads. This method allows you to target existing customers or leads based on their previous interactions with your brand. CRM retargeting can help you create more personalized and relevant ads, improving customer engagement and loyalty.

Contextual Retargeting

Contextual retargeting shows ads to users based on the content they are currently viewing. For instance, if someone reads an article about travel destinations, they might see retargeting ads for travel deals or vacation packages. This method aligns your ads with the user’s current interests, making them more relevant and effective.

Google Ads Retargeting

Google Ads offers a comprehensive retargeting solution through its Google Display Network and Google Search. You can create retargeting ads that appear on Google search results, YouTube, and millions of other websites. Google Ads retargeting leverages the extensive reach of Google’s advertising platforms to keep your brand visible to potential customers.

Custom Audience Retargeting

Custom audience retargeting involves creating ads for specific segments of your audience based on their behavior, demographics, or interests.

By leveraging retargeting tools available on advertising platforms like Facebook and LinkedIn, you can create highly targeted ads that resonate with your audience. This approach helps you deliver the right message to the right people at the right time.

Remarketing Campaigns

Remarketing campaigns often refer to the practice of using email to reach out to users who have previously interacted with your brand. This can include sending follow-up emails to users who abandoned their shopping carts, reminding them to complete their purchases.

Remarketing campaigns are an essential part of a comprehensive retargeting strategy, helping you maintain contact with potential customers and encourage repeat business.

Cross-Device Retargeting

Cross-device retargeting ensures that your ads reach users across multiple devices, including desktops, tablets, and mobile phones. This type of retargeting campaign is crucial in today’s multi-device world, as users often switch between devices during browsing and shopping. Cross-device retargeting helps you maintain a consistent presence across all platforms.

Location-Based Retargeting

Location-based retargeting targets users based on their geographical location. This approach is useful for local businesses or events, allowing you to show ads to users in specific regions. Location-based retargeting can be combined with other types of retargeting to create highly relevant and timely ads.

Sequential Retargeting

Sequential retargeting involves showing a series of ads to users in a specific order. This method helps you tell a story or guide users through a customer journey, with each ad building on the previous one. Sequential retargeting can be particularly effective for complex products or services that require more detailed explanations.

By understanding the various types of retargeting ads and how they work, you can create a comprehensive retargeting strategy that meets your business goals.

Whether you want to increase brand awareness, boost conversions, or improve customer loyalty, retargeting ads offer a powerful way to reconnect with potential customers and drive results.

Creating Retargeting Ads

Making a good retargeting ad isn’t complicated—but it takes focus. Here’s where to start:

1. Know Who You’re Talking To

Break your audience into groups based on what they did—like visited a product page or added something to a cart. Ads feel more personal when they match where someone left off.

2. Keep It Simple and Clear

Your ad should have one main point: a reminder, an offer, or a reason to come back. Use clean visuals and short copy that gets to the point fast.

3. Match Your Landing Pages

If someone clicks your ad, the page they land on should feel familiar and easy to use. Make sure it’s easy to finish whatever action you’re asking for—whether that’s checking out or signing up.

4. Test, Watch, Adjust

Run a few versions of your ads at the same time. See what gets clicks—and what doesn’t. Drop what’s not working, and double down on what is.

Benefits of Retargeting Ads

Increased Engagement

Retargeting ads engage users who have already shown interest in your brand. This leads to higher engagement rates compared to standard ads. By targeting users with relevant content, you increase the chances of them interacting with your ads.

Higher Conversion Rates

Since retargeting ads focus on interested users, they often result in higher conversion rates. This makes them a cost-effective advertising strategy. By reaching users who are already familiar with your brand, you can achieve better results with a lower ad spend.

Enhanced Customer Loyalty

Retargeting helps keep your brand in front of potential customers, building familiarity and trust. This can lead to increased customer loyalty and repeat business. Consistent engagement with your audience helps foster long-term relationships and brand advocacy.

Common Mistakes to Avoid

Overexposure

Showing the same ad too many times can annoy users. Ensure you set frequency caps to avoid ad fatigue. Rotate your ad creatives regularly to keep your audience engaged and interested.

Poor Segmentation

Not segmenting your audience properly can lead to irrelevant ads. Use data to create targeted ad groups for better results. Tailor your ads to the specific needs and interests of different audience segments to increase relevance and effectiveness.

Ignoring Mobile Users

Many users browse on mobile devices. Make sure your retargeting ads are optimized for mobile to reach this audience effectively. Ensure that your ads load quickly and look good on smaller screens to enhance the user experience.

FAQs

How do retargeting pixels work?

Retargeting pixels are small code snippets placed on your website that track visitor behavior, enabling you to serve targeted ads based on their interactions with your site.

What platforms are best for retargeting ads?

Major platforms like Google Ads, Facebook, and LinkedIn offer robust retargeting capabilities, each with unique features to suit different marketing needs.

How long should a retargeting campaign run?

The duration depends on your sales cycle and goals, but typically, campaigns run between 30 to 90 days to maintain relevance without causing ad fatigue.

Can retargeting be combined with other marketing strategies?

Yes, integrating retargeting with email marketing, content marketing, and social media campaigns can enhance overall effectiveness and reach.

What metrics should I track for retargeting campaigns?

Key metrics include click-through rates (CTR), conversion rates, return on ad spend (ROAS), and frequency of ad impressions to assess campaign performance.

Track Retargeting Campaign Performance with Camphouse

Running retargeting ads is one thing—knowing if they’re working is another. Camphouse makes it simple to keep an eye on what’s happening without digging through endless reports.

In the Track stage, you can see spend, pacing, audience engagement, and conversion numbers all in one place. That way, you can make smarter tweaks as you go, instead of guessing after the campaign is over.

Want to see how it works? Take a tour of Camphouse today.