Lost Customers? How Retargeting Wins Them Back

Discover how retargeting can win back lost customers and boost your business's loyalty with effective marketing strategies.

Plang Phalla
9 Min Read
Industry estimates suggest only about 2% of visitors make a purchase on their first visit. That leaves 98% who walk away.

In today’s fast-paced digital world, businesses are always searching for ways to catch people’s attention and turn them into loyal customers. One of the best methods is retargeting strategies. Retargeting, sometimes called remarketing, is a marketing trick that helps companies reconnect with people who have already shown interest in their products or services. Maybe they visited a website, clicked an ad, or added something to their cart but didn’t buy. Retargeting brings them back. This article will explain what retargeting is, why it works, different types of retargeting strategies, and how businesses can use them well. We’ll also use some real data to show why retargeting is so powerful.

What Is Retargeting and Why Does It Matter?

Retargeting is like a friendly reminder for people who’ve already checked out a business. Picture this: you’re shopping online for a new pair of headphones. You visit a website, browse a few options, but leave without buying. Later, while scrolling through social media or reading a news site, you see an ad for those same headphones. That’s retargeting! It uses cookies—small bits of data stored on your device—to track where you’ve been online and show you ads based on that.

Why is this a big deal? Most people don’t buy something the first time they visit a website. In fact, industry estimates suggest only about 2% of visitors make a purchase on their first visit (Monetate, 2017). That leaves 98% who walk away. Retargeting helps businesses reach those people again, gently nudging them to come back. It’s a smart way to boost sales without starting from scratch.

How Retargeting Works

Retargeting is simple but clever. When someone visits a website, a tiny piece of code (called a pixel) drops a cookie in their browser. This cookie doesn’t hurt their device—it just tells ad platforms like Google Ads or Facebook that this person stopped by. Later, when they’re on other websites or apps, the platform uses that cookie to show them ads tied to what they looked at before.

For example, if someone checks out a backpack on a store’s website but doesn’t buy it, retargeting ads might show up later with a special offer for that backpack. The idea is to keep the product in their mind and encourage them to finish what they started.

Types of Retargeting Strategies

There are different ways to do retargeting, and each one has its own style. Here are the most common types:

  1. Pixel-Based Retargeting
    This is the most popular kind. It uses the pixel to track visitors and show them ads later. It’s quick and works great for online shops. For example, if you look at a pair of jeans on a site but don’t buy, you might see an ad for those jeans on Instagram later.
  2. List-Based Retargeting
    This uses a list of customer info, like email addresses, that a business already has. The company uploads the list to an ad platform, and the platform finds those people online to show them ads. It’s perfect for reaching customers you already know.
  3. Search Retargeting
    This targets people based on what they’ve searched for online, even if they haven’t visited your site yet. For instance, if someone searches “best coffee makers,” a coffee brand can show them ads later.
  4. Email Retargeting
    This happens when someone opens an email but doesn’t click or buy. The company can send follow-up emails or show ads to remind them. It’s a great way to keep the conversation going.
  5. Social Media Retargeting
    Platforms like Facebook and Instagram are hot spots for retargeting because people spend so much time there. If someone visits your site, you can show them ads on their social feeds.

Why Retargeting Works So Well

Retargeting isn’t just about throwing ads at people—it’s about showing the right ads to the right people at the right time. Here’s why it’s so good:

  • People Are Already Interested: Retargeting focuses on folks who’ve already engaged with a brand. They’re more likely to buy because they’ve shown curiosity.
  • It Builds Trust: Seeing a brand more than once makes it feel familiar. Research shows repeated exposure to ads can make people feel more comfortable with a brand (Nielsen, 2017).
  • It Saves Money: Retargeting costs less than chasing brand-new customers. You’re working with people who already know you, so it’s easier to get results.

Best Practices for Successful Retargeting

Retargeting works best when it’s done with care. Here are some easy tips to make it shine:

  1. Don’t Overdo It
    Showing the same ad too much can bug people. Set a limit—experts suggest no more than a few times a week—so it doesn’t feel pushy.
  2. Make Ads Personal
    Use what you know about the customer to create ads that feel special. If they looked at a blue jacket, show an ad for that jacket, not just any jacket.
  3. Offer Something Extra
    Discounts or free shipping can convince people to act. A good deal often seals the deal.
  4. Time It Right
    Don’t wait too long to retarget. If someone leaves a cart behind, reach out within a day or two while it’s still on their mind.
  5. Test and Tweak
    Try different ads—like a picture versus a video—and see what works. Keep improving based on what you learn.

Real-Life Examples of Retargeting Success

Some big companies have mastered retargeting. For example, Amazon uses pixel-based retargeting to show ads for products you’ve viewed or added to your cart. It’s a big reason they’re so successful at keeping customers coming back. Another example is Airbnb, which sends emails to remind people about trips they searched for. These little nudges help turn browsers into bookers.

Challenges of Retargeting

Retargeting isn’t flawless. Some people find it creepy when ads follow them around. A Pew Research study found that many internet users feel uneasy about targeted ads (Pew Research Center, 2019). Privacy laws, like Europe’s GDPR, also make it trickier to use cookies without asking first. Businesses need to be upfront about how they use data and let people say no if they want.

Another issue is “ad fatigue.” If someone sees the same ad too often, they might tune it out or even get annoyed. That’s why mixing things up and timing ads well is key.

The Future of Retargeting

Retargeting will keep changing as tech evolves. Cookies might fade away—Google plans to stop using them soon—so businesses might lean more on AI or email retargeting instead. Mobile apps are also growing, with more retargeting happening on phones every day.

Note

Retargeting strategies are a fantastic tool for businesses. They help turn curious visitors into buyers by keeping a brand in sight. With options like pixel-based ads, email follow-ups, and social media campaigns, companies can boost sales without spending a fortune. It’s all about being smart, personal, and respectful. As privacy rules shift and tech gets better, retargeting will keep finding new ways to connect with customers.


References

Monetate. (2017). Ecommerce quarterly: Conversion rates across industries. https://www.monetate.com

Nielsen. (2017). Trust in advertising: A global perspective. https://www.nielsen.com

Pew Research Center. (2019). Americans and privacy: Concerned, confused, and feeling lack of control over their personal information. https://www.pewresearch.org/internet/2019/11/15/americans-and-privacy-concerned-confused-and-feeling-lack-of-control-over-their-personal-information/

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Digital Marketing Specialist | Helping SMEs Grow with Strategy, Innovation & AI
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